New research shows why tipping is making more Canadians uncomfortable
Ever feel uncomfortable when a payment screen asks for a tip? We sure have. As tipping prompts become more widespread, more consumers are feeling uneasy or frustrated, but not always sure why.
Our recent research suggests this discomfort may be tied to where tipping is now appearing.
When we asked Canadians about some of the unusual places they’ve recently encountered tip prompts, the answers ranged from fast food drive-thrus to professional services like auto mechanics and appliance repair — places where tipping traditionally hasn’t been expected.
Our findings shows that when tipping feels out of place, it can result in a negative feeling that can shape how customers evaluate an entire service experience.
To understand why this is, it helps to start with why people tip in the first place.
Tipping works because it’s a shared norm
From a purely economic perspective, tipping appears irrational: self-interested consumers should, in theory, prefer to pay as little as possible.
Yet tipping is a long-established norm in Canadian culture because it serves a shared purpose. It helps supplement service workers’ incomes while also allowing customers to signal appreciation for good service.
Over time, this has helped maintain a social norm — a shared standard of acceptable behaviour. In short, people tip because they believe........
