Merchants are accusing food delivery startup Ele.me of forcing to deduct RMB 3 per order for promotion fee for a bid ranking, Tencent News is reporting. 

When food & beverage businesses and Ele.me cooperate, Ele.me deducts 6% of every single order. Adding the RMB 3 to original 6% deduction, it will become money-losing deals for businesses.

“After verification, the problem was about Alipay’s promotion. Our local market managers have put business owner online for the increase his personal performance without confirming the business owner’s decision. With this feedback, we have arranged people to communicate with the involved merchants to communicate and pay for the corresponding losses,” Ele.me’s spokesperson told TechNode.

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Eva Yoo

Eva Yoo is Shanghai-based tech writer. Reach her at evayoo@technode.com