Americans Question Tipping Practices as Digital Screens Influence Gratuity Expectations

A recent survey by Popmenu highlights growing concerns among Americans over tipping practices. The report indicates that 78% of consumers believe that tipping has become excessive. Nearly 74% of respondents have observed an increase in suggested gratuity amounts on digital payment screens in restaurants.

Among the 1,000 adults surveyed in March, 59% admitted feeling pressured to leave a tip when faced with these prompts. This sentiment grows even as many consumers protest against what is often called “tip creep.” Nevertheless, restaurant owners affirm that customers still largely support tipping when service is provided.

It’s kind of ingrained in American culture that if you go out to dinner at a restaurant, and you sit down and you’re served, I think that a 20% tip is a good tip, said Vicki Parmelee, owner of Jumby Bay Island Grill in Jupiter, Florida.

Parmelee emphasized that customers are increasingly uncomfortable with screens that pressure them to tip in situations where it’s not customary. It is pretty annoying to go up to a service counter and order a coffee, and then have them turn around a terminal and expect a tip just for handing you a coffee, she mentioned.

Derek Simms, CEO of Simms Hospitality Group, which runs eight restaurants in Dallas, also expressed discomfort with modern tipping screens. Even I give pause, and I’m in the restaurant business, Simms shared, describing it as an awkward moment.

Interestingly, the survey revealed that over a third of consumers, 36%, choose to enter a custom tip rather than picking from preset options shown on payment screens.

Both restaurant professionals advised cautioned businesses against pressuring patrons into tipping. I tell my staff that a tip is always something that’s earned, Parmelee highlighted.

Simms added that restaurants should avoid jeopardizing customer loyalty through aggressive tipping prompts. I don’t want to lose a customer over some weird manipulation, he commented.

The survey illustrates how many keep a clear division between tipping at full-service restaurants and being prompted for tips on simple transactions. While 42% of participants noted feeling more at ease skipping gratuities in specific scenarios, they continue to tip at conventional levels for restaurant servers.

When you get good service, you want to reward that, Parmelee explained. She mentioned that although many tip around 20% on average, exceptional service might inspire an even higher gratuity.

Peter Burke, a lifestyle editor for Fox News Digital, covers a range of lifestyle topics focusing on food and drink.