Bengaluru: The Bengaluru Restaurant Owners' Association has threatened to boycott the online food delivery platform 'Swiggy' after August 15 if their demands are not addressed. Restaurant owners alleged that excessive commissions, platform-enforced deep discounts, and multiple hidden deductions are severely impacting restaurant profits.

They are seeking a fair and transparent partnership, urging Swiggy not to offer discounts without the consent of restaurant partners and to provide greater transparency regarding advertisement charges and payment gateway fees.

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What Are Their Key Demands

Among their main demands are:

- No automatic deduction of money after a customer complaint.

- Assurance that restaurants will not bear financial losses if an order is cancelled after the food has already been prepared.

- A detailed settlement report of all deductions.

- An end to one-sided agreement terms.

- The appointment of a dedicated relationship manager for every restaurant.

The association has urged Swiggy to hold talks with restaurant representatives. They warned that if no satisfactory response is received by August 15, restaurants will exit the platform and proceed with a citywide shutdown, NDTV reported.

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Heavy Financial Losses Due To Unscientific Deductions

Speaking on the issue, PC Rao, Honorary President of the Bengaluru Hotel Association, alleged that Swiggy's unscientific deductions are causing severe financial losses for restaurant owners. He highlighted that after generating business worth Rs 1 lakh, establishments are left with barely Rs 40,000 after platform commissions, forced discounts, and hidden charges are deducted.

In response to these growing pressures, the Bengaluru Hotel Association, the Karnataka Hotel Association, and the National Restaurant & Bar Association have joined forces to collectively fight the issue.

Rao emphasised that restaurant owners are willing to maintain their partnership with Swiggy if the unscientific deductions are stopped. However, he warned that if their concerns are not addressed before August 15, they will withdraw from both Swiggy and Zomato.