Hilton Head Island, October 25, 2025
News Summary
Hilton Head Island, a popular vacation spot, has a destination marketing fee that many guests may overlook. This optional charge varies among hotels and is used to fund local tourism marketing initiatives. While it typically ranges from $3 per night to a percentage of the stay, hotels have the discretion to waive it upon request. The fee aims to improve transparency around tourism costs and is regulated by the FTC, although its application differs across establishments. Guests are encouraged to inquire about this fee when booking accommodations.
Hilton Head Island is a popular vacation destination where many guests overlook a charge known as the destination marketing fee. This fee, which varies among hotels, is an additional charge that guests may encounter when booking accommodations on the island, as well as in nearby Bluffton and Beaufort. While some hotels include this fee, others do not charge it, leading to confusion among guests.
The destination marketing fee typically ranges from a flat rate of approximately $3 per night to a small percentage of the total cost of the stay. Unlike resort fees that cover amenities such as pool access and parking, the destination marketing fee is aimed at funding local tourism marketing initiatives. The fee is often mistakenly assumed to be mandatory, but it is actually optional, and hotels have the discretion to waive it upon a guest’s request. Most establishments will eliminate the fee if asked.
According to a spokesperson for the Hilton Head Island-Bluffton Chamber of Commerce, transparency surrounding these fees is encouraged. The Federal Trade Commission (FTC) regulates various fees, including destination marketing fees, and has implemented new rules effective May 2023 to improve transparency for consumers.
Destination marketing fees are common across tourist destinations nationwide and are used to support local tourism marketing efforts. In South Carolina specifically, some hotels utilize these fees for independent marketing campaigns or collaborate with local Destination Marketing Organizations (DMOs). These organizations can receive matching funds from the state for private funds raised, subject to specific limits.
Unlike other cities, such as Columbia, where hotels participate in a preferred partner program through marketing fees, hotels on Hilton Head do not receive any special status for contributing to this initiative. The program for destination marketing fees has been in place since 2007, and in the most recent fiscal year, over $2 million was raised through hotel partnerships for investment in tourism marketing on the island.
While participating hotels may disclose the destination fee during the checkout process, some do not list it online prior to the booking stage. In Beaufort, hotels that charge this fee can influence how the collected funds are spent but must adhere to guidelines set by state grants. There are no specific regulations from the state of South Carolina regarding destination fees; oversight is primarily left to the FTC.
Scott Cooke from the South Carolina Department of Consumer Affairs noted that these fees should be disclosed clearly to prevent misleading labeling as optional. The South Carolina State Appropriations Act defines the purpose of the destination fee as supporting tourism marketing and public relations initiatives.
The rise in tourism-related revenue aligns with population growth trends in South Carolina, where more than 70,000 new residents were reported to have moved to the state recently. As the housing market evolves, the influx of new residents is likely to further boost the local economy.
Hotel amenities such as direct beach access, pools, spas, and event spaces play a significant role in attracting potential guests, with luxurious features heavily marketed. In the backdrop of ongoing investments in the tourist and hotel market, KSL Capital Partners has recently acquired The Westin Hilton Head Island Resort & Spa, showcasing the sustained interest in this sector despite current market trends.
Frequently Asked Questions
What is a destination marketing fee?
The destination marketing fee is an optional charge that some hotels in Hilton Head, Bluffton, and Beaufort impose, meant to support local tourism marketing initiatives.
How much is the destination marketing fee?
The fee often ranges from a flat rate of around $3 per night to a small percentage of the overall price of the stay.
Are destination marketing fees mandatory?
No, destination marketing fees are optional and hotels can waive them upon request from guests.
Do destination marketing fees differ from resort fees?
Yes, destination marketing fees differ from resort fees, which cover amenities like pool access and parking, as well as local/state accommodation taxes.
How are destination marketing fees used in South Carolina?
In South Carolina, destination marketing fees contribute to tourism marketing, with some hotels using them for individual marketing or partnering with local Destination Marketing Organizations (DMOs).
Key Features of Destination Marketing Fees
| Feature | Description |
|---|---|
| Charge Type | Optional fee imposed by some hotels |
| Fee Range | Around $3 per night or a small percentage of the stay |
| Difference from Resort Fees | Destination fees support marketing, while resort fees cover amenities |
| Waiver Policy | Most hotels will waive the fee upon request |
| Historical Context | In place since 2007 on Hilton Head Island |
Deeper Dive: News & Info About This Topic
HERE Resources
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Additional Resources
- Hotel Dive: KSL Capital Partners Acquires Westin Hilton Head Resort
- Boutique Hotelier: The Westin Hilton Head Sold to KSL Capital
- NJ.com: No Beach Fees and Free Parking — This Paradise Just Might Rival the Jersey Shore
- Kiplinger: 8 Things You Must Know About Retiring to the Carolinas
- WJCL: The Breeze Trolley Service Returns to Hilton Head with New Stops and Destinations
- Wikipedia: Hilton Head Island
- Google Search: Destination Marketing Fees
- Google Scholar: South Carolina Tourism Fees
- Encyclopedia Britannica: Tourism
- Google News: Hilton Head Island
Author: STAFF HERE HILTON HEAD
The HILTON HEAD STAFF WRITER represents the experienced team at HEREHiltonHead.com, your go-to source for actionable local news and information in Hilton Head Island, Beaufort County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the RBC Heritage golf tournament, Hilton Head Island Wine & Food Festival, and the Gullah Celebration. Our coverage extends to key organizations like the Hilton Head Island-Bluffton Chamber of Commerce and Community Foundation of the Lowcountry, plus leading businesses in tourism and hospitality that power the local economy such as Sea Pines Resort and Sonesta Resort Hilton Head Island. As part of the broader HERE network, including HEREAiken.com, HEREBeaufort.com, HEREChapin.com, HERECharleston.com, HEREClinton.com, HEREColumbia.com, HEREGeorgetown.com, HEREGreenwood.com, HEREGreenville.com, HEREHiltonHead.com, HEREIrmo.com, HEREMyrtleBeach.com, HERENewberry.com, HERERockHill.com, and HERESpartanburg.com, we provide comprehensive, credible insights into South Carolina's dynamic landscape.
