#TransparentTipping

[binimom]

America's Tipping Culture Makes Customers Cry

In the United States and other European countries, there is a tipping culture where you are expected to tip when you eat or drink coffee in a restaurant. It's a way of saying thank you for the friendly service and delicious food, but it's also a way of saying goodbye to the tipping culture that's been driving consumers crazy lately.

In the age of automation and self-service, American consumers are experiencing a unique phenomenon: being treated like royalty, a term that refers to customers who pay more than they expect or need to. This is evident in America's tipping culture. Tipping culture has made its way into self-service kiosks at quick-service restaurants, cafes, and even gift shops. According to a recent report from Square, a U.S. payment system company, tipping transactions at quick-service restaurants like McDonald's increased 16% year-over-year in the fourth quarter of last year. This tip increase is the same as the 17% increase at full-service restaurants where employees provide face-to-face service. It seems that even in establishments with little or no face-to-face service, consumers are expected to tip just as they would in a traditional dining environment. Why do I still need to tip for kiosk orders?

At the heart of the problem is the expectation to tip for a service that doesn't necessarily warrant it. For example, when Garrett Bemiller, 26, purchased a $6 bottle of water at an OTG gift shop in New Jersey, he was asked to tip 10-20% while paying at a self-service kiosk. He felt the request was akin to "emotional extortion," a sentiment echoed by Warren Williamson, 35, who had a similar experience at an OTG gift shop at Bush Intercontinental Airport in Houston, Texas. Consumers argue that companies are using tipping as a way to pass the pressure of inflationary wage increases onto customers. "They're using self-calculators to reduce labor costs. I don't know why they're asking for tips or where it's going," said Ishita Jamar, a student at American University in Washington, D.C. "They're using self-calculators to reduce labor costs. As American consumers navigate an increasingly automated landscape, it's important to consider the impact of tipping culture on both businesses and customers. While it's important to support workers and ensure they are paid a fair wage, expecting a tip for a self-service transaction can create a sense of patronization, making consumers feel taken advantage of and manipulated.

So how can we find balance in this evolving tipping culture?

For starters, consumers can remain vigilant about where their tips go and how they are distributed. On the other hand, businesses need to rethink their expectations around tipping and prioritize transparency with their customers. The tipping culture in the U.S. is deeply ingrained, but as automation continues to grow, we must adapt to ensure that both consumers and workers are treated fairly. As we work to find solutions, let's remember that empathy, understanding, and open communication are the keys to navigating these uncharted waters together.

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