Tipping Perceptions: Taiwanese Tour Leaders' Perspectives

Abstract

This study aims to investigate how tour leaders (TLs) in Taiwan perceive the issue of tipping, and to identify the factors which influence TLs to solicit tips. It also examines the impact of tipping in relation to the job performance of TLs. Data collection involved participant observations and interviews with travel agencies' managerial staff and TLs. This study found that TLs see tips as a significant source of income if they are not well-paid by their employers. This study suggested that selfish economic behavior has a significant impact on tips received. The consequences are mainly caused by travel agencies' operating policies regarding the price competition and low payment of TLs. TLs have a tendency to perceive tips as a service charge rather than a voluntary payment. Slowly, but not unanimously, including tips in the price of the tour might be an alternative for the future practice of travel agencies in Taiwan. It is expected that the results of the study can help travel agencies in Taiwan to draw up an appropriate tipping policy and to extend literature on service performance in the travel industry.