What is the digital tip? Discover its value in 2023

During the pandemic, one of the recommendations was to give greater impetus to card payments. The downside of this measure is that traditional tipping has been greatly reduced.

Countries such as the United States currently maintain the obligation to provide a tip after having enjoyed any type of service in a business dedicated to the hospitality industry.

With the introduction of card payments, we have seen the birth of a new concept, known as digital tipping. Although it is not yet established, it is expected to gain wider acceptance in the coming months.

What is digital tipping?

Digital tipping consists of a financial thank you from the user for consuming a specific service from a particular restaurant sector, but unlike traditional tipping, it is carried out through the use of a virtual wallet or card.

To promote the use of this initiative, different applications have begun to be used, such as Tipper.

Tipper is a tool designed to facilitate digital money transitions between consumers and businesses. It is very useful for businesses in the hospitality sector. In order to use it, there are a number of simple steps to follow:

• The entrepreneur must download the application and create an account.
• After filling in the necessary data, a QR code will be generated.
• This QR code can be used as a photograph, sent by email, inserted in the business cards of the business or printed out and placed in an easily visible place in the establishment.
• Consumers will be able to scan the QR code and leave a tip digitally, along with a message if they wish.
• The business owner will receive a notification in the app confirming that the consumer’s entry has been received.

What are its advantages and characteristics?

For the hospitality sector, the use of this concept is a great advantage, putting an end to the problem of the customer having just enough money or no cash at all.

Although this initiative is more likely to bring in some extra cash, we can also employ tools that encourage its use, for example:

• Incorporate a forum where different topics related to our business can be discussed among customers. For example: discuss what dishes they would like to see on the menu.
• Take care of the use of social networks by creating advertising campaigns to generate more customers. For example: promote the different events we have in the business.
• Monitor and manage the different comments made about the business on the different review platforms.