Pushback against tipping culture and the pressure of high prices are making people less generous this holiday season, according to Achieve
SAN MATEO, Calif., Nov. 16, 2023 /PRNewswire/ — The holiday season is not immune to the recent “tip fatigue” trend, as few Americans plan on dolling out end-of-year cash and gifts to service workers like package carriers, beauticians and housekeepers, according to the results of a new survey by digital personal finance company Achieve.
Achieve’s survey found that 62% of consumers do not plan to give holiday tips or buy gifts for service workers, nor do they plan on making charitable donations to religious institutions or other charities this holiday season. The results come amid a pushback against tipping culture and the ongoing pressure that high prices have put on household balance sheets, leading to few consumers feeling generous this holiday season.
Reaching the Tipping Point
Tip fatigue — which refers to consumer weariness of the growing number of tip requests, particularly at establishments that recently started using new touch-screen payment terminals — is a likely driver of this consumer sentiment, along with the ongoing challenge of inflation that’s led to higher prices across virtually all consumer goods and services.
“The makers of the cashless payment apps that have proliferated since the pandemic typically earn a cut of the total amount charged to consumers, which creates an incentive for them to include digital tipping in their technology,” said Achieve Co-Founder and Co-CEO Andrew Housser. “Being asked for tips on even the smallest in-person purchases is a presumptuous and annoying trend that’s making people less generous this holiday season.”
|
Recipient |
Percent of Consumers |
|
Donations to other charities |
17 % |
|
Mail carrier, package delivery and newspaper delivery workers |
12 % |
|
Donations to your religious institution |
11 % |
|
Hair stylists and beauticians |
6 % |
|
Teachers and staff at… |
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