The Asia specialist said the full cost of the holiday, including the tip, would be fully commissionable, offering agents "a real point of difference".
What was previously a discretionary amount decided by the client will now be charged as a fixed sum based on the length and style of the trip.
This sum will be automatically included in the overall cost of the holiday, and split fairly between each experience provider involved locally.
If the client feels they did not receive satisfactory service from their guides throughout the holiday, they are entitled to a full refund of the tip upon their return.
Sam Clark, managing director and co-founder of Experience Travel Group, said: "This initiative is truly groundbreaking for the travel industry. 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 to tip this guide. We think it will give our travel agent partners a real point of difference for their clients."
Prior to launch, ETG surveyed a pool of clients to gauge how they would react to a move to tip-inclusive holidays. Of those interviewed, 80% supported the initiative.
ETG also put the same question to their guides across Asia and found approximately 90% were in strong support of the change as they felt it was fairer and gave them better job security.
Charlie Panton, owner of Putney Travel, added: "It will be such a strong selling point for clients. 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."
‘No quick fix’
The operator also revealed on Wednesday (19 May) it is pursuing B Corporation status, which will independently verify and certify the business’s social and environmental performance.
Initial efforts include contributing to three carbon-capture projects in Asia, eliminating single-use plastics from trips and giving staff time off to give back to their communities, while beginning work on a "deeper-dive" into the sustainability of every experience ETG offers.
"We understand there is no ‘quick fix’ when it comes to putting people and planet first – far from it," said ETG in a message to clients. "We are not perfect, and there are still many areas in which we strive to do better.
"But, when it comes to our impact, we are en route to minimising the negative and maximising the positive. And it feels like the right way to go."
