Flying to Europe this year might sound as absurd as opting for premium gasoline. With prices this high, is it really the right time to splurge? “As a result of labor shortages and all these things going on, travel is more expensive than it’s been in a while,“ says travel journalist Oneika Raymond. “Flights are really expensive. Accommodation is really expensive. And revenge travel is a thing.” Although travel prices continue to soar overall due to constrained supply and mounting demand, pockets of affordability remain. FILE PHOTO: Tourists walks on a bridge in front of Palazzo Ducale, in Venice, Italy, on June 17, 2021. (AP Photo/Luca Bruno, File) Europe represents one of these pockets, where weakening currency exchange rates against the dollar and tepid demand have left price...
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With travel prices soaring, customers might be tempted to pick the cheapest base option they find. But the base price of airfare and hotels represents only a fraction of the total costs. A parade of add-on fees await any traveler trying to navigate the checkout process, ballooning the final price. Experts call it “drip pricing.” “It’s called ‘drip’ because surcharges and fees drip out throughout the shopping process,” says Vicki Morwitz, a professor of business and marketing at the Columbia Business School. Customers tend to overpay when prices are presented this way, according to a study conducted by Morwitz and her colleagues. “Customers are more likely to select an option that looks cheaper upfront. Even when they later realize it’s more expensive than they anticipated, th...
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