It's often used to show generosity by a business, especially in restaurants and bars. After we had dinner, the dessert was on the house as a kind gesture.
Pro Tip 2/3
Apology Token
Sometimes used to apologize for a mistake or inconvenience caused by the service provider. Our order was late, so the manager made the appetizers on the house.
Pro Tip 3/3
Customer Loyalty
Used to reward repeat customers or to encourage them to return. Thank you for dining with us often; tonight's meal is on the house!