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Companies use drip pricing to overcharge consumers

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Re: Companies use drip pricing to overcharge consumers

#401

Post by berniedurfee »

Quarrelsome wrote: post #261
chottocharaii wrote: post #237

Earlier quoted context omitted.

If you live in America you're an asshole if you do this. Tipping is the well-established cultural way for servers to make income. It is -not- something reserved for situations where good service is to be incentivized. Maybe in other countries ... but not the United States.

> Tipping is the well-established cultural way for servers to make income. One could also argue that its a means for companies to intentionally under-pay their staff while also re-directing any anger at being exploited from the company to the consumer. Perfect divide and conquer tactics that has somehow become culturally engrained to the point that if anyone refuses to be part of this macabre tragedy they are framed…

Either way, sticking it to the man by denying waitstaff a tip is a poor method to fix an inequity.

Just tip, so your server can get closer to a living wage for their hard work.

Re: Companies use drip pricing to overcharge consumers

#402

Post by berniedurfee »

ExoticPearTree wrote: post #370
chottocharaii wrote: post #237

Earlier quoted context omitted.

If you live in America you're an asshole if you do this. Tipping is the well-established cultural way for servers to make income. It is -not- something reserved for situations where good service is to be incentivized. Maybe in other countries ... but not the United States.

So what you're saying is that we should tip no matter what?

Yes

Re: Companies use drip pricing to overcharge consumers

#403

Post by taneq »

ExoticPearTree wrote: post #370
chottocharaii wrote: post #237

Earlier quoted context omitted.

If you live in America you're an asshole if you do this. Tipping is the well-established cultural way for servers to make income. It is -not- something reserved for situations where good service is to be incentivized. Maybe in other countries ... but not the United States.

So what you're saying is that we should tip no matter what?

I think they’re saying that in America a tip is not a voluntary extra payment in gratitude for exceptionally good service. It’s a consultant free for hiring an independent subcontractor.

Re: Companies use drip pricing to overcharge consumers

#404

Post by pxx »

jaxn wrote: post #278
illumin8 wrote: post #271

Earlier quoted context omitted.

One thing I've noticed recently on 2 restaurant trips in the last couple weeks: The automatic tip calculations are wrong in the server/restaurant's favor. Most of us typically check the 20% option and don't double-check the math, but in the past these calculations were always done pre-tax. If your food came to $100 and you tipped 20%, the total would be $120 + sales tax. Now, the last 2 times I've eaten out the autom…

I suspect most people tip on the after-tax amount when they calculate it themselves. I get that you don’t. I also know people who tip on the non-alcohol amount. Personally, I have always tipped post-tax. These are also low-margin businesses. A post-tax surcharge keeps your overall bill lower than if they had raised prices, which would also raise the tax amount. The high labor costs are going to be passed on to consum…

No, this doesn't work. See e.g. https://www.taxconnex.com/blog-/covid-surcharges-and-sales-t... for cases where it's explicitly been made clear that surcharges are also subject to tax.

Re: Companies use drip pricing to overcharge consumers

#405

Post by pxx »

dTal wrote: post #363
bruce511 wrote: post #297

Earlier quoted context omitted.

If you think about it, this is not surprising. Ultimately you are paying for a lot more than the food. Let's assume you can make the meal yourself at home. You'd pay for the ingredients, but probably ignore all the other costs. A) labor is the obvious first candidate. Purchaser, chef, server, host, barman, dishwasher, table cleaner- there are lots of people involved. The price of your meal should include labor at fai…

>So yeah, small establishments with very low overhead (think food trucks) can be both good and good value. But most places either have to skimp on quality (think most fast food) or try and externalise the cost (via tipping etc) Option C: charge sustainable prices and honestly post them, like nearly every other business . Why is this so hard for restaurants especially? Imagine going for a haircut and having to choose…

Wait that's literally what happens with haircuts too. The price board, if you're lucky to go to a place with one, states something like "$20 up", whatever that means, and you're supposed to tip on top of that.

Re: Companies use drip pricing to overcharge consumers

#406

Post by daydream »

jrochkind1 wrote: post #373
HelixEndeavor wrote: post #196

Earlier quoted context omitted.

Why are prepaid carriers so much better then traditional ones, it seems? I've been on Metro for years, service is identical to T-Mobile at a fraction of the cost with no hidden fees.

The weirdest thing is that Metro is literally 100% owned by T-Mobile. And Cricket by AT&T. Just different business models.

Market segmentation.

Re: Companies use drip pricing to overcharge consumers

#407

Post by TheCoelacanth »

michaelmrose wrote: post #280
TheCoelacanth wrote: post #260

Earlier quoted context omitted.

It's not dine and dash if they refuse to accept payment.

Most employee interfaces don't have a way to represent customer paid arbitrary dollars towards their ticket but not all of it. Try this at retail. I'm only going to pay 50c towards that candy bar because that's what I feel like it should cost and ask to swipe your card for 50c. Most systems could represent a payment of less than the cost of the ticket as a partially completed transaction but would be faced with the d…

Their POS system, their problem. I tried to pay. They didn't take the money. Not dine and dash.

Re: Companies use drip pricing to overcharge consumers

#408

Post by ADuckOnQuack »

berniedurfee wrote: post #401
Quarrelsome wrote: post #261

Earlier quoted context omitted.

> Tipping is the well-established cultural way for servers to make income. One could also argue that its a means for companies to intentionally under-pay their staff while also re-directing any anger at being exploited from the company to the consumer. Perfect divide and conquer tactics that has somehow become culturally engrained to the point that if anyone refuses to be part of this macabre tragedy they are framed…

Either way, sticking it to the man by denying waitstaff a tip is a poor method to fix an inequity. Just tip, so your server can get closer to a living wage for their hard work.

Do you tip the janitors of each place you frequent? What makes wait staff any more deserving of a living wage than other occupations? Realistically tipping is just a subsidy for corporations who choose to take more profit instead of pay a living wage to their workers.

Re: Companies use drip pricing to overcharge consumers

#409

Post by joveian »

seanmcdirmid wrote: post #347
hadlock wrote: post #231

Earlier quoted context omitted.

Servers make $2.14 an hour in Texas, they're fully dependent on tips. They often/always have zero control over the kitchen or management's ability to do staffing. Keep this in mind when you eat in that state.

In WA (and I think CA) they are required to make state/local min wage ($15/hour) before tips are considered.

Same in Oregon, other than minimum wage being lower (and variable depending on where you are).

Re: Companies use drip pricing to overcharge consumers

#410

Post by berniedurfee »

ADuckOnQuack wrote: post #408
berniedurfee wrote: post #401

Earlier quoted context omitted.

Either way, sticking it to the man by denying waitstaff a tip is a poor method to fix an inequity. Just tip, so your server can get closer to a living wage for their hard work.

Do you tip the janitors of each place you frequent? What makes wait staff any more deserving of a living wage than other occupations? Realistically tipping is just a subsidy for corporations who choose to take more profit instead of pay a living wage to their workers.

Wait staff in many states make below minimum wage, with tips expected to make up the rest. So I always tip wait staff and will still tip when theses laws change.

I also try to tip everyone I can when I have the means. Yes, I’d tip janitors, their job sucks, as do most jobs where you have to deal with the general public, and they’re underpaid.

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