Have No Control Over Prices Set By Restaurants On The Platform: Zomato

SUMMARY

Zomato said that being an intermediary platform between a customer and a restaurant, it has no control over the prices set by the restaurant partners

The foodtech unicorn was responding to a post by a customer complaining about the higher prices for food items on the platform compared to the price at restaurant

Zomato and its rival Swiggy have often faced allegations of unfair business practices, and are being probed by the Competition Commission of India

Zomato, which has often faced allegations of unfair business practices, again found itself in a controversy recently on the difference in food prices of same items offline and on the food delivery platform. Responding to the allegations, Zomato said that it has no control over such price differences.“Proof that #Zomato wants to make more money per order than the food service provider,” wrote Kabra, a performance marketing manager at LEAD School.Besides, there were also complaints about forcing the restaurants to bear the discount expenses on these food delivery platforms.Following these complaints, the CCI launched a probe against Zomato and its peer Swiggy earlier this year.

A person named Rahul Kabra wrote a post on LinkedIn a few days back that showed bills of both online and offline orders of the same food items from the same restaurant. The bill amount when the food items were ordered from Zomato was higher, and Kabra asked the reason for the same.