Close Menu
Fin Street NewsFin Street News
  • Home
  • Business
  • Finance
    • Banking
    • Stocks
    • Commodities & Futures
    • ETFs & Mutual Funds
    • Funds
    • Currencies
    • Crypto
  • Markets
  • Investing
  • Personal Finance
    • Loans
    • Credit Cards
    • Dept Management
    • Retirement
    • Mortgages
    • Saving
    • Taxes
  • Fintech

Subscribe to Updates

Get the latest finance and business news and updates directly to your inbox.

Trending
What Is A Nonqualified Annuity And How Does It Work?

What Is A Nonqualified Annuity And How Does It Work?

June 19, 2025
Why Americans Are Buying Vacation Rentals in Italy

Why Americans Are Buying Vacation Rentals in Italy

June 19, 2025
Lyft CMO Brian Irving Talks ‘Customer-Obsessed’ Marketing

Lyft CMO Brian Irving Talks ‘Customer-Obsessed’ Marketing

June 19, 2025
Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

June 19, 2025
Sam Altman Says His Kids Will ‘Never Be Smarter Than AI’

Sam Altman Says His Kids Will ‘Never Be Smarter Than AI’

June 19, 2025
Facebook X (Twitter) Instagram
  • Privacy Policy
  • Terms of use
  • Press Release
  • Advertise
  • Contact
June 19, 2025 2:50 am EDT
|
Facebook X (Twitter) Instagram
  Market Data
Fin Street NewsFin Street News
Newsletter Login
  • Home
  • Business
  • Finance
    • Banking
    • Stocks
    • Commodities & Futures
    • ETFs & Mutual Funds
    • Funds
    • Currencies
    • Crypto
  • Markets
  • Investing
  • Personal Finance
    • Loans
    • Credit Cards
    • Dept Management
    • Retirement
    • Mortgages
    • Saving
    • Taxes
  • Fintech
Fin Street NewsFin Street News
Home » Tipping Culture Has Some Customers Cutting Back, Survey Shows
Tipping Culture Has Some Customers Cutting Back, Survey Shows
Finance

Tipping Culture Has Some Customers Cutting Back, Survey Shows

News RoomBy News RoomMay 24, 20250 ViewsNo Comments

Customers say they feel like they are being asked to leave a tip at more places, and some are fighting back.

About 33% of people surveyed by Morning Consult said that they’re expected to tip more, either more often or a greater amount, than they were five years ago.

They’re not imagining it. From self-checkout kiosks to paying for service on your car at a mechanic’s shop, customers are seeing businesses ask for tips in situations where gratuity wasn’t previously expected.

Consumers are feeling pressure to tip more from that phenomenon, which a report on the survey from Morning Consult calls “tip creep.”

“The biggest change is that the prompt to tip is showing up in places that we didn’t expect it,” Lindsey Roeschke, a travel and hospitality analyst for Morning Consult, told Business Insider.

Morning Consult surveyed 2,200 adults online in the US between March 14 and 16.

Some customers told Morning Consult that they’re fighting back.

More than 25% of respondents said that they use services that require tips less frequently than they previously did. Almost as big a share — 23% — said that they focus on visiting businesses that don’t pressure them to tip more than they have historically.

And 16% had another response: Their individual tips are smaller because of all the requests they are getting.

“Perhaps due to the perceived pressure related to growing gratuity expectations, a majority of U.S. adults say they’ve changed their behaviors in some way to account for tip creep,” Morning Consult’s report states.

Expectations around tips could change again if an idea that President Donald Trump floated in his last campaign becomes reality.

On Tuesday, the US Senate passed the No Tax on Tips Act, which would create a federal income tax deduction of up to $25,000 a year for workers who receive cash tips. Another version of the proposal is part of Trump’s larger budget and immigration bill. The Act would need to pass both houses of Congress and get a sign-off from Trump to become law.

If enacted, a tax-free status for tips could create an incentive for more employers and workers to prompt customers for gratuities, one tax expert told CNBC.

Despite feeling pressure, Americans are still willing to tip in the right moments.

In several situations, from getting a haircut to picking up your car from a valet, more Morning Consult survey respondents said that it was “necessary or expected” to tip than said they felt pressured to tip.

Being brought or served food was a major point of agreement: Sixty-nine percent of respondents said it was necessary to tip when dining out at a local restaurant, while 64% said it was the norm when getting food and drinks delivered to their home.

Pizza chain Domino’s has also seen a lift in tips at many of the new locations that the chain has opened in recent quarters, CEO Russell Weiner said on the company’s earnings call last month.

Many of the new stores are splitting the service area with existing locations, cutting the time that it takes to get pizzas to customers, he said.

“You get hot, predictable deliveries,” which, in turn, make customers more likely to order again and leave a bigger tip, Weiner said.

Morning Consult’s survey also showed that many people support paying service workers a fair wage. Forty-four percent of respondents said that service workers should not have to rely on tips for their income.

When asked about whether they would support additional mandatory costs that could support workers, such as businesses adding a fixed service charge between 15% and 20% to their bill, most consumers said that they were opposed.

Instead, a majority — 53% — said that tipping should be optional and depend on the service they receive. At the same time, “they also think that service workers need to be paid a fair living wage,” Roeschke told BI.

“It just reflects this overall tension” around tipping, she said.



Read the full article here

culture customers cutting shows survey tipping
Share. Facebook Twitter LinkedIn Telegram WhatsApp Email

Keep Reading

Why Americans Are Buying Vacation Rentals in Italy

Why Americans Are Buying Vacation Rentals in Italy

Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

Silicon Valley CEOs and Founders Who Tried Psychedelics

Silicon Valley CEOs and Founders Who Tried Psychedelics

I Vibe Coded a Website With My Daughter Using an AI Tool Called Bolt

I Vibe Coded a Website With My Daughter Using an AI Tool Called Bolt

Netflix Makes Its First Linear TV Deal, Hinting at Bigger Ambitions

Netflix Makes Its First Linear TV Deal, Hinting at Bigger Ambitions

Using Dating Apps While Living Abroad Has Come With Pros and Cons

Using Dating Apps While Living Abroad Has Come With Pros and Cons

Rejected Twice by Microsoft, He Built a Plan and Finally Got the Job

Rejected Twice by Microsoft, He Built a Plan and Finally Got the Job

Apple Snubbed This Big-Name Blogger After He Criticized Its AI Rollout

Apple Snubbed This Big-Name Blogger After He Criticized Its AI Rollout

Israel’s F-15I Ra’am ‘Thunder’ Fighter Jets Used Against Iran: Photos

Israel’s F-15I Ra’am ‘Thunder’ Fighter Jets Used Against Iran: Photos

Add A Comment
Leave A Reply Cancel Reply

Editors Picks

Why Americans Are Buying Vacation Rentals in Italy

Why Americans Are Buying Vacation Rentals in Italy

June 19, 2025
Lyft CMO Brian Irving Talks ‘Customer-Obsessed’ Marketing

Lyft CMO Brian Irving Talks ‘Customer-Obsessed’ Marketing

June 19, 2025
Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

Google, XAI, OpenAI Pull Back After Meta’s Scale AI Investment

June 19, 2025
Sam Altman Says His Kids Will ‘Never Be Smarter Than AI’

Sam Altman Says His Kids Will ‘Never Be Smarter Than AI’

June 19, 2025
Best Credit Card Combinations To Maximize Rewards

Best Credit Card Combinations To Maximize Rewards

June 19, 2025

Latest News

Silicon Valley CEOs and Founders Who Tried Psychedelics

Silicon Valley CEOs and Founders Who Tried Psychedelics

June 19, 2025
David Sacks Says Chip Export Rules May Weaken US Global Tech Dominance

David Sacks Says Chip Export Rules May Weaken US Global Tech Dominance

June 19, 2025
HELOCs Rise, Home Equity Loans Flat As The Fed Stays Steady

HELOCs Rise, Home Equity Loans Flat As The Fed Stays Steady

June 18, 2025

Subscribe to News

Get the latest finance and business news and updates directly to your inbox.

Advertisement
Demo
Facebook X (Twitter) Pinterest TikTok Instagram
2025 © Prices.com LLC. All Rights Reserved.
  • Privacy Policy
  • Terms
  • For Advertisers
  • Contact

Type above and press Enter to search. Press Esc to cancel.