Data Nexus

Demand and conversion

Revealing mandatory charges one screen at a time, so the price a buyer compares is never the price they pay.

Also called Partitioned pricing · Hidden fees · Дробление цены · Скрытые сборы

01/What it means

The technique works on the order of disclosure rather than on concealment. Every fee appears before payment; each appears after the decision it would have changed. Comparison happens on the first screen, and the first screen is the one carrying the lowest number.

The UK Department for Business and Trade sampled 525 online providers in September 2023 and found at least one dripped fee at 46% of them, modelling the consumer cost at between £0.6bn and £3.5bn a year in additional online spend.

In the UAE two instruments reach it before any argument about fairness. Cabinet Decision No. 66 of 2023 requires the total price in dirhams to be disclosed before purchase, and Article 27(1) of Cabinet Decision No. 52 of 2017 requires published prices for a taxable supply to be inclusive of VAT — so a shelf price excluding tax is a tax question first.

02/What people get wrong

Disclosure is judged where the decision is made, not where the lawyer put it. A charge revealed at step four of five is disclosed to a buyer who has already chosen, and a price advertised excluding VAT is non-compliant in the UAE however clearly the exclusion is labelled.

Next

The definitions are the easy part. Whether the figure on your dashboard was computed this way is a different question, and usually the more expensive one.