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Working with restaurant partners to address their concerns: Zomato

IANS  |  New Delhi 

With hundreds of restaurant owners sending a petition to the (CCI) alleging wrongdoings by companies, on Monday said it was discussing the matter with the involved restaurant partners to achieve an which would benefit all the parties in the ecosystem.

The petition, first reported in January, accused Swiggy, Zomato, Eats and Foodpanda of misusing their dominant positions by engaging in practices such as deep discounting, in-house kitchens and internal sourcing.

The earlier faced similar allegations where small businesses accused and of deep discounting affecting their sales on their

The restaurant owners believe that their businesses will be wiped out if the companies are allowed to continue in the way they are functioning.

While denying that it runs any in-house kitchens, Zomato, which lists over 80,000 restaurants across about 150 cities in India, argued that those partners who are not happy with the discounting programmes could just opt out.

"Discounts are merely a mechanism to encourage user participation and all our restaurant partners can choose to participate in a discounting campaign," a said in a statement.

"Zomato's prime objective is to contribute to the growth of the restaurant industry in the country, which we have been doing over the last decade with the help of our various services," the statement added.

The petition reportedly asked the to "put an end to unsustainable pricing by these companies, prohibition of cross-holdings of food services, delivery company to own or have a stake in any kitchen/restaurant, and appointing to ensure that a level playing field is not breached in the garb of cutthroat competition".

on Monday announced the introduction of bicycles - both mechanical and electric - into its last mile delivery fleet and said that it was working towards raising the scale of adoption with the aim of converting 40 per cent of our fleet to power-assisted bikes within the next two years.

The argued that far from destroying the small and mid-sized restaurant industry as has been alleged by some, the company had been "able to deliver long-term growth for our restaurant partners by connecting them with more users".

"In fact, a lot of our restaurant partners have been able to expand their operations since has helped them exponentially leverage the fixed and man-power costs," the added.

--IANS

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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, February 11 2019. 21:20 IST
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