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Retail Tests Card-Reader Tip Prompts but Widespread Rollout Is Not Planned

Payments technology now allows stores to ask for tips at checkout, a change that has triggered consumer reluctance and criticism from unions and consumer advocates.

Overview

  • A handful of shoe chains have added voluntary tip prompts on card terminals and the AS‑Gruppe says it has experimented with the feature and distributes collected tips among staff.
  • National trade groups and a dpa survey say those cases remain isolated and that major retail chains do not plan a broad rollout of tip prompts.
  • A YouGov survey found only about 27 percent of consumers would tip for good service in clothing or shoe stores while roughly two thirds oppose tipping in retail.
  • The union Verdi and consumer protection bodies warn that tip prompts can shift employer wage responsibility to customers, create social pressure at checkout, and risk legal challenges if decline options are unclear.
  • Payment providers confirm terminals can be configured to ask for tips but say the feature is mostly used in hospitality and personal services and that retail process limits and customer expectations curb wider adoption.