Economics
- ISSN: 2155-7950
- Journal of Business and Economics
The Impact of Sexual Orientation on Consumers’ Tipping Behavior
Monica Popa, Shayne Hurd
(Edwards School of Business, University of Saskatchewan, Canada)
Abstract: Despite the importance of tipping as a source of income for service providers and its pervasiveness in the daily lives of consumers, research to date has not explored whether and how tipping (or voluntary contributions in general) might be impacted by individual differences such as sexual orientation characteristics. We address this gap in the literature by forwarding a framework for understanding the relationship between sexual orientation and tipping, and empirically exploring it in two studies. In study 1, customer orders were observed to gauge the tipping behavior of heterosexual and homosexual individuals in the context of bar service. Study 2 consisted of interviews with service employees varying in sexual orientation, age, gender, and professional experience. Themes from the interviews and results from the field study indicate that straight (versus gay) individuals tend to tip more when the service provider is female, and the impact of sexual orientation on tipping is contingent on the gender and physical attractiveness of the interacting parties. A theme of relationship building was uncovered, suggesting that beyond bill size, tips are dependent on the development of one-on-one relations between the consumer and service provider.
Key words: tipping; sexual orientation; marketing; services
JEL code: M31