One of the highlights of working in a restaurant will often be the additional possibility of earning tips. Not only do you feel appreciated and that you have made the customer's meal more enjoyable but also have the opportunity to earn a little extra on top of your basic wage. The tradition of tipping serving staff has been around for years in many different forms. Some businesses do not push tips of any kind instead leaving the decision to be solely made on the discretion of the customer. Other restaurants will leave a tip jar by the till to encourage customers who are leaving to pop a little something extra in there as a way to show their appreciation for good food and great service. The action of tipping also varies from country to country. Whereas the UK do not expect tips and are grateful for whatever is given, the USA implement a system where either 5, 10, 15 or even 20% of the total cost of the bill is expected just in tips. As the rules and expectations change around the world guests can sometimes feel under pressure to tip and therefore are more grudging to do so. So how can restaurants boost their tip potential?
If you don’t inadvertently push tipping in your business the customer will more often than not leave without acknowledging your services. A tip jar makes it easy for the tip to be anonymous meaning that an amount of just a few pence could be thrown in; or even worse be completely overlooked. If your restaurant uses an electronic point of sale system (EPOS) there is the possibility to work your potential tips into the payment process.
As more and more people pay using contactless technology, smartphones or simply on a card rather than carrying cash, this integration works as an effortless way for people to show their gratitude without having to hand over cold hard cash. The process is simple. The amount payable for food and drinks is charged to the card as standard, but before the payment goes through a message appears on the screen asking if you would like to include a tip. They are given the option of inputting the exact amount they wish to add on top of their bill. The ensuing receipt will show the exact payment made.
So why does this method of tip payment work so well? Basically the customer must acknowledge the issue of a tip head on whether they opt to actually tip or not. If they choose not to, they are still approached by the machine and must press the ‘ignore’ or ‘cancel’ button which may increase levels of guilt in some people. It is a slightly more suggestive method as opposed to the passive tip jar on the counter which can easily be ignored. Some researchers argue that the customer will feel shamed or pressurised into tipping, even if the total cost is small, when a restaurant utilises this method and therefore a level of resentment may occur from the customer towards the business. As an alternative to this direct method for increasing tips, psychologists believe that simple actions demonstrated by the server throughout the meal will increase their chances of being given a reward. These actions include;
- Noting the customer’s name and referring to them as ‘Mr Bloggs’ or ‘Mrs Bloggs’
- Squatting down next to the table for a more personal and intimate scene rather than tower above the customer when taking an order
- Bringing mints to the table at the end of the meal
- Offering knowledge of the products and recommendations that are of use to the customer and not just as part of an upselling technique
Whichever tip system your restaurant uses there is an opportunity to take a more proactive approach whether the customer is paying via card, cash or contactless technology. By determining the theory behind why people actually tip in the first place you can easily design a lucrative system that accounts for factors such as the typical cost of a meal, the type of customers that you attract and the preferred method of payment. Review the way in which your restaurant approaches the subject of tipping to guarantee that you are maximising your true potential.