Zomato to share customer data with restaurants: Why it matters
What's the story
In a major development, Zomato has agreed to share customer data with restaurants. The move comes as part of an effort to resolve a long-standing dispute between food delivery platforms and the restaurant industry. However, it's important to note that this data sharing will only happen if customers give their consent.
Consent process
Zomato to seek customer consent for data sharing
The National Restaurant Association of India (NRAI) has revealed that Zomato will soon start showing pop-ups to users. These pop-ups will ask for one-time consent for their data to be shared with restaurants. The proposed wording is: "I allow restaurants to reach out to me for promotional activities." The data to be shared with restaurants will include information such as name, location, and ordering patterns. The NRAI believes this will help restaurants better understand user behavior and consumption patterns.
Industry expectations
NRAI hopes Swiggy will follow Zomato's lead
The NRAI is also scheduled to meet with rival platform Swiggy, hoping that the company will also agree to share customer data. This comes after the association had earlier filed a complaint with the Competition Commission of India (CCI) against Zomato and Swiggy over issues such as data masking and lack of transparency. The NRAI had claimed that these platforms withheld important customer information, making it difficult for restaurants to engage with their own customers.