• Latest
  • Trending
  • All
  • News
  • Business
  • Politics
  • Science
  • World
  • Lifestyle
  • Tech
Americans are tipping more often, even if they don’t want to

Americans are tipping more often, even if they don’t want to

February 4, 2023
Yes, Vegetables for Dessert

Yes, Vegetables for Dessert

March 23, 2023
Oxford, Michigan, school shooter’s parents can stand trial

Oxford, Michigan, school shooter’s parents can stand trial

March 23, 2023
Trump Rape Case Jury Will Be Anonymous Due to MAGA Threats of Violence

Trump Rape Case Jury Will Be Anonymous Due to MAGA Threats of Violence

March 23, 2023
Kremlin Nepo Baby Ditches Ankle Monitor and Flees U.S. Extradition

Kremlin Nepo Baby Ditches Ankle Monitor and Flees U.S. Extradition

March 23, 2023
Florida Principal Ousted After Parents Melt Down Over Michelangelo’s ‘Pornographic’ Statue of David

Florida Principal Ousted After Parents Melt Down Over Michelangelo’s ‘Pornographic’ Statue of David

March 23, 2023
Canada Hits Record Population Growth Through Immigration

Canada Hits Record Population Growth Through Immigration

March 23, 2023
Driver Strikes Highway Workers in Maryland, Killing 6

Driver Strikes Highway Workers in Maryland, Killing 6

March 23, 2023
Ex-‘Vanderpump Rules’ Star Jax Taylor Spills on Alleged ‘Scandoval’ History

Ex-‘Vanderpump Rules’ Star Jax Taylor Spills on Alleged ‘Scandoval’ History

March 23, 2023
On and Off ‘Ted Lasso,’ Toheeb Jimoh Has Stepped Out of the Background

On and Off ‘Ted Lasso,’ Toheeb Jimoh Has Stepped Out of the Background

March 23, 2023
Netanyahu’s Legal Crusade Is Sparking a Military Backlash in Israel

Netanyahu’s Legal Crusade Is Sparking a Military Backlash in Israel

March 23, 2023
Brock Davies chops off his hair ahead of ‘Vanderpump Rules’ reunion

Brock Davies chops off his hair ahead of ‘Vanderpump Rules’ reunion

March 23, 2023
LeVar Burton Shocked by Whoopi Goldberg’s New Look on ‘The View’: “That’s What’s Different About You!”

LeVar Burton Shocked by Whoopi Goldberg’s New Look on ‘The View’: “That’s What’s Different About You!”

March 23, 2023
DNYUZ
  • Home
  • News
    • U.S.
    • World
    • Politics
    • Opinion
    • Business
    • Crime
    • Education
    • Environment
    • Science
  • Entertainment
    • Culture
    • Music
    • Movie
    • Television
    • Theater
    • Gaming
    • Sports
  • Tech
    • Apps
    • Autos
    • Gear
    • Mobile
    • Startup
  • Lifestyle
    • Arts
    • Fashion
    • Food
    • Health
    • Travel
No Result
View All Result
DNYUZ
No Result
View All Result
Home News Business

Americans are tipping more often, even if they don’t want to

February 4, 2023
in Business, News
Americans are tipping more often, even if they don’t want to
558
SHARES
1.6k
VIEWS
Share on FacebookShare on Twitter

Americans may be grumbling about the new rules of tipping — whatever those are exactly — but they’re ponying up anyway.

Figures that the payment processor Square provided to NBC News show the frequency of gratuities at full-service restaurants grew 17% in the fourth quarter last year from the same period in 2021, while tip frequency at quick-service restaurants rose 16%. Restaurants deemed quick-service, like coffee shops and fast-food chains, typically do not offer wait service, the company said.

Square found those tipping increases came on top of gains in the third quarter for both types of establishment.

T.J. Horn, a 41-year-old construction laborer based in Boston, said a 20% tip has been his standard minimum since the lockdown era, even on a $3 cup of coffee.

“It’s just become a common expected thing in my brain,” said Horn, who added that having friends in the restaurant industry softened his outlook on tipping. “I see how much abuse they take on a daily basis.”

The jump in tipping frequency comes despite a period of record inflation that has whittled away many consumers’ discretionary income. And it coincides with a shift toward spending on services and experiences, like travel and dining out, during the recovery from the pandemic recession.

The past few years’ economic changes may have helped shape attitudes like Horn’s, consumer experts say.

“Big disruptive moments reset habits,” said Americus Reed, Whitney M. Young Jr. professor of marketing at the University of Pennsylvania’s Wharton business school.

“The big part is just a realization and appreciation for human contact. If we get really great service, and you have a really great connection with a service provider, it fills you with joy,” he said. “It’s almost like a chemical reaction — that you’re paying for that dopamine hit.”

But that doesn’t mean all patrons who’ve been tipping more often are doing so solely out of the kindness of their hearts.

The point-of-service, or POS, systems that restaurants increasingly use to process payments have made it easier than ever for customers to offer — and businesses to solicit — gratuities, experts said.

“People don’t like to expend cognitive resources,” said Deidre Popovich, associate professor of marketing at Texas Tech University. “These retail establishments have gotten better at providing us with those default choices to kind of prompt that tipping behavior.”

In a recent survey of restaurant executives by industry group Hospitality Technology, 71% of respondents said using data to “understand guest preferences and behavior” was their main reason for making POS upgrades. For 57%, enabling new payment options was paramount.

Those devices and software also give businesses more ways to calibrate tip amounts. For example, managers can set the tip percentages customers can choose from, and even include a certain selection in the subtotal by default.

Not everybody likes that, and some consumers have been complaining on social media about ‘tipflation.’

“This is your job. It’s getting way out of hand,” chirped one Twitter user who said they recently declined to tip on a Starbucks order.

“At the cafe pressing ‘no tip’ on the tiny iPad as I maintain eye contact with the barista,” another posted, as though narrating their defiance of what is sometimes an uncomfortable social interaction. 

So far, the rise in tipping frequency suggests resisters remain a minority faction. Even if some find the POS nudges irritating, many are likely adding a tip anyway.

I can help out where I can, but you don’t tip the clerk at CVS for taking the aspirin bottle and handing it to you.

Tyler Cooper, 34, who lives in Oakland, Calif., and works as a tech marketer, said he’s noticed the default tip selection at quick-service shops “keeps increasing.” He said he adds gratuity for complicated orders but is frustrated with what he sees as a growing expectation to subsidize workers’ pay.

“I make a good living, so I can help out where I can,” he said, “but you don’t tip the clerk at CVS for taking the aspirin bottle and handing it to you.”

Consumers aren’t necessarily tipping more generously, though. POS operator Toast found the average tip of around 19% on its systems has remained basically flat for much of the past 12 months. Even quick-service restaurant tips have held steady, hovering at just under 17% in the second and third quarters last year as inflation surged.

“Tipping is still slightly up compared to the time right before the pandemic in 2019,” a Toast spokesperson added.

Hannah Mase, a 25-year-old barista at Lobos Coffee Roasters, an Orlando-based cafe, said a customer recently tipped 14 cents when prompted on the touchpad. Mase said that while she thinks American tipping culture is “kind of ridiculous” in the absence of more equitable wages, gratuity often comprises a substantial portion of her paycheck.

Of the $765 she earned during the last two-week pay period, with her base pay of $10.50 an hour, $263 came from pooled tips.

“We’re making you something not from thin air, but from all the ingredients that we have back here,” said Mase, who is also pursuing a recording arts degree at nearby Full Sail University. “It’s not exactly advertised how much somebody at a local coffee shop is making hourly, but those tips do go a long way.”

Many consumers described encountering tipping prompts sans wait service as “awkward.” Even patrons who are open to adding to their tabs said they’re unsure when to tip and how much.

Diane Gottsman, an etiquette expert and founder of the Protocol School of Texas, recommends gratuity in most situations but said consumers looking to deflate their anxiety at the register can ask themselves: Did they give me a reason to tip?

“Were they friendly? Do they know your name?” she said. “It’s not obligatory, but I do encourage you to be generous when possible.”

The post Americans are tipping more often, even if they don’t want to appeared first on NBC News.

Share223Tweet140Share

Trending Posts

What Fueled the U.K.’s Season of Strikes, and Why It May Be Ending

What Fueled the U.K.’s Season of Strikes, and Why It May Be Ending

March 23, 2023
GTC 2023: Nvidia shares how Rapids can future-proof Apache Spark

GTC 2023: Nvidia shares how Rapids can future-proof Apache Spark

March 23, 2023
Ja Morant Says He Wants ‘Redemption’ After Gun Video

Ja Morant Moves Toward ‘Redemption’ After Gun Video

March 23, 2023
No time for complacency, warn European regulators

No time for complacency, warn European regulators

March 23, 2023
Who Is Most at Risk for Long Covid?

Who Is Most at Risk for Long Covid?

March 23, 2023

Copyright © 2023.

Site Navigation

  • About
  • Advertise
  • Privacy & Policy
  • Contact

Follow Us

No Result
View All Result
  • Home
  • News
    • U.S.
    • World
    • Politics
    • Opinion
    • Business
    • Crime
    • Education
    • Environment
    • Science
  • Entertainment
    • Culture
    • Gaming
    • Music
    • Movie
    • Sports
    • Television
    • Theater
  • Tech
    • Apps
    • Autos
    • Gear
    • Mobile
    • Startup
  • Lifestyle
    • Arts
    • Fashion
    • Food
    • Health
    • Travel

Copyright © 2023.

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Cookie settingsACCEPT
Privacy & Cookies Policy

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may have an effect on your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT