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The Street
The Street
Dominic Diongson

Mystery shopper jobs: How much do secret shoppers get paid?

Imagine being on the TV show “Undercover Boss” and finding out that the new hire you’ve been training is actually the top dog of the company. On the popular television program, CEOs go undercover as rank-and-file employees to find out how management and other employees treat their duties — and their customers — when they think no one is looking.

What is a mystery shopper & what do they do?

Mystery shoppers do something similar, although their jobs aren’t televised: They are hired by everyday businesses to act like normal customers to find out what customer service is like, how well workers are doing their jobs, and how average shoppers are being treated.

Related: Amazon jobs: How to work for one of the world's largest retailers

Consumer spending is the main driver of the U.S. economy, and it typically contributes to more than two-thirds of gross domestic product. With so much spending going on, owners and investors want to know how their businesses are doing, and that involves hiring mystery shoppers, also known as secret shoppers.

Businesses use data gathered from mystery shopping to improve their operations, such as optimizing the customer experience via quality of service and brand loyalty incentives. Mystery shopping can be thought of as a customer experience audit, in which businesses hire a group of people to observe the behaviors of their employees and evaluate how customers experience their shopping journey.

That seemingly average customer browsing the aisles of your local Costco just might be a mystery shopper.

Bloomberg/Getty Images

What kinds of businesses hire mystery shoppers?

All kinds of businesses hire mystery shoppers. They can run the gamut from Fortune 500 companies to small businesses in residential communities, including gasoline stations, mobile phone sellers, electronics retailers, hardware stores, amusement parks, clothing stores, restaurants, and bookstores, to name a few. Basically, any business that involves consumers buying goods or services could benefit from the insights of a secret shopper.

For example, a livery service may want to find out how its drivers are behaving and performing and want to hire contractors to act as passengers to evaluate their drivers’ work. In another example, a clothing retailer might want to know how its workers greet customers upon entering and could hire mystery shoppers to find out how cordial the service is.

Mystery shoppers can find out how knowledgeable a software consultant is in their field, whether a driver takes the most efficient route, or how well an auto salesperson is able to explain the features of their selection of sedans, SUVs, and trucks.

Data and information collected from mystery shopping can help a business enhance its customer experience and streamline the training of its most important, customer-facing employees.

Related: Lowe’s jobs & what they pay: Customer service, sales, cashier & more

What kind of work is there as a mystery shopper?

Mystery shopper work is sometimes conducted online but is more often done in person at a particular store location or group of stores. As a mystery shopper, you’ll be filling out a report recording your observations and interactions with store managers, sales staff, and other workers to help your employer (usually an owner, executive, or member of upper management) determine how the business is performing. A mystery shopper may sign a confidentiality agreement as a contractor to ensure that any material information they gather is kept private.

How much are mystery shoppers paid?

Mystery shoppers typically receive minimum wage or better. Job listings website Indeed puts the average hourly pay of a mystery shopper in the U.S. at $15.41 an hour, within a probabl range of $7.25 to $55.38.

In dense, urban areas with high costs of living, the pay is higher. In New York City, for instance, the average secret shopper pay is listed at $19.84 an hour, but it’s even higher in Dallas ($33.11 an hour) and in Los Angeles ($31.79 an hour).

Pay varies by company, and some may pay more than others based on factors such as experience. Still, few make ends meet by working solely as a mystery shopper. According to Indeed, only 27% of 62 mystery shoppers in the United States think their salaries are sufficient to meet the cost of living in their area.

How do I get a job as a mystery shopper?

Whether you’re looking for part-time work or hoping to turn mystery shopping into a livelihood, there are a number of companies that provide secret shopping services. Work is typically via contract or on a part-time basis, but full-time positions may be available.

Restrictions on this type of work exist in certain states, so it’s important to educate yourself about applicable local laws before initiating your job search. In Nevada, for instance, a mystery shopper must be under the employ of a licensed private investigator and must obtain a work permit with the Nevada Private Investigators Licensing Board.

Resources for mystery shopping jobs include trade organizations such as the Mystery Shopping Professionals Association, which was founded in the U.S. in 1998. Its database of service providers in the U.S. covers a multitude of industries, including banking, transportation, and entertainment. 

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