Zomato defers policy in truce talk
Business Standard|April 16, 2022
Within hours of restaurants calling Zomato's new food quality policy one-sided, the delivery platform has stepped up communication with its partners to signal peace and prevent any hasty action.
DEEPSEKHAR CHOUDHURY
Zomato defers policy in truce talk

UNPALATABLE DEAL

  • Under Zomato's new policy, restaurants can be temporarily banned from taking orders on the basis of customer complaints about food
  • Restaurants say Zomato has no power to investigate complaints, and that such matters would tilt towards customers
  • Industry players say 70% of complaints on aggregator platforms are not legitimate
  • Move to hurt pocket-friendly outlets the most
  • Zomato has pushed implementation of the new food quality policy to May 3

Fearing a ban based on customer complaints, National Restaurant Association of India (NRAI) president Kabir Suri had earlier raised industry concerns in his conversation with Zomato cofounder Mohit Gupta.

In a day of fast-moving developments, Zomato said late on Friday that it was pushing the implementation of the new food quality policy to May 3 from April 18. The food delivery platform has also invited feedback from restaurants on the framework of the policy by April 22. To assuage restaurants' fears of a ban, the company said that cases relevant to the policy framework were rare (0.001 per cent). "However, these rare issues, if not addressed, can hurt customer trust and reputation of restaurant establishments in the long term," it added.

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