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Millions of workers depend on tips and gratuities to supplement their basic wages - including hairdressers, hotel staff, baristas and cab drivers.
Although people have traditionally liked to tip in cash, the shift to digital payments, along with the reliance of restaurants on takeout and delivery services, has meant that many customers do not know how to tip or even whether a tip goes directly to the employee who served them.
While the shift to digital payments is a positive development for businesses and financial institutions by reducing cash handling costs, consumer opinion is more divided.
Contactless payment is more convenient and minimizes physical contact. Yet small businesses that offer to tip via card often result in those tips being pooled and not reaching the person for whom they were intended.
Since retention is one of the biggest challenges in the hospitality industry, it is essential that employees are rewarded for their service. Unpopular tipping policies can have a demotivating effect on staff and also cause reputational damage to hospitality companies.