Unlike most in rich countries, American restaurant servers depend primarily on tips for their income. You might not know “dynamic pricing” by name, but if you’ve ever booked a flight, hotel room, or gone to the movies on a Tuesday, you understand it intrinsically: Dynamic pricing is when the price of goods or services fluctuates based on demand. “When confronted with dynamic pricing, customers react negatively,” a 2022 study said . In late 2023, after 35 years, Bayless decided to try dynamic pricing, raising the dinner menu on weekends from $165 to $185. Nick Kokonas, who cofounded Toast, also uses dynamic pricing at his Chicago restaurants.

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Persons: Toast, they’re, Tipping, Michael Lynn, Zachary Brewster, Lynn, L’Oca, “, ” Adam Orman, we’ve, haven’t, Crudo, you’ve, Sherri Kimes, Rick Bayless, Bayless, It's, ” Bayless, ”, Roger Yang, Nick Kokonas, Ari Weinzweig, ” Weinzweig, Yang, Corey Mintz Organizations: National Restaurant Association, Bureau of Labor Statistics, waitstaff, Cornell University, “, Michelin Locations: America, Italian, Austin, Angeles, Chicago, Toronto, Ann Arbor , Michigan