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Companies use drip pricing to overcharge consumers

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Re: Companies use drip pricing to overcharge consumers

#231
post #193

Earlier quoted context omitted.

Yup, you definitely have to be willing to waste 10+ minutes of polite arguing and be willing to insist they run only the main bill or you'll walk out without paying anything at all. Which in many (most?) social situations, it's not worth doing. But if you're willing to take a moral stand against sneaky surcharges, maybe you care enough. Again, literally everything about it sucks.

Restaurants must be happy that I am not the type of person who eats out more than once or twice a year. I don't tip unless there is table service. I withhold tips if the quality of the product is bad (sorry servers). Even in social situations. That doesn't mean I don't tip when it is appropriate, but I view it as more of an incentive for good service than to reinforce bad business practices. I'm not sure how I would…

Servers make $2.14 an hour in Texas, they're fully dependent on tips. They often/always have zero control over the kitchen or management's ability to do staffing. Keep this in mind when you eat in that state.

Re: Companies use drip pricing to overcharge consumers

#232

Earlier quoted context omitted.

Regardless of your perception of fairness, you should be aware that waitstaff usually remember repeat customers who never leave a tip. It might not be a great idea to frequent the place if that's your chosen form of social protest.

So scary, what will they do? Frown as hard as they can?

It usually involves bodily fluids.

Re: Companies use drip pricing to overcharge consumers

#233

In Australia it is simpler. The staff all get paid an award wage that is set by the government, and it is plenty, around $24/hr or more depending on age. This makes our food somewhat expensive: at least $20 for a sit-in meal, around $4.50 for a coffee. But what you see on the menu is what you pay and includes tax: tipping is not in our culture, and I have never seen drip charging here except on public holidays (“publ…

You mention public holiday surcharges, some restaurants are starting to charge a surcharge every day, and as long as it's mentioned somewhere it appears to be legal. Check the bottom of this menu (pdf warning: https://rockpool-websites.s3.ap-southeast-2.amazonaws.com/th...). 5% "service fee" Monday to Saturday in minuscule writing.

Re: Companies use drip pricing to overcharge consumers

#234
post #18

Earlier quoted context omitted.

>In America. America is a big place, so is Europe. I wouldn't expect this to fly in a lot of places in America either. I've seen a place in America where they tried it and it failed.

The same concept is already heavily ingrained in American culture. Try and name a place that provides you with a price quote up front that is already inclusive of all taxes and fees.

The gas station

Re: Companies use drip pricing to overcharge consumers

#235
post #57

Earlier quoted context omitted.

Unfortunately for everyone involved, the waiter is complicit in the fraud and no longer deserves a tip.

Yes, because as we all know, service staff have enormous power and dictate restaurant policy. This is why they're so highly paid and aren't abused at all by customers, for example. /s

> Yes, because as we all know, service staff have enormous power and dictate restaurant policy.

No, as we all know the service staff has no power over the restaurant policy.

They are, however, the communication agent between customer and restaurant, so they should be informing the customer about these surprise charges up front. If they don't, they are indeed complicit.

Re: Companies use drip pricing to overcharge consumers

#236

Note that drip pricing for restaurants (e.g. 10-20% non-tip surcharge) is illegal in many jurisdictions (if not "conspicuously advertised" before eating), but some restaurants try to do it anyways (claiming the policy is "conspicuously advertised" on the last page of the menu, or a tiny sign behind the bar). Sometimes you can just refuse to pay it and they'll back down because they want a repeat customer more. Someti…

In France the prices have to be visible from outside the restaurant and you’d better be able to pre-compute your final bill before pushing the door. I am always surprised that a country like France protects its invisible market hand better than the US that is more capitalist minded. Information symmetry is absolutely essential for market actors to behave in their own best interest.

> I am always surprised that a country like France protects its invisible market hand better than the US that is more capitalist minded.

The US now serves 'capitalists', which is different than serving the free market or a capitalist economic system.

Re: Companies use drip pricing to overcharge consumers

#237
post #193

Earlier quoted context omitted.

Yup, you definitely have to be willing to waste 10+ minutes of polite arguing and be willing to insist they run only the main bill or you'll walk out without paying anything at all. Which in many (most?) social situations, it's not worth doing. But if you're willing to take a moral stand against sneaky surcharges, maybe you care enough. Again, literally everything about it sucks.

Restaurants must be happy that I am not the type of person who eats out more than once or twice a year. I don't tip unless there is table service. I withhold tips if the quality of the product is bad (sorry servers). Even in social situations. That doesn't mean I don't tip when it is appropriate, but I view it as more of an incentive for good service than to reinforce bad business practices. I'm not sure how I would…

If you live in America you're an asshole if you do this. Tipping is the well-established cultural way for servers to make income. It is -not- something reserved for situations where good service is to be incentivized. Maybe in other countries ... but not the United States.

Re: Companies use drip pricing to overcharge consumers

#238
post #193

Earlier quoted context omitted.

Restaurants must be happy that I am not the type of person who eats out more than once or twice a year. I don't tip unless there is table service. I withhold tips if the quality of the product is bad (sorry servers). Even in social situations. That doesn't mean I don't tip when it is appropriate, but I view it as more of an incentive for good service than to reinforce bad business practices. I'm not sure how I would…

Servers make $2.14 an hour in Texas, they're fully dependent on tips. They often/always have zero control over the kitchen or management's ability to do staffing. Keep this in mind when you eat in that state.

Still required by law to pay the difference up to minimum wage.

Still only 7.25 but let's be accurate.

Re: Companies use drip pricing to overcharge consumers

#239

Earlier quoted context omitted.

If an establishment adds a 20% surcharge to a dining check, that's a tip, and generally considered to be on the higher end in the US. I would simply consider them to have chosen my tip amount for me and leave it at that.

> and generally considered to be on the higher end in the US. Maybe in 1998 but it's pretty much standard now.

Tipping is bad enough culture as it is, but inflation on the percentage you pay in tip is just funny.

Are we gonna be tipping 50% in 30 years?

The only reason it's the norm is simply the suggested tip boxes generally have 18 as the lowest easy option now.

Re: Companies use drip pricing to overcharge consumers

#240
Comcast sold me on an "upgrade", more bandwidth, free HBO, and less per month.

Till the deal expired, then they added a $10 a month "broadcast fee". I only wanted internet, but they denied my request to switch to an internet plan. I had to cancel the service and switch the bill to another person to get an internet plan.

Since then the broadcast fee has increased several times, it's insane.

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