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Companies use drip pricing to overcharge consumers

passingtime.substack.com

351–360 of 425 posts

Re: Companies use drip pricing to overcharge consumers

#351
Never understood how any of that is legal. The price is the price, why would you be allowed to break it down into many small components and only advertise one of the components until it’s time to settle the bill?

And of course the addons are things that will guilt trip you into not being picky about them like “staff appreciation”, “healthcare fee”, etc. Why not “owners greediness surcharge” or “I’m too cheap to pay my people living wages fee”?

Re: Companies use drip pricing to overcharge consumers

#352

Earlier quoted context omitted.

You are not right. The crime being committed is fraud and the guilty party is the restaurant. If they refuse payment for the actual payment, that is their problem. Any court in any jurisdiction in the world will side with the customer in a case such as OPs.

Dispute the charge with your credit card. Plain simple, evidence is there. Good luck for the restaurant doing this over and over.

Why would the card company take on the dispute? If you signed or entered your PIN have you not agreed to pay the amount shown for the thing you received?

Re: Companies use drip pricing to overcharge consumers

#353
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…

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.

If you live in non-America this is a perfectly reasonable position.

Re: Companies use drip pricing to overcharge consumers

#354

Earlier quoted context omitted.

Dispute the charge with your credit card. Plain simple, evidence is there. Good luck for the restaurant doing this over and over.

Why would the card company take on the dispute? If you signed or entered your PIN have you not agreed to pay the amount shown for the thing you received?

I have used terminals that only show the „place card here“ screen without the price. So in some circumstances the 20% charge could be hidden from you.

Re: Companies use drip pricing to overcharge consumers

#355
post #14

Earlier quoted context omitted.

A little assertiveness can go a long way. "I was not made aware of this fee, so I am only paying X" and walking away should work.

You can only do that if paying cash. And if you do, what will effectively happen is that the money you intend to leave as tip will go toward the fee instead.

So don't leave a tip.

Re: Companies use drip pricing to overcharge consumers

#356
post #226
post #171

Earlier quoted context omitted.

Is that all of EU?

Probably not. In Germany you have to show an excerpt of the menu (including prices) outside the restaurant. Usually the owners prop one or two of the middle pages of the menu and a page of the seasonal menu in a wall display by the entrance.

German law also states that the price you see must be the price you pay, including applicants taxes. It’s in the Preisangabenverordnung.

Re: Companies use drip pricing to overcharge consumers

#358

Earlier quoted context omitted.

Every day it seems more and more like restaurants in general are a completely unsustainable business unless you want to pay $20 for a cheeseburger.

After tips, taxes, and beer prices; U.S. did has been much more expensive than just European food for the last decade.

Canada sure feels like that when I visit. I always forget the double 15% for taxes and tip. Them comes the expensive beer. In the end I pay more to eat even accounting for the exchange rate.

Re: Companies use drip pricing to overcharge consumers

#359
post #177

Hotels are horrible for this. This is what my itemized stay was for a single night: 2023-01-18 * Residence Inn expenses:travel:marriott 171.00 USD expenses:taxes:salestax:tx 10.26 USD expenses:taxes:salestax:tx:plano 11.97 USD ; city hotel tax expenses:fees:recovery 1.28 USD ; tax recovery fee expenses:fees:recovery 2.13 USD ; parking recovery fee expenses:taxes:salestax:tx .18 USD ; taxes on parking recovery fee. as…

Ah, a fellow (h)ledger/beancount user :)

Re: Companies use drip pricing to overcharge consumers

#360

Earlier quoted context omitted.

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

It usually involves bodily fluids.

No, restaurant workers will not mess with your food in that way. No matter what they think of you as a client. Ask people you know who have experience in that sector and they will tell you that such things are absolutely taboo. Anybody who did anything like that even once - or even suggests it - would be instantly fired and blacklisted in the community.

If the waiters or chefs hate your guts, at most they will swear in the kitchen.

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