Are Consumers Exhausted by Tip Screens?

You might remember this little story from last year when an ex-IRS contractor pleaded guilty to leaking President Trump’s private taxpayer information along with many other wealthy individuals. It brought the IRS’s ability to secure taxpayer data into question along with a demand for better security measures as they continue to hire and train a new workforce in their walls. And Congress is still putting pressure on the IRS about that, an action supported by the U.S. Government Accountability Office back in September.

All this reminds us that cybersecurity measures matter now. This includes your business.
Something else we can chat about is withdrawing an ERC claim. If you claimed the ERC through one of the mills that were so tempting waving free government cash offers at you via the ERC, we can help you figure out if you can and how to withdraw your claim. A lot of businesses fell victim to wrongful claims, which is why my team and I are here to help give answers and support to walk them (and you) through it.

Now, looking ahead to the next few months, and a topic that a lot of people feel strongly about.

Free IRS webinar shares latest details on the Employee Retention Credit including options for withdrawing or correcting previously filed claims amid aggressive marketing

Anyone can go to the IRS website or Google the Issue number and read and watch the free webinar.

Are Business Exhausted by Tip Screens?
“Good customer service costs less than bad customer service.” ― Sally Gronow

Consumers are tired of tipping. A 2023 survey revealed that over half of consumers feel like they are being pushed into tipping when using tip screens at checkout, and a whopping 70 percent felt like they were asked to tip way too often.

Another survey showed around two-thirds of Americans have a negative view of tipping.

A lot of this sentiment is likely due to the once-voluntary pandemic-era practice of dropping a little extra in the tip jar. This originated out of goodwill for workers but is now an established part of checkout tip screens. Shoppers are getting asked to leave a tip in more and more situations where they previously wouldn’t have been expected to give one.

The question for companies utilizing tip screens like these is how tip fatigue might be impacting business. Are you losing customers over this?

It’s a question particularly important for those non-traditional tipping businesses, like retailers, quick service restaurants, self-checkout kiosks, convenience stores, and event counters.

Should your Coastal Southeastern NC business use tip screens?

Here are some questions to ask yourself to know how to respond to customers’ growing frustration and maintain customer loyalty.

1. Is your business in a traditional tipping industry?
2. Does your business employ tipped workers?
3. What are your customers’ preferences and habits?
4. Are your competitors asking for tips?
5. Do your tip screens address the privacy concerns of customers when it comes to who can view the screen?
6. Does your service quality merit a tip?
7. Is your suggested tip range appropriate for your industry?
8. Do your customers know where their tip is going?

Addressing these questions and adjusting your practices proactively may help tip you (yep, I said it) in a sustainable direction on this customer management issue long-term.

With inflation in full swing, the customer relations boat is a bit tippy right now. (I just can’t help it.) We’re here to help steer you in the right direction.