TIPS - 'Tipflation' The New Hidden Tax? Poll Shows Consumers Are Saying Enough! | Benzinga

Businesses in the hospitality sector are reportedly experiencing a backlash as consumers, grappling with inflation, curtail spending and reduce their tipping habits.

What Happened: A Bankrate poll revealed that approximately 60% of participants expressed dissatisfaction with the growing requests for tips, a trend now known as ‘tipflation,’ reported Inc. About 35% viewed the increasing rate of solicitations as entirely excessive. As a result, 37% of the respondents suggested that businesses should enhance their employee wages rather than relying heavily on tips.

A distinct survey by mobile payment firm SpotOn disclosed that a substantial segment of hospitality workers depends on tips for their income. However, the increasing number of businesses suggesting tipping amounts has led to a decrease in tips ...