No Promotions, Service Charge Only On Food: Bengaluru Hotel Body To Swiggy
The Bengaluru Hotels Association has formally requested Swiggy to address concerns regarding unfair commission structures, unauthorized fees, and promotional practices. The association is demanding greater transparency, explicit consent for marketing contracts, and a dedicated support system for restaurant partners.
Why it matters
This highlights the growing friction between gig-economy platforms and local business owners over profit margins and operational autonomy in the Indian food-tech sector.
The Bengaluru Hotels Association has raised concerns over several operational issues faced by hotel and restaurant owners on the Swiggy platform.In a letter addressed to Swiggy CEO Rohit Kapoor, the association has sought immediate action on a series of issues, including promotions, commissions, service charges and additional fees. The association demanded that no promotions be activated without the prior written consent of the hotel owner. It has also sought a restriction on deductions from payouts, saying only the agreed commission and applicable statutory charges should be deducted.The hotel association further said that service charges should be levied only on the food component of the bill and not on the GST amount.It also objected to the automatic renewal of promotion and marketing…
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in