Are Taproom Tips Going Down?

There’s been a steady decline in tipping of about 1.5 percentage points from 2022 to 2024. We saw tips average 23.7% in 2022, 22.6% in 2023, and the lucky number 22.2% in 2024.

While not a huge drop, it can add up. Let’s assume the average taproom staff member is working 20 shifts per month, handling 20 tabs each shift, for a total of 400 tabs per month. We see the average tab from our data at $43.65 and representing two guests.

The average server in 2022 made $4,134 a month in tips, $3,950 in 2023, and $3,869 in 2024. That’s a drop of $265. I imagine your team members could pay a few bills with that.

First, let’s dive a little deeper into how engagement impacts tips. The more engaged your team is with guests, the more they spend. And the greater they tip. Visits with high engagement in 2022 saw 24.2% tips. This lowered to 23.3% in 2024, just shy of a point.

Visits with moderate engagement in 2022 saw 23.7%, dropping to 21.6% in 2024. Neutral engagement fell from 21.5% to just 19.6%. Low engagement? 18.3% in 2023 and 19.3% in 2024.

I wasn’t using the word “hospitality” when we first launched in 2017. Now, a day barely goes by when it doesn’t grace my lips. You’re in the hospitality business, and if you’re not going above and beyond to connect with your guests, they’ll go somewhere else. Guests from 2022 to 2024 who received high-level engagement spent 40% more than those with low-level engagement.

Guests don’t have time for neutral (i.e., “I don’t really care”) or low (i.e., “where has my bartender been?”) engagement. If someone is choosing to visit your taproom, don’t just wow them with your beverages, impress them with your experience.

So, why are tips going down and how can you counteract these trends?

The national average tip percentage has only dropped about 0.3% over the past few years, but that small dip reflects something bigger. With more people pushing back on constant tip prompts and feeling stretched financially, we’re seeing a clear shift in how guests think about tipping, when they do it, and how much they leave.

A lot of this pushback comes from what people are calling tip fatigue. Guests are being asked to tip in more places than ever, often before any service even happens, and it’s starting to wear them out. At the same time, everyday costs are up, and people are being more careful with their spending. That combination is changing how guests approach tipping, even in settings where typically used to be a guarantee.

High engagement consistently leads to higher tips. What can your staff do to fight the decline? Here are 3 tips…for tips:

1.       Don’t just provide customer service, offer hospitality. Introduce yourself, share your brewery’s story, educate your guests on the beers (and beyond), get to know them, remember their name, invite them back. Give people reasons to return that excite and invite connection.

2.       Upsell. Pretty simple, right? But little questions help increase tab size. “Would you like another?” “Did you know we have that lager to go?” The higher the tab, the greater the tip. We actually see guests who purchase to-go beer tip a higher percentage than those who don’t. Why? Because the staff member encouraging to-go beer is likely practicing other habits rooted in hospitality.

3.       Data. Monitor your POS metrics and know where you stand. Quick, who’s consistently earning the highest tip percentage on your team? How about the lowest? Tip pool? No problem. What trends are you seeing? You need to know these numbers. Tip percentage corresponds to the engagement your staff is providing. It’s not rocket science, when someone provides a great experience, you tip more.

At Secret Hopper, we take this data a step further. It's not just about the numbers. We help you understand the habits behind great experiences, and the ones that need work. Our mystery shopping shows exactly why a team member is succeeding or falling short. It’s no shock that the bartender who isn’t greeting guests or offering recommendations is getting smaller tabs and feeling stuck with low tips. But the rockstar who’s making real connections? I’ll bet our data shows that they’re checking all the boxes on guest engagement.

So, are you going to let your team ride the wave of declining tips, or are you ready to give them the tools to do better and help your business grow?

Taprooms nationwide are using Secret Hopper to grow tips and boost engagement. Learn how.

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The data was collected from a set of 1258 unique taproom visits from November 16, 2022 to February 27, 2024. Each tab represents 2 guests and includes tax and tip.