Tipping has a powerful advantage: it aligns the incentives of customers and servers almost perfectly. Because tips aren’t capped, waiters are motivated to go above and beyond to satisfy each guest. Without tipping, the server’s motivation often drops to providing only adequate service—more in line with the restaurant’s interests than with each individual diner’s needs.
You can see this difference in customer experience worldwide. Nowhere delivers consistently attentive service quite like the US. By contrast, many European countries, especially those where tipping is uncommon (such as the Netherlands), often provide service that feels efficient but impersonal.
You can see this difference in customer experience worldwide. Nowhere delivers consistently attentive service quite like the US. By contrast, many European countries, especially those where tipping is uncommon (such as the Netherlands), often provide service that feels efficient but impersonal.