Experience Travel Group is thought to be one of the first tour operators to include the cost of tips for its guides and drivers in the overall cost of its holidays.
Tips will be automatically included in the holiday cost and split between each local experience provider.
On average, it pushes up the price of a two week holiday by around £150 per person, with the tips passed on to the ground handlers in destination to give to the individual guides.
The full holiday cost will then be commissionable to travel agents, including the tip.
The Asia specialist tour operator said it decided to offer tip-inclusive holidays after surveying a select group of its clients, of which 80% said they were in favour.
If customers do not enjoy a satisfactory service from their holiday guides they will be able to get a full refund of the tip amount on their return, said the company.
The operator also asked its guides across Asia about the plan to include tips. Around 90% strongly favoured the move as they felt it was fairer and gave them better job security.
Experience Travel Group managing director and co-founder Sam Clark called the move “truly ground-breaking for the travel industry”.
He said: “Going ‘tip-inclusive’ is fairer for our customers and for our local employees. Our clients will receive an upfront cost that better reflects the real cost of the holiday. Best of all, it will remove that often difficult and sometimes stressful moment when you wonder when, how and what amount should I tip this guide. We think it will give our travel agent partners a real point of difference for their clients.”
Putney Travel owner Charlie Panton agreed the move would provide a strong selling point for clients.
He said: “I appreciate it is much easier to do in a closed environment such as a ship or fixed group, so this is great to have on fully inclusive tour holidays.”