1. Why Is There A Logout Campaign?
The point of such discounts and offers from Zomato and others was to get diners into restaurants more frequently. But some restaurants are having none of this “deep-discounting” anymore. It’s hurting their profits, they say.
The National Restaurant Association of India started the movement asking restaurateurs to #Logout from all discounting apps. Around 1,200 restaurants that were a part of the Zomato Gold program have logged out from it saying “deep-discounting” (one-plus-one offers are like a 50 percent discount) is hurting their profits.
The restaurants had signed up on Zomato Gold, being promised an “exclusive” service, but soon noticed that there was plenty of competition from other neighborhood restaurants also on the app, thereby failing to build customer loyalty as the program intended.