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Home » The Blog » SALESPEOPLE: THE “NO TIP CLIQUE”

SALESPEOPLE: THE “NO TIP CLIQUE”

Another day, another business card with a memorable tip…this time a solid 11.32% of the bill.  This is after talking about how great they are at sales or how amazing their supplements are. Did we mention how they will change everyone’s life? Thanks “No Tip Clique”!  Salespeople sell, that is there job!  Much of the time, the straight commission types love to talk about the product they sell or opportunity available.  Personally they do an amazing job of it and lots of the time are successful selling me at least.  Do not forget the ask of them to let them know if anyone is in the market for whatever it is they, that is what you are told to do afterall?  

YES!

YES!

Actually, yes to all of the above.

Do we want to help you out!

Sure, provided we do not know anyone else in that field. 

Why not, we have regulars that have friends. Restaurant workers are frontline, spending THEIR ENTIRE shift talking to other people.

HOWEVER, if you expect us to say anything (positive) about you, that 11.32% tip on the check, has to go.  We get it you may just be starting out or do not have a lot to spend.  In this business, an unwarranted bad tip will not get you anything except the card thrown away.  

Remember, the restaurant business is a hustle commissioned salespeople.  We have to bust our asses to make the money, the same hustle that makes any salesperson successful.  Ever consider this is why so many people leave the restaurant business to get into sales?  Success in sales and bartending/serving share a very similar skill set. This makes for an eaiser transition to sales.  

Restaurant to Sales No Tip?

Do many fresh out of restaurants struggle with the jump to sales?

YES! 

Face-to-Face selling is part of this industry, we know what it is like, only the numbers are larger.   Some of us regularly engage in selling $200+ bottles of wine, but selling a $15,000 diamond?  Well, the number is bigger, but the same strategies can be used.  

What are the reasons “No Tip Clique” for the lack of leaving tip, yet have an overwhelming desire to leave a card and sell us on what they peddle?  Having been through this sales training before, I get it.  Salespeople are told to let everyone know what they do and we agree!

Make Yourself Memorable No Tip Clique!

Get a copy of The Complete Joe Girard (“The Best Salesman of All-Time”) and listen to some of his tips. One which includes how to tip, especially when giving out a business card or even mentioning what you do!  A few extra dollars (a good tip 25% or $5 on that $20 lunch) goes a long way. Leaving a $6 tip on a $20 lunch leads to a $2,000 commission. The math shows that $6 is $2,000 .003% of the commission!  Not every commission might be that high, get the point.  If it is a $200 commission is 3%.  Three percent of $200 is better than zero percent of zero!

All Sales Fall Into The No Tip Clique

No one is safe from this group. A few others we like to pick on.

Pharma Reps, we dislike government rules on how you can spend as well.  The industry isnotorious for hosting a small group and leaving an abysmal tip as well.  We get it if it is company policy (GE), and it isn’t cool at all. If the company limits tips on the corporate AMEX, reach into your own pocket. The gesture goes a long way and at least saves face, in your extremely vain and competitive industries.  

It’s also OK if you cannot help it, we do apologize. We as a group (tipped employees) cannot buy your product if we do not make money. This is more prevalent nowwith insurance being offered to many employees in restaurant business. Also, do not exclude those making the median income or higher!  Many in this business make more than $40k+ a year as a server, bartender or somm.  Donot believe it? Chelsea Fagan (The Financial Diet) compares income as waitress to her first entry-level job.  This is eye-opening. If someone is good at what they do, they are good at what they do!

Experience says, more tipped employees in the restaurant business are making good money than others.  A top server at Brio Tuscan Grille is making about $150-$225 a night.  Let’s call it $180 for the sake of this blog.  When performing simple math: $180*5=$900*52 weeks= $46,800! Pretty impressive! Now this is, a top server, but still someone making decent money…in tips. This is not including hourly wages as it varies state-to-state, but can be impactful. It is true that at high price point restaurants, people make more!  However that is not the norm, but even a top performer at your local chain restaurant isn’t doing too bad!

Why Pick on the No Tip Clique?

Cause they do not tip!! Why else? Recently a friend experienced grand larceny by lack of tipping with a group of salespeople. This was in a restaurant on the famed Las Vegas Strip of all places. Not that The Strip is a mecca of good tips, but provides a story.  

THREE WHOLE DAYS of it!  Very demanding and particular guests that tortured the staff.  Are we being dramatic here!  100% so!  Anyone tipped deserves their pay and it has to be earned. This does not discredit rewarding or punishing for a poor job.

no-tip-more-sales-more-commission-no-more-sidework
Do the math…

This group spent about $10 less per person compared to other groups. They bragged about how many transactions they do in a year. These people went on about how much money they make more. Wonderful news, as people we are happy to hear of successes!  Rule #324,842 of tipping, do not brag about income unless you tipping nicely or even correctly. No overtip needed, untips…make you a douchebag. Now, this property is a major convention hub and handles one of the most dreaded conventions of the year, a group notorious for not spending money and having crazy requests.  

Not only is this embarrassing, it is frustrating for the staff to handle!  These are the people more in the trenches than the managers.  They are the butt of every joke or a superhero.  They are those relying on tips for get to work, to keep the power on and play Pokemon Go, or whatever the game of the moment is! Please take of them and let them know you understand how hard they work; they know how hard you work to spend your money there.  

“No Tip Clique” And How To Correct It

Think before you drop your business card, No Tip Clique.  Remember that these people that work on tips. Selling houses, cars, insurance or whatever it is you sell on commission is not much different. Take care of the people who take care of you. It is a direct reflection on yourself and more importantly your business!  Be fair. Even if the service sucks, always take care of them. The same person may one day may be in the market for the product/service/idea you sell! 

NO-TIP-big-expectations-no-more-sidework

Think about it…all these people do is talk to each other, this business is a job, like no other.  They spend a lot of time together both in and out of work.  Who else is there to hang out with when you get off at 10pm or later on Tuesday?  

Please think about YOUR business and whatever product or service you sell.  Think of the impact having people out to helping you get leads.  Throw them a few extra bucks and let them know how they can help you. This is not asking for 25% or more every time, the standard 20% is acceptable. The higher the tip, the more positively you get spoken about.

Cheers Salespeople

Sell and TIP more!