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The #LogOut campaign stemmed out of long-brewing tension among the restaurateurs.
Ordering food on online apps and using them to avail deals while dining out has become a way of life. It’s convenient, time-saving and gives you attractive discounts. Maybe, not anymore! In a surprising move, more than 30 restaurants de-listed themselves from online food aggregators and table reservation platforms blaming deep discounts that were ‘unsustainable’ and hurting the business. National Restaurant Association of India (NRAI) president Rahul Singh said, “Restaurants have already suffered due to increasing rentals, and denial of input tax credit. The situation is now aggravated through the anytime, anywhere, any-day discounting behaviour by aggregators. So now restaurants have come together to detox consumers from discount addiction.”
Restaurants have floated #LogOut campaign on social media to protest against these offers-driven paid membership programs such as Zomato (Gold), EazyDiner (Prime). “We are here to provide you a wholesome experience through a sustainable business environment. “Zomato Gold, EazyDiner, MagicPin, Nearbuy, etc are resorting to unjust practices and hurting our business. We have no option but to #LogOut as a mark of our protest.” In fact, many restaurants in popular hangout places in Gurugram like CyberHub, Golf Course Road and Sector 29 put up posters in a show of support to the campaign, reading “We have no option but to #LOGOUT as a mark of protest.”
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NRAI has come together to detox consumers from discount addiction.
The move is being undertaken to protest against aggregators who have distorted a vibrant marketplace by aggressive discounting and predatory pricing.
Restaurateurs, it’s time to #Logout.#CozWeDeservepic.twitter.com/bI8XUQ4MtX
— NRAI (@NRAI_India) August 14, 2019
Deep discounting and membership privileges by food portals helped in luring the customers to a particular eatery but it was never a profitable proposition. The restaurants joined the bandwagon only to not be left out. The #LogOut campaign stemmed out of long-brewing tension among the restaurateurs. The campaign may gain momentum in the coming weeks and may see restaurants from other cities join in.
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Priyank Sukhija, CEO of First Fiddle Restaurants, shared his view on the issue with NDTV Food, “It’s a reaction to arm twisting by Zomato. Gold was anyway unsustainable and restaurants were only opting for it because of the fear of missing out on customers. Zomato Infinity is the nail in the coffin of Zomato’s disregard for our businesses. This got all of us together and they had it coming.”
Food aggregators, on the other hand, believe that this movement is short-lived and is not likely to affect their businesses. Well, only time will tell us.
About Neha GroverLove for reading roused her writing instincts. Neha is guilty of having a deep-set fixation with anything caffeinated. When she is not pouring out her nest of thoughts onto the screen, you can see her reading while sipping on coffee.