Shoppers Are Tipping More Digitally Than with Cash

Retail is evolving, with cash taking a backseat to digital payments. As a result, tipping behaviors are changing too. Adapting to the digital world of payment and tipping is crucial for businesses, including the cannabis industry, to ensure maximum benefits for their employees.

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1. Digital Tipping Behavior

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• • The evolving retail landscape and various shopping mediums have led to changing tipping expectations in the United States.

• • 57% of consumers report tipping an average of 11-20%, with service quality being the key factor.

• • Tipping behavior varies by demographics, with older individuals more likely to tip consistently.

• • Online shopping has contributed to the rise in digital tipping, with a significant increase in tips on remote transactions.

• • Forbes reports that nearly 65% of individuals tip at least 10% or more digitally compared to cash, highlighting the impact of digital tipping.

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2. Customer Payment Methods

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• • Consumer preferences have shifted towards digital payment methods, even in physical stores.

• • After the pandemic, 72% of respondents preferred contactless payments, indicating a growing preference for convenience.

• • Digital wallets accounted for 29.2% of regional e-commerce transactions in 2021, and this trend is expected to continue growing.

• • Cash usage is declining rapidly, emphasizing the need for businesses to adopt digital payment and tipping options to attract customers and retain employees.
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3. Digital Tip Benefits for Employers and Employees

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• • Limiting tips to cash restricts employees' earnings. Digital tipping provides employees with the opportunity to maximize their tips and easily track their earnings.

• • Employers can foster transparency, trust, and loyalty by introducing cashless tipping, allowing for seamless tip facilitation and performance tracking.

• • The cannabis industry can benefit from digital tipping as it helps budtenders earn more while streamlining operations.
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4. Digital Tipping with Aeropay

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• • Aeropay simplifies and secures payment options in the cannabis industry.

• • Creating an Aeropay profile is quick and easy, requiring minimal personal information.

• • Users can pay for cannabis purchases using a QR code and customize their tip amount, enjoying the convenience of digital payments.

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