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Restaurant body to meet Zomato, Swiggy to resolve deep discounting concerns
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Restaurant body to meet Zomato, Swiggy to resolve deep discounting concerns
Aug 29, 2019 2:58 AM

The National Restaurant Association of India (NRAI) is set to meet representatives from Zomato and Swiggy to resolve the issues faced by deep discounting, days after sending letters to the major food aggregators.

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The NRAI will meet executives from Zomato and Swiggy to discuss and resolve the serious issues concerning the unsustainable discounts offered by aggregators.

The NRAI, led by president Rahul Singh, who is the owner and CEO of The Beer Cafe, has been tied up in a conflict with online food delivery apps over deep discounting for weeks now. Starting out as the #Logout campaign, it spread like wildfire and attracted the attention of all aggregators to revisit their discounting practices and provide better deals to restaurateurs who feel short-changed.

Recently, Zomato CEO Deepinder Goyal said that his company was opting out of the movement after talks failed, heightening tensions with the NRAI. His move prompted a critical response in the form of the #ZoGoIsNoGo campaign, through which the NRAI asked partner restaurants to keep out of the Zomato Gold scheme.

On Monday, the restaurant body sent out official letters to Zomato, Uber Eats, Swiggy and Foodpanda — the big four of the Indian online delivery scene — in an effort to bring parity and safeguard the interests of its partner restaurants.

Anurag Katriar, the head of NRAI’s Mumbai chapter, said in a statement: “There is a very strong demand to immediately extend the Logout movement to the online delivery vertical as well. However, as a responsible industry body, we want to actively engage with these delivery aggregators to find a solution.”

He reiterated that the association was not against the technology platforms. “Our concerns are largely around these aggregators misusing their dominant position to indulge in predatory behaviour, commercially and in forming the terms of engagement.”

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