American consumers are expressing a growing sense of "tipping fatigue" and feeling emotionally coerced at checkouts, despite the steady increase in tipping across various industries.
The stress caused by high inflation rates and rising cost of living has been widely reported, highlighting the phenomenon of "tipping fatigue." However, this hasn't deterred customers from continuing to tip.
According to Toast, a point-of-sale platform, 48% of transactions at quick-service restaurants on their platform included a tip in the form of a card or digital payment in the fourth quarter of 2022. This marks an 11% increase since the first quarter of 2020.
Business Insider also spoke to payment platform Block (formerly Square), which revealed that tips in full-service restaurants increased by 16.5%, while gratuities in quick-service restaurants rose by 15.86% in the fourth quarter of 2022 compared to the same period in 2021. It is important to note that these figures represent all tips received, not just those made through self-service kiosks.
Confusion surrounding tipping is particularly prevalent at self-service locations. The Wall Street Journal interviewed several customers who were unsure about where their tips were going but still felt compelled to leave a few dollars for their robotic servers.
Emily Clulee and Gracie Sheppard, both 20-year-old college students, shared their experience of feeling obligated to tip when purchasing $5 worth of cookies. Despite minimal interaction with human staff, they still felt the need to tip. Sheppard acknowledged the importance of tipping but questioned its necessity in situations where no one provided assistance. She added, "I feel like there shouldn't even be the option to tip."
Corey Gary, a 28-year-old man, encountered a similar dilemma when using a self-service beer fridge at Petco Park, the home of the MLB's San Diego Padres. After helping himself to a drink, he was prompted to leave a tip at checkout. Despite his confusion, Gary decided to leave an additional 20%.
The Wall Street Journal confirmed that tipping is optional at the stadium, with a spokesperson stating, "Guests are not required to leave a tip and may select 'No tip' at checkout if they so choose." The tips collected at the stadium are distributed among the employees.
Crumbl, the establishment where Clulee and Sheppard purchased their cookies, also clarified that the tips are distributed among their bakers.
Similarly, a spokesperson for the OTG gift shop at Newark Liberty International Airport in New Jersey explained that any tips received from self-checkout machines are divided among the staff working at that time.
One 26-year-old customer described the gift shop's practice as "emotional blackmail" and chose not to tip when purchasing a $6 bottle of water.
While morale may be low among American consumers, tipping rates continue to rise. It is important to note that tipping remains entirely optional, as vendors have emphasized.
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