Friday December 6, 2019
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Zomato Urges Restaurant Owners to Stop #logout Campaign

Meanwhile, the restaurants under the NRAI in several states have further threatened to delist from online dining platforms

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Zomato NRAI
Zomato in a smartphone device. Pixabay

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”.

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Some restaurants reportedly delisted themselves from “platforms such as Zomato Gold, EazyDiner, Dineout’s Gourmet Passport, Nearbuy, MagicPin among others. Pixabay

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.

Also Read: YouTube Originals Released Post September 24 to be Free with Ads

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. (IANS)

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Zomato Aims to Serve 20 Crore People in India

Out of the total delivery partner network in non-metro cities, 20 per cent are on bicycles

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Some restaurants reportedly delisted themselves from "platforms such as Zomato Gold, EazyDiner, Dineout's Gourmet Passport, Nearbuy, MagicPin among others. Pixabay

Zomato Founder and CEO Deepinder Goyal on Tuesday said the online food delivery platform aims to serve 20 crore people in India over the next few years who will order food at least five times a month.

Admitting that his thoughts may be “labelled as stupid for saying out loud,” Goyal said that out of the 20 crore future Zomato users, nearly 2 crore will order food once a day, 24X7.

“These 20 crore people (and in some time, many more than that) are the real India. And that India is coming of age. Domestic consumption in India is what it is – and it is going to grow as it is,” Goyal said in a blog post.

Zomato is delivering 1.3 million orders a day from 150,000 restaurants across India at more than 10 orders per restaurant per day.

Stressing upon Cloud kitchens, Goyal said the food aggregator platform is committed to develop cloud kitchens to bridge the supply gap.

“I want to re-emphasise that we will never compete with our restaurateur partners – we will only build the kitchens – but they will be operated by restaurant brands,” said Goyal.

Zomato’s kitchens are operational in 50 cities across India, with 110 kitchen hubs (either completed or under construction). In total, there are 663 kitchen units and kiosks.

Zomato NRAI
Zomato in a smartphone device. Pixabay

Zomato’s revenue for the first half of the financial year 2019-20 saw a massive three-fold jump – from $63 million in the same period in 2018-2019 to $205 million.

The Zomato CEO also touched upon how the company is helping users understand what food delivery means and how they can use the Zomato app for their family in over 400 cities in India.

Zomato is currently present in 556 cities.

Trivandrum was Zomato’s 50th city in November 2018 and Leh was the 500th in July this year.

Also Read: Bengaluru, Most Conscious City When it Comes to Buying Eco-Friendly and Sustainable Products

Zomato is also uninterruptedly active in 10 cities (Guwahati, Nagaon, Jorhat, Agartala, Silchar, Dibrugarh, Tezpur, Shillong, Tinsukia and Aizawl) in the North East region.

“Tier 3 and 4 cities now contribute 35 per cent of the monthly order volume. These cities are relatively small but are growing at a frenetic pace,” said Goyal.

Out of the total delivery partner network in non-metro cities, 20 per cent are on bicycles. (IANS)