In the past three years, the number of licensed retail food licenses issued in Denver has decreased by about 22%, according to the Department of Excise and Licenses in Denver.
No, it is instead of tipping. That’s what they mean by “in lieu of”.
The question about prices is a good one, and the answer is that you can’t just raise prices when most other restaurants don’t include gratuity. It would just seem like your restaurant is much more expensive than everyone else.
It would just seem like your restaurant is much more expensive than everyone else.
Its a forced 23% gratuity, it IS more expensive than everyone else, except the restaurant isn’t being honest about it and hiding it in fine print only to be discovered when the bill comes.
That seems to be a great way to alienate customers from ever returning because they won’t know how much they’re being charged until the bill comes.
The average tip at most fine dining restaurants in American cities is between 18-25%, so a fixed 23% service charge instead comes out about even on cost.
I don’t know what it’s like at this restaurant, but most places that have a fixed gratuity make it fairly obvious, to avoid exactly the situation you raise.
Is this a 23% charge on top of tipping the front-of-house staff? Isn’t a “service charge” disingenuous? Why not raise prices by 23% instead?
Doesn’t “in lieu of gratuity” mean “instead of tipping”?
And they don’t increase prices 23% because customers would see the new prices and just leave
No, it is instead of tipping. That’s what they mean by “in lieu of”.
The question about prices is a good one, and the answer is that you can’t just raise prices when most other restaurants don’t include gratuity. It would just seem like your restaurant is much more expensive than everyone else.
Its a forced 23% gratuity, it IS more expensive than everyone else, except the restaurant isn’t being honest about it and hiding it in fine print only to be discovered when the bill comes.
That seems to be a great way to alienate customers from ever returning because they won’t know how much they’re being charged until the bill comes.
The average tip at most fine dining restaurants in American cities is between 18-25%, so a fixed 23% service charge instead comes out about even on cost.
I don’t know what it’s like at this restaurant, but most places that have a fixed gratuity make it fairly obvious, to avoid exactly the situation you raise.