1,200 restaurants detach themselves from dine-in programmes of Zomato and the like

Square

1,200 restaurants reportedly detached themselves from dine-in programmes of Zomato Gold, EazyDiner, Dineout’s Gourmet Passport, Nearbuy, MagicPin among others claiming that the deep discounting offered by the aggregators and table reservation services was hurting their business.

Meanwhile, Zomato in a blog post addressed to restaurants, questioned the #Logout campaign and some of the proposals being considered by industry groups. “We have noticed, among others, active discussions on price-fixing and limiting the supply of services, which could constitute cartelisation. We urge you to be careful and not get involved in any such discussions,” it said. Zomato has asked the restaurants for 45 days’ notice if they planned to exit and pay a sign-up fee per restaurant if they wanted to join back.