Digital on-screen tipping: How the business practice came to be at restaurants and more

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Tipping remains a controversial topic in the U.S. as Americans feel differently about the service industry and the level of work that goes behind it.

Vergidis added that researchers in the POS industry have conducted experiments to encourage "higher tips" and have found that on-screen tipping options can drive tips up by "20% to 40%.""People who never tip for a front counter transaction, where a tip was never expected, were now making guests feel bad if they didn’t select one of the pre-determined tip amounts," Vergidis said. "It changed the market for buying things.

Auto-programmed tipping has become a common software feature in POS systems. Tippy, a Fort Lauderdale-based digital tipping system, is one company that’s sprouted from increased POS demand, but unlike other services, its primary focus is to facilitat Though, he noted that "tipping should be an entirely optional process" and service providers tend to receive higher tips when business owners don’t program exorbitant tip amounts into their software.Mark Kaley, an Orlando-based business consultant and publicist at Otter Public Relations, told FOX Business that he doesn’t think percentage amounts should be pre-determined immediately.

 

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