Zomato reaches agreement with NRAI to share customer data with restaurants, enhancing marketing transparency

INDIA – Indian food delivery giant Zomato has reached a near-final agreement with the National Restaurant Association of India (NRAI) to share customer information with restaurants, marking a significant breakthrough following years of conflict over data access.

The deal focuses on sharing phone numbers of users who explicitly consent to this sharing, allowing restaurants to directly send marketing and promotional updates.

NRAI president Sagar Daryani highlighted that understanding customer ordering behaviors is vital for effective marketing spend without spamming clients.

This move follows the NRAI’s similar ongoing discussions with Zomato’s major competitor, Swiggy, and aims to resolve allegations of anti-competitive practices like data masking that both platforms faced before the Competition Commission of India.

Zomato has introduced a consent feature prompting users on the app to allow phone number sharing, promoting transparency and user control.

The agreement comes amid concerns raised by restaurants about rising commissions, now around 35%, up from 5-7%, and challenges in accessing data on average order values, cuisine preferences, and location-specific tastes, which are crucial for tailoring offers and promotions.

NRAI, representing about 500,000 Indian restaurants, has worked to secure a limited and well-defined scope for data use, co-created with restaurant partners to protect privacy and user experience.

Additionally, the agreement aligns with similar contracts by Rapido’s Ownly food delivery service, furthering a trend toward collaborative, transparent data sharing between delivery platforms and restaurants in India’s booming foodservice market.

This development signals a pivotal shift toward enhanced customer engagement, better marketing effectiveness, and restored trust between food delivery aggregators and restaurant partners, potentially setting new standards in the Indian food delivery ecosystem.

The company heavily leverages AI-driven personalization to offer tailored recommendations and dynamic pricing, boosting user satisfaction and repeat orders.

It actively uses social media, influencer collaborations, and witty creative content to build brand loyalty and community connection. Zomato integrates multi-channel digital marketing, SEO, and search engine marketing to increase visibility and customer acquisition.

The brand also adapts to food tech trends such as cloud kitchens and grocery delivery, expanding non-restaurant revenue streams.

These efforts, combined with customer-centric campaigns and strategic partnerships, are designed to deepen engagement, improve marketing effectiveness, and restore trust with restaurant partners, setting new standards in India’s competitive food delivery ecosystem.

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