How 3 simple buttons raised tipping by $144 million in NYC cabs

How 3 simple buttons raised tipping by $144 million in NYC cabs

If you’ve ever been to the city of New York during the past five years, you’ll know that cab drivers don’t always give off a warm and cuddly feeling. This was especially true for short trips, where I’d whip out my debit card and have to argue with the driver that I didn’t have any cash on me ’til he finally gave in.

Lately, however, the attitude towards paying with cards seems to have shifted — just in time for our new in-cab iPads. So, what’s caused the change? Here’s what one Joshua Gross found:

“During payment, the user is presented with three default buttons for tipping: 20%, 25%, and 30%. When cabs were cash only, the average tip was roughly 10%. After the introduction of this system, the tip percentage jumped to 22%. Those three buttons resulted in $144,146,165 of additional tips. Per year. Those are some very valuable buttons.”

Another conference. “Great.”

This one’s different, trust us. Our new event for New York is focused on quality, not quantity.


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