CASE STUDY: How the Cape Codder Resort & Spa Boosted Employee Morale & Pay with Digital Tipping
The Cape Codder Resort & Spa is a family-friendly 266-room resort situated in picturesque Hyannis, Massachusetts. The property boasts a 30,000-square-foot indoor water park, full-service spa, meeting space, and many other amenities.
Several of the managerial staff are seasoned industry professionals, according to Rachel Thayer, the resort’s general manager, and who has been with the management company for over three years. Given the seasonal nature of travel and hospitality on Cape Cod, the hotel sees its most prominent spikes between Memorial Day and Columbus Day.
The Challenge: Making Tipping Easier for Cashless Guests
Before implementing Canary Digital Tipping, less than 50% of the Cape Codder’s guests left tips. “And they weren't that large, they were only about $5 or $10,” said Lori-Ann Diaz, assistant housekeeping manager at the Cape Codder Resort & Spa. “Occasionally if one of our housekeepers were exceptional, they’d receive a $25 or $30 tip.”
On top of that, cash tips to the Cape Codder staff had been on a steady decline prior to utilizing Canary. In an increasingly cashless world, tipping hotel staff has fallen by the wayside. And yet the desire to tip is strong: Eighty percent of guests want to tip hotel workers, but only 30% do so.
“Cash just isn't really a big thing anymore,” Rachel said. “I mean, in a lot of places, you don't need cash for anything. Everything's done on your phone, you know, with Apple Pay and other cashless platforms”
The Solution: Launching Canary to Simplify Tipping
The Cape Codder implemented Canary Digital Tipping in August 2023 to help streamline guest tipping. Rachel turned to Canary after seeing success with the solution at a sister property. The implementation has been a resounding success with the staff.
“They’re loving it,” Rachel said. “We have the QR code cards that staff members can fill out with their name and put right on the nightstand. When I go and do room inspections, I see that little card there. And I know that that housekeeper was excited to put that card there. It's really been a really great thing for them.”
With Canary Digital Tipping, the Cape Codder is easily able to customize tipping flows throughout the guest journey. Staff can encourage guests to tip via text message, email, and/or QR codes placed around the property. They can also encourage tips for both departments and individuals.
The Results: A 90% Jump in Staff Tips & “Revived Culture”
Since launching Canary Digital Tipping in August 2023, the number of guests who tip has grown significantly. “After Canary, we saw a big jump in tipping from guests,” Lori-Ann said. “We’re talking about an 80% to 90% jump.”
Lori-Ann attributed the Cape Codder’s success with digital tipping to the cashless nature of travel.
“I feel it's because most people don't have cash on hand when they're checking out. So, the QR code, it's ideal, because we live in a society of cards, everything's cards. So, don't have cash? Scan the QR code, pick the housekeeper's name, and off they go.”
Since launching digital tipping, Rachel said she’s noticed a marked improvement in workplace morale.
During orientation, Rachel positions digital tipping as “another benefit” of the job. “You don't just get the eight paid holidays. You're not just getting a free meal every day or employee of the month recognition luncheons, let alone benefit packages or a $15 employee rate at any of our hotels. You also have the opportunity to earn additional money through digital tips throughout the property.”
Additionally, Canary Digital Tipping is encouraging staff to engage with guests, with some leaving personal notes and happy-faces on their business cards.
“They’ve kind of embraced it on a whole different level,” Rachel said. “They're making sure that when they see people in the hallway, not only are they stopping to say ‘Hi,’ but they're letting them know, ‘Hi, I'm so and so.’ Because they know that at any point, that person could give them a digital tip.”