Race Differences in Restaurant Tipping: A Literature Review and Discussion of Practical Implications

Abstract

Research on race differences in tipping suggests that (a) Blacks leave smaller average restaurant tips than do Whites, (b) Black-White differences in tipping persist after controlling for socio-economic status, (c) Blacks tip less than Whites even when provided comparable levels of service, (d) Blacks tip less than Whites even when the server is black, and (e) Blacks are much less likely than Whites to know that it is customary/expected to tip 15 to 20 percent of the bill size in U.S. restaurants. The practical implications of these findings for restaurant managers, restaurant industry organizations, and restaurant chains are discussed. In general, those implications center on the need to educate Blacks about the 15 to 20 percent tipping norm.