ZipTip’s Mobile Payment App Makes it Easy to Acknowledge Great Service

With the trend of people increasingly using their credit/debit cards and the growing options of mobile payments, our society is becoming less cash-focused.  A sample size of 1, myself, can tell you that I rarely use cash these days to pay for anything.  I prefer the convenience of swiping a card, getting reward points, and not wondering where to store all the change in my pocket from a cash transaction.

However, the only time I really regret not having a stash of cash on me is when it comes to tipping people.  Whether it be a bellman or the hotel maid, I find myself having to run to make change or in instances when I'm running late, I'm not able to show my appreciation properly.  Enter ZipTip, which makes tipping easy and convenient from a mobile phone.

ZipTip works by providing service personnel with a card that contains a QR code, what they call a “Medallion.”  The tipper scans the QR code with their phone, enters the tip amount, and the tip appears in the tippee's PayPal account.  ZipTip takes a 3% cut of the transaction, which is a sweet deal considering the convenience factor.

Of course, there are some interesting issues the company will need to deal with right off the bat.  For instance, which target market will they focus on initially?  Hotel staff, airport personnel, and restaurant waiters are a few options that seem to be right in their wheelhouse.  Also, there is an initial barrier to using the product for both tippers and tippees.   Tippers need to download the ZipTip app and service personnel would need to sign-up for ZipTip to get their Medallion.  Both sides also need to have a PayPal account.

To hear about ZipTip's story and find out more about their strategy, come out to the TechCocktail Boston event tonight and meet the team!

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Written by:
Anuj Agrawal (@anujagra) is a digital media enthusiast in the DC area, with a passion for understanding what makes consumers tick. From the fundamentals of designing products that are engaging to understanding the psychology of the buying process, he has helped companies develop innovative consumer experiences.
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