Bengaluru Restaurants Threaten Swiggy Boycott From August 15 Over High Commissions

Bengaluru restaurant owners have warned of a Swiggy boycott from August 15, alleging high commissions, payment delays, unauthorised promotional offers and financial losses. The hotel association has urged the platform to revise its policies.

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Bengaluru Hoteliers Threaten to Boycott Swiggy

Hotel owners in Bengaluru have expressed their anger against online food delivery giants Swiggy and Zomato.

Alleging that the platforms are depriving them of crores of rupees in revenue and adversely affecting their businesses, the Bruhat Bengaluru Hotels Association (BBHA) has issued a strong warning. 

The association said it would either completely boycott Swiggy's services in the city or seek to have the platform shut down if its concerns are not addressed.

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Hotel Owners Hold Emergency Meeting Over Swiggy Policies

Small and large hotels in Bengaluru are allegedly losing lakhs of rupees every day due to what they describe as Swiggy's unfair policies. 

To discuss the issue, identify suitable solutions and chalk out the next course of action, an emergency meeting was held under the leadership of PC Rao, President of the Bengaluru Hotel Owners Association.

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Hotel Owners Allege Losses Due to Unauthorised Offers

Hotel owners have alleged that Swiggy introduces promotional offers on its app without informing them in advance. 

They claimed that customers are offered deals such as 'Buy 1 Get 1 Free', but Swiggy reimburses the hotel for only one plate. 

As a result, the hotel owners said they are forced to bear the cost of the second plate provided free under the offer, leading to financial losses.

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Hotel Owners Raise Concerns Over Cancelled Orders

Hotel owners have alleged that they incur significant losses when customers cancel online orders after the food has been prepared and handed over to the delivery partner. 

According to them, the cancelled orders are not returned to the hotel. Instead, they claimed, the food is consumed by the delivery partners, while the hotels do not receive payment for the cancelled orders. 

As a result, hotel owners said they suffer losses in both food and revenue.

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Hotel Owners Allege High Commissions and Payment Delays

Hotel owners have alleged that despite preparing and delivering quality food, online food delivery platforms deduct 25 to 30 per cent of the bill amount as commission. 

They also claimed that they are being charged unnecessary advertising fees in the name of promoting their establishments on the app. 

In addition, the hotel owners alleged that payments are often delayed, affecting their cash flow and day-to-day business operations.

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Hotel Association Sets August 15 Deadline for Swiggy and Zomato

The hotel owners' association has alleged that online food delivery platforms are increasing the financial burden on consumers while causing significant losses to hoteliers. 

It urged the government and the concerned authorities to intervene immediately and put an end to what it described as the exploitation of hotel owners.

The association issued a final warning, stating that if Swiggy and Zomato do not revise their policies, its members will stop accepting food delivery orders through both platforms across Bengaluru after August 15.