Restaurants’ boycott against Foodpanda expands to major cities

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KARACHI: Restaurant owners of major cities of the country have joined a boycott against Foodpanda as the food delivery company has allegedly failed to negotiate.

According to a statement issued here on Wednesday, All Pakistan Restaurant Association (APRA), after a successful boycott in Karachi of Foodpanda, has now started protest in Punjab province and restaurants owners of Lahore, Islamabad and other cities, have joined the protest.

APRA Chairman Muhammad Naeem Siddiqui pointed out that Foodpanda has started putting more pressure on restaurants after boycotting its services and threatened that it would not deliver the food if 30 per cent commission is not paid.

“APRA has strongly protested the imposition of a 30 per cent self-imposed commission on restaurants, calling it against the rules of the Competition Commission of Pakistan and the CCP is asked to play its role in ending the Foodpanda’s monopoly and malpractices so that all food delivery companies have equal business opportunities”, he said.

The chairman APRA, after consultation with Islamabad Restaurant Association (IRA), Lahore Restaurant Association (LRA) and Lahore Restaurant Unity Association, was subjected to certain conditions for the restoration of Foodpanda’s services. The conditions include: restaurants should be allowed to deliver Foodpanda orders directly through their own riders; there should be standardized commission structure for all brands; customer data should be shared with restaurants; restaurants should not be threatened with an increase in commission, and exclusive agreement should not be signed with any restaurant as it’s against competition laws.

15 COMMENTS

  1. This is too much food panda is doing what any company think they are the source of profit their riders misbehave plus eat little chunks from the delivery.We are used to clean and fast service from Food chains and any complaint was handled quickly. We appreciate hotel associations stand right time before someone decides to take control and leave totally dependent on food panda.

  2. I recommended to all restaurants owners fully boycott of foodpanda. 30% commission are to much high commission. If any person 30% to foodpanda he earn 0% profit.

  3. Food Panda greed will force restaurant owner to increase the prices which will affect the end consumers, 30% for what … take only delivery charges … increase if you want … no need for any commissions.

    • I am a restaurant owner,our margin is hardly 15%,how can we pay them 30% commission,they should not be paid more than RS.500 for delivery charges.they are making more money than us.It is wise to not sell through food panda.It is too much to pay 30,%.
      There investment in business is far less than us.

  4. Foodpanda to gain maximum profit for themselves ask the restaurant owners to increase their menu prices which in turn put more pressure on customer. And usually the prices on foodpanda website are more compared to the original restaurant menu.

  5. This is not fair! FOODPANDA wants to earn more profit instead of doing a Business. Its lead it down not up. So make a standard policies for all of them(IRA, APRA etc)

  6. In any food and restaurant business the profit margin is hundred percent or More in some places. Currently Food Panda started discounts on meals if customers purchased through Food Panda but Restaurants not giving you discounts on any direct delivery. So it’s good for customers if food Panda pass on this commission to customer as discounts.

  7. Food panda should stop this nonsense. They have now turned up as blackmailed. Let there be boycott by all restaurants/hotels in the country. Their service is also mis managed. Say farewell to food panda.

  8. APRA should deliver food thru their own delivery network…..30% commission is on higher side it should be 10 to 15 . Don’t forget that high number of riders also get job with FP

  9. Yeh Restaurants woh chila rhe h .
    Jinki dine tu kia delivery p sale ni h.
    50rs ki bottle 160+ tax ki bechte
    na sharam ati na khauf . Inko chaye sara akele khaye or foodpanda inko free services de

  10. I am a restaurant owner,our margin is hardly 15%,how can we pay them 30% commission,they should not be paid more than RS.500 for delivery charges.they are making more money than us.It is wise to not sell through food panda.It is too much to pay 30,%.
    There investment in business is far less than us.

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