Despite rising prices, Australians are tipping more
“Rather than seeing tipping as an ‘Americanisation’ of dining culture, we see it as a reflection of Australians’ growing generosity and desire to reward outstanding service.”
Restaurants and bars in Australia’s state capitals were the primary beneficiary of increased tipping, McNicol declaring that gratuity-giving in the hospitality sector was increasingly common.
Among merchants benefiting from increased customer generosity was Anna-Sophie Pinter, restaurant manager at Nonda, a Japanese restaurant in Brisbane.
Gratuities for Nonda grew by 14 per cent in the second half of 2024, a trend that Pinter “definitely” noticed but was nonetheless astounded by.
“I honestly could not have been more surprised, given the fact that rent, food and all other prices just skyrocketed,” Pinter said.
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“I think one of the reasons, especially after COVID calmed down, is that people appreciate the personal service, going out and gathering even more than before.
“A tip is definitely a big reward for all the staff who work customer-facing roles, since you always have to show your top performance and be warm-hearted and friendly, even though they might be having the worst day ever. So I think a tip also rewards them for showing their best, even on the worst days.”
Increased tipping comes as Australians faced persistent inflationary pressures in 2024, when prices rose above 3 per cent for most of the calendar year. High inflation kept the cash rate at 4.35 per cent, the highest level since 2011, during 2024.
Taxi drivers were among the winners of increased consumer generosity as average tip values more than doubled in 2024.
Australians were most likely to tip those working table service ($25.80) or at a bar or club ($11.20). Baristas earned among the least in gratuities ($2.94) while beauty services were tipped just under $7 in 2024 – a 12 per cent decline from 2023.
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