Yeah it drives me nuts, and I am somewhat convinced that it's going to backfire, though I don't have any hard evidence on it.
I will go to restaurants when I'm traveling for obvious reasons, but for the six months or so I haven't really eaten out more than five or six times, all of which were for special occasions. For comparison, I used to go to some form of restaurant in the past four times a week. I gradually started to avoid places that have the tipping kiosk, but then just transitioned away to just avoiding restaurants entirely
Now, there's actually a bunch of reasons that I don't eat out anymore, but one thing I'm pretty sure is this: you know what's even worse for a business than people not tipping for a service? Them not showing up to even buy the service.