Thursday, April 06, 2017

Tips by Venmo, or something like that

Flew into Newark this morning. At the airport, I wasn't in a rush, and my old black boots have a few cracks in the leather, and I knew it was gonna be damp again in the Northeast (again 😡), so I stopped to have my shoes shined and tended to.  A little shoe spa.

Turned out, my shine professional also had NC roots, and was planning to head down to Charlotte via Amtrak tomorrow to see his 91-year old father, who wasn't doing well. He needed to make another $120 today over 15 hours to get the cash needed for his ticket, and was concerned the inclement weather would mess with his volume and therefore revenue. He treated my shoes good, so I gave him a $3 tip on a $7 shine. He mighta fed me a story, but it sounded good and was convincing, and my shoes look great.

I was rather hungry, having had only a banana at RDU (where, by the way, I ran into Rhett Autry, whom I hadn't seen in 30-odd years. She also got a banana with her coffee). So I went to Wendy's, the best option. There the very friendly associate upsold me from the Artisan Breakfast Sandwich to a Panini. Good work! It was OK.

The big difference between the two transactions was I couldn't tip her.

Now, as the economy is hollowed out, as manufacturing is outsourced and then 3D printed away, as Amazon destroys dry goods retail, increasingly only service jobs will be left. And, as the advantages of larger corporations play out, there will be fewer entrepreneurs, presuming that people continue to vote with their wallets for cheaper options. So the share of people working in fast food etc. contexts will rise.

Service will continue to be an important component of this world, but we will be unable to pay for it, and thereby incentivize its thoughtful and chearful delivery and improvement.  But it would be easy enough, in the age of platforms like Venmo, to shift this a little. Why shouldn't I be able to tip the woman at Wendy's a little if I like her? Why couldn't she have a button with a QR code that I could scan and shoot a tip to? If she's a team player, we could imagine that she might like to pool her tips and pass fractions of them to teammates, as is the culture of restaurants with wait staff. This would incentivize not just good individual instances of service, but attempts to improve service.

It would be difficult to integrate this into a top-down, hierarchical management framework.  In a sense it would involve the disintermediation of management. But it would certainly be interesting, and it should be tried.

It would be good, as well, if an analog to the QR code could be found that would let one do the same thing for call center workers, It probably exists, I just can't think of it right now.

I think we all at some level understand that the progressive automation and granularization of large value chains debases human labor, but that the people doing the work are on balance good people trying to get by. The more we can find ways to individually reward the people who provide us with services, the better.

BTW, I bet someone is already working on this.

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