Credit Card Tips
Make It Rain
Credit Card Tips
Are credit card tips worth it, compared to cash tips?
We have been in touch with distinguished scholars in the fields of Consumer Behavior and Hotel Management, and what keeps coming up is that: tips via payment cards are, on average, 42.39% more than cash tips.
Although this statistical study wasn't focused on luxury resorts like yours, and many years have passed since it was conducted, I expect that number to be even larger in 2021--large enough to make up for any tax contributions. Furthermore, it doesn't account for the absolute number of guests that have a payment card on them (or Apple/Google pay on their phone) versus Euros currency.
Mutual exchange of gratitude.
From our market research, guests do perceive that they expressed their gratitude and it was properly received by their intended audience. However, our research from the staff's side is lacking. I'm brainstorming with my legal & product advisors on how we can inform staff of provided tips, while (1) keeping this Minimum Viable Product as simple as possible, (2) storing as little personally identifiable data as possible, and (3) respecting guest's privacy and GDPR rights.
Garrity, K., Degelman, D. Effect of Server Introduction on Restaurant Tipping. Journal of Applied Social Psychology, 20 (February), 168-172.