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Tip pressure might work in the moment, but customers are less likely to return
31–40 of 187 posts
Re: Tip pressure might work in the moment, but customers are less likely to return
#32Earlier quoted context omitted.
Six months ago I was at a burrito place and saw as I was paying that there was a new 3% fee for paying with a credit card. I have not gone back there since. Asking $11 for a burrito was already iffy and by then I'd started to curtail fast food purchases. I can't even imagine paying an 18-20% fee that isn't meant to be the entirety of the tip.
A 3% fee for a card makes perfect sense to me. That's not far off from what the merchant is losing for credit card customers, so their options are: 1. Charge the same for credit cards as cash, and make cash paying customers effectively pay more, thus applying a regressive tax to the poor (who are less likely to have credit cards) 2. Charge more for the credit card paying customers, and they can avoid this extra payme…
If you charge 3% just to credit card users, they are now subsidizing the cash customers. I am guessing you are assuming the cost of cash handling to be zero.
Re: Tip pressure might work in the moment, but customers are less likely to return
#33Let’s have restaurants raise prices to cover employee salaries, and make it illegal for them to ask for tips. Customers who want to tip need to do so without solicitation. (Not sure how this would work with credit card terminals though).
The terminals are the problem. If people would abandon a cashless lifestyle they can tip normally without the electronic shame box.
I normally pay cash for food anyways as I don't want my eating habits data-mined for some future insurance penalty, etc.
Re: Tip pressure might work in the moment, but customers are less likely to return
#34I dread the day I have to eat at US restaurants, or even get something delivered. Part of the reason is cultural: I’ve never lived in a country where a tip is mandatory and you’ll be called out if you don’t. The other reason being it involves a degree of social pressure and shame, if one doesn’t tip enough. Both don’t sit well with me. But I can attest that if I’m forced to tip, I’ll not return to that establishment.
It's a broken system but it will never go away since tips are tax-advantaged (there's no sales tax on the tip). The mental block can be helped a little by adding 1/3rd to all the menu prices as you read them.
> tips are tax-advantaged (there's no sales tax on the tip)
Someone please correct me if I'm wrong, but the bigger tax that's avoided here is corporate taxes, I think. The tip goes directly to the employee, and it's thus not taxed as corporate income, is my understanding.
EDIT: Ah, I missed that corporate taxes were on net earnings rather than gross, so this wouldn't make any difference. Thank you!
Re: Tip pressure might work in the moment, but customers are less likely to return
#35Earlier quoted context omitted.
In my experience, it's uncommon to be called out for not leaving a tip, at least on the East Coast of the US. At worst, you might get a nasty look depending on the context (unlikely at a cafe, maybe at a nice restaurant with good service).
You run the risk of people spitting in your food if they recognize you when you return.
If they'll spit in your food for not leaving a tip, they'll probably spit in your food for other reasons as well. Best to simply avoid those places.
Re: Tip pressure might work in the moment, but customers are less likely to return
#36I dread the day I have to eat at US restaurants, or even get something delivered. Part of the reason is cultural: I’ve never lived in a country where a tip is mandatory and you’ll be called out if you don’t. The other reason being it involves a degree of social pressure and shame, if one doesn’t tip enough. Both don’t sit well with me. But I can attest that if I’m forced to tip, I’ll not return to that establishment.
>The other reason being it involves a degree of social pressure and shame, if one doesn’t tip enough. It's standard to tip 15% for decent service in a restaurant(sans win). You are of course free to tip more for good service or less for crappy service, but unless your experience is truly exceptional (in either a good or bad way) you can never go wrong with 15%. This is standard any US restaurant where you sit down an…
> It's standard to tip 15% for decent service in a restaurant
This is not true, and hasn't been for some time [1]
[1] https://www.researchgate.net/figure/Average-reported-tip-rat...
Re: Tip pressure might work in the moment, but customers are less likely to return
#37The other one I'm seeing lately is a semi-stealth "service charge" on the bill. Something like 18% to 20% added to the bill without really standing out. This used to be something they'd do for "larger parties", but now I'm seeing it even when I'm eating solo. This makes for an uncomfortable situation where I now have to ask the waiter or bartender if they receive this as a tip. Then I need to decide if I want to tip…
It's out of control. More tipping, more surprise charges, higher prices for the food itself, smaller portion sizes, worse or same service. Taking into account these factors, inflation is much higher than the CPI.
Re: Tip pressure might work in the moment, but customers are less likely to return
#38I dread the day I have to eat at US restaurants, or even get something delivered. Part of the reason is cultural: I’ve never lived in a country where a tip is mandatory and you’ll be called out if you don’t. The other reason being it involves a degree of social pressure and shame, if one doesn’t tip enough. Both don’t sit well with me. But I can attest that if I’m forced to tip, I’ll not return to that establishment.
>The other reason being it involves a degree of social pressure and shame, if one doesn’t tip enough. It's standard to tip 15% for decent service in a restaurant(sans win). You are of course free to tip more for good service or less for crappy service, but unless your experience is truly exceptional (in either a good or bad way) you can never go wrong with 15%. This is standard any US restaurant where you sit down an…
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Re: Tip pressure might work in the moment, but customers are less likely to return
#39The other one I'm seeing lately is a semi-stealth "service charge" on the bill. Something like 18% to 20% added to the bill without really standing out. This used to be something they'd do for "larger parties", but now I'm seeing it even when I'm eating solo. This makes for an uncomfortable situation where I now have to ask the waiter or bartender if they receive this as a tip. Then I need to decide if I want to tip…
When this started showing up near me the places that did it trained their staff to tell you up front that it was on there. They'd make a comment that you can add extra if you wish, but no obligation to do so. Over time I've found more and more they just don't mention it at all. More than once I got home and realized I tipped on top of the total + service charge: "Why was that about $100 more than I thought it'd be?",…
> More than once I got home and realized I tipped on top of the total + service charge: "Why was that about $100 more than I thought it'd be?"
Assuming the service charge was even 15%, for it to be $100 more than you thought it would be, your bill would be $600+ (simplifying for taxes)...
I don't go out for $600 dinners that often, though I have.
And that being said, I do think tipping does bring out some less sensical practices - why should the server get five times more for serving me a single bottle of wine if the wine was $100, versus $20? It was still a single bottle of wine.
Re: Tip pressure might work in the moment, but customers are less likely to return
#40Square is the most egregious offender of this in my neck of the woods. Outrageous tip options (usually starting at 20%) and a large screen that make your selection obvious leave a bad taste in my mouth.
I've witnessed multiple businesses switch to Square and the suggested tips skyrocket. I don't know if it's a default or just a coincidence.