Opinion
- There’s nothing like inertia in the face of a downturn
  
  Do you remember the big fanfare when Tourism Australia launched its ‘There’s Nothing Like Australia’ campaign, and invited the nation to share its favourite Australian places and experiences with the world? I’m sure you do, we wrote about it extensively at the time, and TA managing director Andrew McEvoy even wrote a column for Thumbrella urging the backpacking sector to get involved. Read more »
- Here’s how to cash in on the gap year boom
  
  In this guest posting, Gapyear.com founder Tom Griffiths tells you how to cash in on disappointed UK students who miss out on a university place this year.
  
  UK media reports that 200,000 young people will miss out on university places this year may be overhyped – in truth about 100,000 don’t normally get in anyway – but it’s still a shocking statistic. And an opportunity for you guys Down Under to cash in. Read more »
- Lonely Planet – the gift that keeps on giving
  
  There’s nothing my kids hate more than hearing me start a telling off with the phrase “when I was a kid…” It usually follows them taking an ordinary household item – like the family computer – for granted. Read more »
- ATEC could do worse than appoint the next Matt Hingerty to replace the last one
  
  As a long-suffering England soccer fan, I’ve noticed a trend in the way the Football Association appoints the national team manager. That is, it tends to go for the polar opposite of the man who went before. If you don’t believe me, here’s the recent evidence… Read more »
- Another Wicked piece of marketing
  
  I’ve written about this before, but once again I have to confess to a sneaking admiration for the PR and marketing expertise of John Webb and Wicked Campers. Read more »
- Grounds for cautious optimism, but things could get worse before they get better
  
  Just got back from a couple of weeks in London – surely the world’s most depressed capital city at the moment, but more of that later – and everyone I speak to seems to be 20 per cent down. Read more »
- BOA successfully talks up the ‘Gong and south coast
  
  BOA president Katrina Greeves’ wrap-up on last week’s regional meeting in Wollongong.
  
  Over 10 local South Coast tourism operators joined BOA Committee representatives and members at the ‘BOA Talks South Coast’ event in Wollongong last Thursday to engage in lively debate regarding travel and tourism issues affecting the backpacker, student and youth market in the south coast region. Read more »
- What prison taught me about discounting
  
  Founder of Brokepacker.com Kevin Lippy explains there are three types of discounting ahead of the website’s launch tonight.
  
  A prison yard is a tough, volatile, dangerous, cut throat and an extremely unpredictable environment… Kind of like the Australian backpacking industry during low season. Read more »
- How many backpackers does it take to change a lightbulb?
  
  Thumbrella is conducting an exclusive industry survey this week, with just one question. How many of your customers are idiots? Read more »
- How’s business?
  
  So, how’s business? It’s a simple question, but it seems there’s no easy answer. Read more »
- Australian backpacking is the pulse we watch to gauge the health of the industry worldwide
  
  In this guest post, gapyear.com founder Tom Griffiths relects on the recent ATEC Backpacker and Youth Industry Conference and why Australia’s backpacking industry still leads the world.
  
  Like most of the delegates I spoke to, I found the recent ATEC Backpacker and Youth Industry Conference extremely interesting and useful. It’s very easy in these current times to set a safe agenda to cater for an industry licking its wounds, who want to hear good news stories and see rainbows ahead. Read more »
- McEvoy: ‘Put your tourism experiences on the map’
  
  Tourism Australia managing director Andrew McEvoy discusses the first stages of the There’s nothing like Australia campaign and urges the industry to get involved. Read more »

The devil’s in the detail

It’s understandable business practice for a supplier to undercut the price a competitor offers to attract business,
knowing that consumers will shop around on price.

An increasingly attractive way to undercut the competition has been to component price, which is to split the cost into its components and prominently display the basic price stripped of compulsory extras such as taxes, fees and charges, which are hidden in the fine print.
The travel industry has component pricing down to a fine art, prominently advertising “from $XXX*” in bold type, then repeating the price asterisk in the fine print – “*plus air taxes, port charges, fuel surcharges, seasonal surcharges, airfare supplements and hotel surcharges”.
The new Clarity in Pricing Bill introduced by the Federal Government attacks component pricing head-on by requiring suppliers to display a single price inclusive of compulsory extras.
The Bill states the total price must be prominently specified. It gives these two examples of how to display the price – either “$114 (inclusive of taxes fees and charges)” or “$79 plus $35 taxes, fees and charges for a total price of $114”.
There are three exclusions from this single price requirement:

Delivery charges – post or courier
Where the extras are optional, such as charges for credit card use where other means of payment are accepted
Where the extras are not known, and not even a minimum can be estimated

It is still permissible to use the fine print to make it clear that the price is for basic travel – such as per person, twin share, land only – without having to separately display the price for couples, any single supplements and airfares, as long as the price is inclusive of taxes, fees and charges.
Conclusion: everyone who advertises a price must include taxes, fees and charges in the price from early next year, when it is expected Clarity in Pricing will become law.Australian travel and tourism lawyer Anthony Cordato contributes a regular column to Backpacker Trade News.

Australian travel and tourism lawyer Anthony Cordato contributes a regular column.

By Martin Lane · October 17th, 2008 at 3:42 pm