Digital tipping for your business: How restaurant-industry experts are navigating new gratuity norms

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The right tipping system is good for you and your customers. To strike the right balance, do some market research, consider your business model, and collect...

Consumers aren’t the only ones getting used to the digital tipping screens that are becoming increasingly popular for in-person purchases. Behind the scenes, striking the right balance with preset tipping options is a delicate process for small-business owners. Set them too high and you could upset some customers. Too low, and you could be leaving money on the table.

Consider your business model If you’re not sure where to start with preset tipping options, take your business model into account. “You have to be specific and intentional when you’re choosing what you want those percents to be,” says Sarah White, who runs multiple restaurants in Northern Virginia and is president of the Virginia Restaurant, Lodging and Travel Association’s restaurant component.

See: I’m sick and tired of tipping 20% every time I eat out. Is it ever OK to tip less? Or am I a cheapskate? Your front-of-house employees can be a valuable resource, too. While you’re experimenting with the default tipping options, ask employees which options stick. “If you set one and you see that tips aren’t what you want them to be, try adjusting it a little higher or a little lower,” White says.

Separately, White points out that some people prefer leaving tips in whole dollar amounts as opposed to dollars and cents. The custom option lets them do this.

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