The rise of tipping culture, often referred to as "tip creep," has led to increased pressure on consumers to tip for a wider range of services. However, recent surveys suggest that consumers are experiencing "tip fatigue" and are beginning to tip less frequently, particularly resenting instances of "guilt tipping."
According to surveys by WalletHub and Bankrate, a significant majority of Americans now feel that tipping has become excessive, especially with predetermined point-of-sale options. This sentiment is echoed by Tim Self, an assistant professor of hospitality at Austin Peay State University, who notes that tipping expectations have expanded to encompass traditional service encounters as well as app-based services like ride-shares and deliveries.
The feeling of "guilt tipping" has become more prevalent, particularly when faced with predetermined tip options ranging from 15% to 35%. However, consumers are reminded that tipping is ultimately optional, and they should feel comfortable declining when they choose to.
Alex Skijus, CEO and founder of True Life Wealth Management, advises consumers to consider tipping as an expression of gratitude rather than an obligation at every point of sale. He believes that consumer behavior in this regard will influence businesses to adjust suggested tip amounts or eliminate tip prompts altogether.
Data from Toast's restaurant trends report indicates that tipping rates at both full-service and quick-service restaurants have slightly declined in recent years. Interestingly, tipping tends to be lower on Sundays and peaks on Thursdays, with variations throughout the week.
Overall, the trend suggests a growing awareness among consumers regarding tipping practices and a potential shift in behavior towards more discretionary tipping rather than obligatory tipping.
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