City hoteliers, who have tied up with online food aggregators, have said they will end their association with them from December 1, protesting against some practices that have turned hotel business unprofitable.
Aziz Moosa, district president of Kerala Hotel and Restaurants’ Association, said issues like heavy commission demanded by food aggregators had hurt traditional hoteliers. Besides, the heavy discounts being offered by food aggregators create an atmosphere of mistrust between hoteliers and their normal-time customers on matters like the prices of food served.
Mr. Moosa added that more than 200 city hoteliers had tied up with food aggregators, and that they would snap their ties and boycott food apps. The association has around 4,000 members in Ernakulam district, he said. According to him, individual hoteliers have sought the help of the association to overcome issues associated with tie-ups with food aggregators.
Online operators are offering heavy discounts by spending money from their own pockets with a view to capturing the market initially, Mr. Moosa alleged. He said city hoteliers would develop their own food app if online operators did not come forward for negotiations. A team from a Coimbatore-based company is in Kochi, and hoteliers will hold talks with the team on Friday, he added.
