Now I'm forced to expect my price to be 15-20% more expensive than the list...
If the industry moves to service included, then the prices will still be 15-20% higher, or more, than they are today. You will have removed the incentive for those that want to provide better service however.
Multiples of 5% calculations is pretty simple and keeps the brain sharp. It’d also be easy to show the price with tips, but dark patterns.
The incentive to provide better service for individual employees should be provided by their employer.
The incentive for the employer to provide better service to customers is competition with other service providers the client might choose.
Which is how it works in all the jobs that aren’t within the weird and arbitrary bounds of tipping culture.
Also this has been tried before, and was widely considered a failure. People don’t like surprise fees, inflated prices, etc. They don’t mind tipping as it gives them some control back.
My job also “tips” me. Every year if my manager likes my work from the previous year then I get more RSUs. If they don’t like my work, then I don’t get RSUs (and maybe fired). Tipping is everywhere.
Increased prices are what it should be, just as it is in every business outside of tipping culture. Tipping culture is not the same thing as increased prices.
> Also this has been tried before, and was widely considered a failure.
It works just fine in much of the world. It even works fine in the US where foe some things normally covered by tipping culture, a flat fee in lieu of gratuity is applied in certain circunstances (e.g., restaurants do this with largw parties quite often.) It works just fine in places with tipping culture in all the customer service jobs that are arbitrarily outside of its coverage.
> My job also “tips” me. Every year if my manager likes my work from the previous year then I get more RSUs. If they don’t like my work, then I don’t get RSUs (and maybe fired). Tipping is everywhere.
Incentive pay from your empkoyer is not a culture of tips from your employer’s customers.
The market said no.
> It works just fine in much of the world. It even works fine in the US where foe some things normally covered by tipping culture, a flat fee in lieu of gratuity is applied in certain circunstances (e.g., restaurants do this with largw parties quite often.) It works just fine in places with tipping culture in all the customer service jobs that are arbitrarily outside of its coverage.
That’s great, but it didn’t work in the US. Some of the larger corps ran the experiment for 4 years and when the waiters lost income they complained. You see, here tipping culture means they make more money.
> Incentive pay from your empkoyer is not a culture of tips from your employer’s customers.
It’s exactly the same. It’s lay I would not have received otherwise.
> hasn’t been implemented
I’m not going to evangelize what a correct stance on this is, but IMHO tipping is a big, not a feature.
I wonder if "tipping" could improve things.
A new platform like airbnb could have an expected tip built in to the platform. Hosts are expected to provide good service and get a tip.
Customers are encouraged to tip at the end of their stay (with a lower base price than airbnb to account for that).
Hosts can see the average, median, max, and min tips of potential customers (along with distribution, and percentage calculations) and use that to determine whether to accept them as a guest.
Customers can see the average tip a listing received, and use that to determine if they'd want to stay there. Of course, they would sometimes leave $0 or a low number as a tip, but they'd be incentivized to also provide good tips for good service, because a low tip average would reflect poorly on them and make them less likely to be hosted.
I suspect tying things to real value for the customer and host would lead to better service and a more honest indication of host/customer quality.
But perhaps it would just lead to hosts literally bribing customers for good tips.