The Cost of a Price Hike
When it's time to add fees, be clear about what and why.
Nickels and dimes add up fast, and while consumers might not be aware of the extra charges at first, they're sure to feel it in their pocketbooks later. Bob Sullivan coins it "gotcha capitalism" in his book, Gotcha Capitalism: How Hidden Fees Rip You Off Every Day and What You Can Do About It. Whatever you call it, tacking on hidden fees is an exploding trend, says Sullivan. "Companies under intense price pressure have figured out that they can soak consumers by giving them a teaser price, hiding the real price of things and tacking on fees later."
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