As Wendy’s draws to the end of its third quarter, it is worth noting that the company has a total of 7292 restaurants in operation, across the world, with more than 80% of them located in the United States. On the one hand, closing down some locations and opening new ones can be seen as Wendy’s rational response to variable market conditions, especially when the U.S. market has reached its saturation point with consumers refusing to tolerate any further hike in menu pricing within an unstable economic environment. In fact, Wendy’s U.S. same-store sales growth, which measures sales at established restaurants, defined here as in operation for at least one year, registered an increase of below 1% during the most recent half of this year. Such little expansion points to the fact that, much like all the other significant chains, Wendy’s is likewise facing economic constraints that are affecting the whole food service sector.
In response to the company’s efforts to implement the restructuring strategy, investors were positive, as indicated by the 3.5% gain in Wendy’s stock price during midday trading on that Friday. This is a rallying signal for the investors as it shows their belief in the brand’s vision and its intentions as far as concentrating on the better performing outlets is concerned.
There are difficulties in the current U.S. foodservice sector, whereby the entire year is anticipated to be a tough one for the restaurant industry, with growth in sales being hard to achieve due to customers being more sensitive to prices. This has affected some of the major restaurants. Recession Restaurant in October announced it would shut down 150 restaurants by 2025, while Red Lobster sought bankruptcy protection in May after shutting several restaurants. Furthermore, these challenges across the industry illustrate the careful shield that a number of food brands are trying to build between appealing to customers while controlling costs. The decision by Wendy’s to temporarily shut down certain premises while setting up others is as a result of these dynamics and it shows the efforts of the brand to remain viable in a changing business environment.
Tipping is important in certain professions. In the U.S., tipped workers are only required to earn $2.13 per hour due to the expectation that they will make a substantial portion of their income through tips. As you plan your outings, here’s a guide to tipping appropriately across different services.
How Much to Tip at Restaurants
When dining in formal restaurants, it is recommended that one tips the wait staff not less than 18 percent of the total bill before any taxes, and this is according to the research conducted by Cortney Norris, an assistant professor at Oklahoma State University and an expert in tipping behavior. However, the total can be higher or lower depending on the service availed. Such parameters involve checking whether the order is well taken or whether the server comes back during the course of the meal. Also, some restaurants have a tendency to incorporate additional charges, so one has to watch out for that on the bill.
A reason why people are encouraged to tip more than what is usually the normal tipping percentage is that there is a possibility that the cost of living has gone higher than it was before. One possible explanation for this is the fact that similar to a nineteen eighty den-dollar stretched to nineteen eighty twenty-two dollars, the minimum non-tipped earning same affected tipped occupations has not been raised since 2.13 dollars. Furthermore, because of the present economic set up, there are calls for adjusting upward the recommended tipping amounts.
Still, one should keep in mind that providing service gratuities at the above-mentioned establishments is unrealistic. It is true that although counter service personnel are usually on duty and will perform the duties, tips for them would be a bonus for excellent service, as they are compensated a full hourly wage.
Tipping at Bars
When you’re at a bar, a good rule of thumb is to tip $1 per drink for beer or wine. For cocktails, consider tipping at least 18% to 20% of your total bill. If you plan to order several drinks, you might start with a $5 tip on your first drink and then follow with $1 for each additional drink. For open bars, tipping $1 per drink is also a good practice.
Tipping at Coffee Shops
At coffee shops, leaving a tip of about 10% to 15% is appreciated. For a simple drip coffee, around $1 is a good guideline. Many coffee chains also allow for tips via their apps.
Tipping Delivery Drivers
Delivery charges are often an additional cost but usually do not help the driver in any manner. Grubhub recommends any order exceeding $25 a $5 or 20% delivery tip – whichever is greater – particularly in case the delivery is not an easy stroll. And if there is inclement weather or he/she has to deal with stairs in the building more like 3% of the final wipe out figure.
Adhering to these sensible recommendations would assist in the often complex and confusing waters of tipping and even help in their effort to appreciate them for the services offered.
