Six Strategies to Boost Tips in the Hospitality Sector

Tips serve as a tangible expression of customer appreciation towards your staff. However, the challenge lies in encouraging more generous tipping without putting undue pressure on your customers or making them feel guilty for not tipping enough.It’s widely acknowledged among waitstaff that exceptional service is the key to earning higher tips. Yet, as a restaurant owner, you can further boost your earnings by adopting innovative strategies. So, how can you increase tip amounts? What changes in customer habits should you be aware of? Which tools can simplify your servers’ tasks and enhance their performance?Discover three effective strategies to augment tipping in your restaurant in this article. Whether you implement your favourite strategy or introduce all three for the most ambitious, you’re setting the stage for greater customer satisfaction and increased staff motivation.

1. Enhance Customer Relations

Boosting your tips in a restaurant begins with being more engaging—smile more, offer insightful recommendations, and make a point to introduce yourself by name. A study from Southern California College revealed that waiters who introduce themselves by their first name tend to receive a higher tip rate (23.5%) than those who don’t (15%). Avoid pushing the pricier options; focus on being genuine and trustworthy. Customers will value your authenticity and the following actions:– Anticipating their needs– Being attentive– Checking in post-service to confirm their satisfaction– Offering apologies for any delays or issues 

2. Innovate with Your Tip Jar

Make leaving a tip entertaining. Use a “thieving cat” money box on your counter to attract young and older patrons. Seeing a cat paw sneak out to grab their coin is amusing and encourages tipping. 

3. Introduce Credit Card Tipping

Allow customers to tip using their credit or debit cards. This eliminates their need for cash and increases the likelihood of receiving a tip. Plus, you’ll also be able to track your tips more accurately. This can be done with omnichannel ordering platforms like EPOS, QR code Ordering, Self-service kiosks and Mobile Apps. 

4. Utilise Social Media

Engage with your customers online by sharing pictures of happy clients and showcasing your skills and services. This will attract new customers and encourage current customers to leave positive reviews and recommendations, potentially leading to increased tips. 

5. Offer Loyalty Programs

Reward repeat customers with special discounts or free services after a certain number of visits. This encourages customer loyalty and shows that you appreciate their business, which can lead to more extensive tips from grateful patrons. 

6. Keep Your Space

Adapting to your customers’ evolving preferences is crucial in increasing tips. With the decline in cash usage for everyday transactions in 2021, a CSA study found that 35% of people cited not having change as a primary barrier to tipping, while 71% preferred digital tipping options. Catering to this trend, offering a credit card tipping option could significantly enhance customer satisfaction. Kayana offers a comprehensive omnichannel ordering solution tailored for restaurants, retail and other businesses, streamlining payment acceptance, product management, and financial tracking while simplifying accounting processes. This makes it an indispensable tool for any dining establishment. Additionally, Kayana enhances the tipping process through efficient card payment collections. Advanced splitting mechanisms ensure tips are automatically divided upon payment, offering three distribution methods: a secondary payment for the restaurant to allocate among staff, an equal split for direct distribution via the Kayana system, or custom percentage splits for direct staff payment, ensuring a seamless and fair distribution of gratuities. Why fret over tipping when our comprehensive solution offers the peace of mind that everything is handled for you?