VIJAYAWADA: Around 90 per cent of the major hoteliers and restaurants in the city cut ties with India’s leading online food delivery portal Swiggy on Monday, as part of their protest against the food delivery app’s demand of 18 to 25 per cent commission. However, despite vehement protests, Swiggy remains undeterred with company officials stating that they will stick to their demand of 25 per cent commission.
Speaking to TNIE, Vijayawada Hotel Owners Association (VHOA) secretary Sanjay Mehta said that during a meeting held in the city on November 6, around 240 hoteliers affiliated to the association decided to log out of Swiggy in protest against the exorbitant commission of 18 to 25 per cent demanded by the portal.
“To sort out the issue in a peaceful manner, a team of representatives from Swiggy South India region held talks with VHOA on Sunday. However, there emerged no positive result in favour of the hoteliers. As a result, 90 per cent of the major players in the hotel industry logged out of Swiggy on Monday and the remaining 10 per cent comprising of small and medium sized hotels are still continuing their operations,’’ he said.