What's the rationale for restaurants adding a service fee when you have a large party eating there?

Phokus

Lifer
Nov 20, 1999
22,994
779
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I guess i'm spinning this off from the tipping thread, but someone pointed this out and it never made any sense to me... to me it would seem to drive away patrons.

What's the reason? I think having a larger party makes it more efficient. Rather than have a waitress service lots of 2 - 4 dinner guests parties, servicing 6+ would be easier.

Also, does that extra gratuity go to the servers or the restaurant's profits? Or is that basically the tip (thus answering my question i guess)?



 

krunchykrome

Lifer
Dec 28, 2003
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Because a party of 6 requires a great amount of work on the waiter/waitresses part, and they also have less tables if they have to take care of a party of 6. The restaurant is looking out for the waiter making sure they get paid.

Don't like it? Don't go out to eat with a party of 6.
 

KarenMarie

Elite Member
Sep 20, 2003
14,372
6
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There is no rationale. It is wrong to ever automatically add a tip. It is discriminatory to large parties.

And... what if the service sucks... does the customer get the money back? what incentive does the server have to do a great job when they know they will get the 18% no matter what. I am firmly against forced tipping.
 

Phokus

Lifer
Nov 20, 1999
22,994
779
126
Originally posted by: krunchykrome
Because a party of 6 requires a great amount of work on the waiter/waitresses part, and they also have less tables if they have to take care of a party of 6. The restaurant is looking out for the waiter making sure they get paid.

Don't like it? Don't go out to eat with a party of 6.

I would think it's easier to wait a large table rather than, say 6 individual customers. So the fee is their tip and there's no need to tip extra, right?
 

herkulease

Diamond Member
Jul 6, 2001
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I too have thought of that and often we just break our group in 2/3 or whatever to avoid the 10 to 15% service fee. I find it bogus to charge people for it. what if the service sucks?
 

chrisms

Diamond Member
Mar 9, 2003
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Originally posted by: krunchykrome
Because a party of 6 requires a great amount of work on the waiter/waitresses part, and they also have less tables if they have to take care of a party of 6. The restaurant is looking out for the waiter making sure they get paid.

Don't like it? Don't go out to eat with a party of 6.

The increased amount of work is proportional to the increased amount of food ordered (and profit made), and the OP is even arguing that the work is less for 6 people together versus 6 people spread apart. So to argue that they should get charged automatically because the waiter has to do more work is wrong.
 

waggy

No Lifer
Dec 14, 2000
68,143
10
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Originally posted by: KarenMarie
There is no rationale. It is wrong to ever automatically add a tip. It is discriminatory to large parties.

And... what if the service sucks... does the customer get the money back? what incentive does the server have to do a great job when they know they will get the 18% no matter what. I am firmly against forced tipping.

I have refused to pay a auto tip when i have gotten bad service. Even had the lady threaten to call teh cops on me for it. Told her to go ahead and do it.

instead they called the owner and he came in and started to bitch me out. until he found out how bad the service was. He ended up giving me the meal for free. shrug
 

BigJ

Lifer
Nov 18, 2001
21,330
1
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You never have to pay a service fee.

However, a restaurant can ban you from returning for not paying said fee.

EDIT: Never is too strong. Unless you are made aware of the fee ahead of time and agree to pay it before ordering.
 

krunchykrome

Lifer
Dec 28, 2003
13,413
1
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Originally posted by: Phokus
Originally posted by: krunchykrome
Because a party of 6 requires a great amount of work on the waiter/waitresses part, and they also have less tables if they have to take care of a party of 6. The restaurant is looking out for the waiter making sure they get paid.

Don't like it? Don't go out to eat with a party of 6.

I would think it's easier to wait a large table rather than, say 6 individual customers. So the fee is their tip and there's no need to tip extra, right?

Yea, I guess you're right, in some cases in can be easier. But the other point I want to emphasize is that a waiter/waitress won't get many tables if they already have a party of 6. Which means their total tips for the day will greatly depend on that party of 6.
 

chrisms

Diamond Member
Mar 9, 2003
6,615
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Originally posted by: BigJ
You never have to pay a service fee.

However, a restaurant can ban you from returning for not paying said fee.

EDIT: Never is too strong. Unless you are made aware of the fee ahead of time and agree to pay it before ordering.

I would assume you would have to pay if they stated it beforehand but I've never seen that in America. From what I hear it just shows up on the bill, which gives you the right not to pay.

Edit: Damn your edit.
 

BigJ

Lifer
Nov 18, 2001
21,330
1
81
Originally posted by: chrisms
Originally posted by: BigJ
You never have to pay a service fee.

However, a restaurant can ban you from returning for not paying said fee.

EDIT: Never is too strong. Unless you are made aware of the fee ahead of time and agree to pay it before ordering.

I would assume you would have to pay if they stated it beforehand but I've never seen that in America. From what I hear it just shows up on the bill, which gives you the right not to pay.

Edit: Damn your edit.

Mwahahahahahaha. :evil:
 

glutenberg

Golden Member
Sep 2, 2004
1,941
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Originally posted by: chrisms
Originally posted by: BigJ
You never have to pay a service fee.

However, a restaurant can ban you from returning for not paying said fee.

EDIT: Never is too strong. Unless you are made aware of the fee ahead of time and agree to pay it before ordering.

I would assume you would have to pay if they stated it beforehand but I've never seen that in America. From what I hear it just shows up on the bill, which gives you the right not to pay.

Edit: Damn your edit.

Most large restaurants will have the disclaimer at the bottom of the menu in the US.

It's also meant to protect waiters and waitresses from getting stiffed by a large group as now her focus is mainly on that one large table. With six individuals, the work may be more but chances are the six of them aren't going to lowball the waiter all at the same time whereas it only takes one person at the table of six to significantly reduce the waiter's wages.
 

DAWeinG

Platinum Member
Aug 2, 2001
2,839
1
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Hypothesis #1: Probably because the more people there are, the harder it is to please everyone. If one person is unsatisfied then there's a chance of getting little to no tip for a large party whereas if you have smaller parties you have a greater chance of getting a bigger collective tip.

Hypothesis #2: *Shrug*
 

Captante

Lifer
Oct 20, 2003
30,353
10,876
136
Correct ... Large groups are considerably more work then small ones & for whatever reason are far more likely to stiff the server regardless of the quality of service provided, so tips are often added in advance... the restaurant should however inform you of this beforehand.
 

JackRipper

Senior member
Apr 8, 2002
609
3
71
Most restaurants that I have been to clearly state the large party fee...

In my experience, tables of less than 4 usually never walk out and not tip you... i've had tables of 6 and over either undertip or forget to tip. say the bill comes out to be $200... sometimes people feel that tipping you $20 is more than enough... which is a very very very sh1tty tip...

Depends on what restaurants that i've worked at... some i've never enforced the autotip and only when the parties undertip do i mention to them that we have a minimum tip policy's for parties.

Depending on the region... there are many people who don't know how to tip... if you can't afford to go out to eat, then don't. People make money on service fees...

Of course if the service sucks then by all means tell the manager.... they will definitely compensate you...

-JR
 
Aug 16, 2001
22,505
4
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Originally posted by: KarenMarie
There is no rationale. It is wrong to ever automatically add a tip. It is discriminatory to large parties.

And... what if the service sucks... does the customer get the money back? what incentive does the server have to do a great job when they know they will get the 18% no matter what. I am firmly against forced tipping.

Agreed. I believe I brought this up in the other thread.
 

ryan256

Platinum Member
Jul 22, 2005
2,514
0
71
I have no problem with a tip automatically being added in for a large party. What I do have a problem with is servers who give crappy service to large parties thinking they will get their tip regardless. So far this has happened to me & my friends 3 times in different restraunts. I went to the manager, refused to pay the tip, and told him why.
 

SoulAssassin

Diamond Member
Feb 1, 2001
6,135
2
0
I think it's also that obviously with larger parties you are going to have a larger bill. People are more likely to tip 15-20% when the bill is say $30 or 40 for a party of two. But when the bill gets to a couple hundred dollars and the tip gets to say $40 people are likely to leave a smaller percentage and screw the waiter.
 

Turin39789

Lifer
Nov 21, 2000
12,218
8
81
I believe the idea is that if the waiter/waitress has to devote most if not all of their efforts on one table, they have a higher chance of getting screwed over tip wise. If you come in with a party of 10, you usually sit and talk for awhile, but if nothing else the server will stay busy making sure all 10 drinks are refilled, getting food orders etc. With a larger number of small tables, they can get screwed on a table or two and come out ok. If they have one large table and maybe one or two small tables to take care of, and they get screwed over on a tip they don't have anywhere else to make that up.