18 August 2019
New Delhi: As hundreds of restaurants delisted from online food aggregators' platform across the country, Zomato's Founder Deepinder Goyal on Saturday requested restaurant owners to stop the #logout campaign.
In a tweetstorm, Goyal said that young entrepreneurs (much like him) in the restaurant industry are feeling the pressure to such an extent that they had to launch such a campaign.
"Zomato Gold has been a major hit, but we understand that bargain hunters have also joined Zomato Gold and they are hurting some segments of the restaurant industry very badly," Goyal tweeted.
His reaction came after hundreds of restaurants under the umbrella of the National Restaurant Association of India (NRAI) -- beginning from Gurugram -- challenged the deep discounting practices of online food aggregators like Zomato Gold and Dineout, among others.
Goyal said that somewhere, they have made mistakes and things have not gone as planned.
"This is a wake up call that we need to do 100x more for our restaurant partners than we have done before," he said.
A Twitter follower reacted: "Good that you have reacted. But don't think it's enough. Their movement will only get bigger. Need a quick change in policies to take them into confidence. All the best".
According to NRAI President Rahul Singh, the situation for restaurants is aggravated through the anytime, anywhere, any day discounting behaviour by aggregators.
Zomato in an earlier email asked its Gold restaurant partners to serve a notice of 45 days if they wish to opt out.
"We are committed to work with the industry and make modifications to Zomato Gold which will result in a win-win situation for restaurants and consumers.
"Just like last year, when we changed some rules around Gold after hearing about the concerns of the restaurant community," Goyal tweeted.
He requested restaurant owners to have a collaborative discussion with internet aggregators for finding a sustainable way forward.
"I would also want to urge the restaurant industry to proactively look for ways to reduce operating costs, so that eating out becomes more affordable for consumers," Goyal added.
Meanwhile, the restaurants under the NRAI in several states have further threatened to delist from online dining platforms.