News Joe's Crab Shack says its no-tipping policy isn't working

Discussion in 'The Howard Stern Show' started by DDragon, May 11, 2016.

  1. DDragon

    DDragon Well-Known Member

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    http://www.aol.com/article/2016/05/...-its-no-tipping-policy-isnt-working/21375204/

    The movement to eliminate tipping is picking up some big defectors: Joe's Crab Shack says it's pared back its no-tipping test from 18 restaurants to just 4 after being inundated with customer complaints, and Gabriel Stulman announced on Monday that he's bringing back gratuities at Fedora in the West Village.

    Joe's failed experiment is particularly noteworthy because it was the first attempt by a national chain to scale the model, earning executives a lot of praise when they announced it six months ago. But CEO Bob Merritt tells investors that "customers and staff spoke very loudly," and that "a lot of them voted with their feet." Customer research apparently showed that nearly 60 percent of patrons disliked the tipless model, which increased menu prices by 12 to 15 percent and paid servers a flat $14 an hour. "We got negative customer counts between 8 percent to 10 percent on average among the 18 restaurants, and we tried it for quite a while, tried communicating it different ways," Merritt explained, adding that customers didn't like not being able to incentivize good service, and also didn't trust management to pay employees the higher wages.

    Basically, everything will just go back to business as usual at 14 of the test locations, but Joe's says it's planning to take a hard look at what's different at the four spots where the model is working. "We are going to try to figure out why it worked in some places and why not in others," Merritt said. "The way we look at it is: We are really continuing the tests in [places] where it works."

    Meanwhile, the problems Stulman says he encountered at Fedora, a tiny upscale bistro on the opposite end of the spectrum, weren't that dissimilar.
     
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  2. DDragon

    DDragon Well-Known Member

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    BTW is Joes Crab Shack only in a few states because Ive never heard of it.
     
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  3. Anfkid

    Anfkid Blue Banner Mafia Staff Member

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    It's very famous in florida.. the good part.
     
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  4. FSFN

    FSFN Well-Known Member

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    Eating giant sea roaches?! I'll pass.
     
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  5. Vincenzo69

    Vincenzo69 Well-Known Member

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    I felt so bad for those waiters who have to do that dance every 15 minutes. The looks on their faces they look like suicidal
     
  6. JameGumb

    JameGumb We're all out of toner! VIP

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    You have to be an asshole not to tip.
     
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  7. PI Nate

    PI Nate Disenfranchised since 1984... Gold

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    It's here also, it's not bad.
     
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  8. Keyless Chuck

    Keyless Chuck Barely a VIP

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    Idk, we have em In New Jersey
     
  9. EasyJesus

    EasyJesus Papi Gold

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    I was just there 2 weekends ago here in San Diego and I tipped :dontknow:
     
  10. BrerJimmy

    BrerJimmy Well-Known Member

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    Jews and blacks?
     
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  11. Anfkid

    Anfkid Blue Banner Mafia Staff Member

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    I think I was thinking of Joes Stone Crabs in Florida. Is that different from Joes Crab Shack? Hmm Sounds like another Famous Ray's fiasco! :pissed:
     
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  12. BethSucks

    BethSucks Well-Known Member Staff Member

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    It's in Southern California as well, never been.
     
  13. Rockside7

    Rockside7 VIP Extreme Gold

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    I've been to one once, I prefer Red Lobster.
     
  14. PSU Shower Room

    PSU Shower Room Well-Known Member

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    I could see how this would insulate the servers from cheap fucks.

    but it's nice to know you'll be well taken care of at restaurants you frequent because you're a good tipper.
     
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  15. PropRmodulation

    PropRmodulation Well-Known Member

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  16. Kool

    Kool Well-Known Member

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  17. goldtopper

    goldtopper Well Known Heterosexual Gold

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    Joe's in Floriduh is amazing.
    Here...I'd rather go to Dead Lobster, but neither are bad choices for seafood in the Midwest.
     
  18. Mark Mayonnaise

    Mark Mayonnaise You look like a tree! VIP

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    I'm going there next month!
     
  19. Kool

    Kool Well-Known Member

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    [​IMG]
     
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  20. Mark Mayonnaise

    Mark Mayonnaise You look like a tree! VIP

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    Rockside7 likes this.