What kind of customer frauds does Zomato deal with?

Customers commit frauds like placing their own hair in food or using AI-generated images to fake issues for refunds.

How does Zomato's karma score work?

Zomato's karma score system tracks customer and rider behavior to resolve disputes, siding with the party with a better record.

Why does Zomato fire 5,000 delivery partners monthly?

Zomato terminates around 5,000 delivery partners monthly due to fraudulent activities like falsely marked deliveries or cash-on-delivery scams.

Home / Business and Economy / Zomato CEO: Customers Use AI for Food Scams

Zomato CEO: Customers Use AI for Food Scams

5 Jan

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Summary

Customers use AI-generated images to fake food delivery complaints.
Zomato terminates about 5,000 delivery partners monthly for fraud.
A 'karma score' system resolves disputes between customers and riders.

Zomato CEO: Customers Use AI for Food Scams

Deepinder Goyal, CEO of Zomato's parent company, discussed prevalent customer fraud tactics during a recent podcast appearance. He highlighted the use of AI-generated images to simulate issues like insects or damaged food, enabling customers to falsely claim refunds. This trend presents a growing challenge for the food delivery platform.

Goyal also disclosed that Zomato dismisses approximately 5,000 gig workers each month due to fraudulent actions. Common offenses include falsely marking orders as delivered or failing to return change for cash-on-delivery payments, significantly impacting the delivery network's integrity.

To address conflicts between customers and delivery personnel, Zomato utilizes a 'karma score.' This system assesses the historical behavior of both parties. In disputed cases, Zomato often sides with the rider if their record is stronger, or vice versa, aiming for fair resolutions.