Consumer NZ welcomes Jetstar’s backdown on opt-out pricing

Consumer NZ welcomes Jetstar’s backdown on opt-out pricing

Jetstar has been forced to back down on opt-out pricing. The airline yesterday signed formal undertakings with the Commerce Commission agreeing to stop pre-ticking boxes for travel insurance, seat selection and check-in baggage.

Consumer NZ chief executive Sue Chetwin said this was a great outcome for consumers.

Consumer launched its “Ditch the Ticks” campaign in May last year calling on Jetstar to stop using pre-ticked boxes.

“It took a truly canny consumer to make their way through a Jetstar booking without having additional charges appear on the fare. On a return flight from Wellington to Auckland, the service charges including pre-selected insurance, seats and baggage, could add more than $40 to the fare,” Ms Chetwin said.

A Consumer NZ member survey found 93 percent of respondents wanted Jetstar to stop using pre-ticked boxes for travel insurance, seat selection and check-in baggage.

Consumer NZ and its counterpart Choice in Australia had been campaigning for the regulators to take action.

Jetstar’s backdown now meant consumers making online travel bookings could do so without being tripped up by pre-selected and unwanted extra expenses, Ms Chetwin said.

The company has given enforceable undertakings to the Commerce Commission that it will stop pre-ticking boxes on its website. Jetstar has until April 30 to make the website changes. The company has also been issued with a formal warning.

ENDS

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