Ahmedabad hotels under the Hotel and Restaurant Association (HRA) of Gujarat are continuing their boycott of food delivery services Swiggy and Zomato.
The boycott started on January 11. And there is no end in sight after almost a fortnight.
Zomato and Swiggy reportedly handled 70,000-80,000 orders per day in Ahmedabad before the boycott began. The average value of these orders is said to be around Rs 270.
Ahmedabad hotels up in arms
The boycott stems from the perception the owners and administration of Ahmedabad hotels and restaurants that the food delivery services are asking for very high commissions.
Reports also claim that Swiggy and Zomato have asked the eateries to increase prices, so the burden of the increased commission is passed on to the customers.
“Online companies have been forcing restaurants to raise the food price by 20 percent to absorb the high commissions,” HRA committee member Rohit Khanna was quoted as saying by ET.
The hoteliers’ demands
The hotel and restaurant owners have now put forth a list of demands that Swiggy and Zomato have to meet.
Primary among these is that the two companies must reduced their commission while delivering food.
They have also demanded that all payments should be processed within 48 hours, and that the restaurant should get back the whole amount in the event of a cancellation.
It may be noted here that Swiggy and Zomato, along with competitors like UberEats, are currently engaged in a countrywide war to poach customers, and are offering deep discounts to do so.