Posted On:
22-04-2024
Ordering food from Zomato to get costlier as the company hikes platform fee
Zomato has raised its platform fee for food delivery customers by 25 per cent, now charging Rs 5 per order as of April 20, as indicated by information on the company's app. This flat charge per order has been hiked in Zomato's key markets, including Delhi NCR, Bengaluru, Mumbai, Hyderabad, and Lucknow.
Previously, on January 1, Zomato increased its platform fee for users from Rs 3 to Rs 4.Reportedly, Zomato processes between 2 and 2.2 million orders daily, suggesting that a Rs 1 increase across this large order volume could significantly boost the company's earnings over a quarter.Zomato applies the platform fee in addition to a delivery charge, although this is waived for customers enrolled in its Zomato Gold loyalty program, who receive benefits like discounts and free delivery after an upfront payment. The platform fee is also applicable to Zomato Gold members.
In comparison, Zomato's chief competitor, Swiggy, charges a platform fee of Rs 5 on food delivery orders.
Zomato introduced this fee first in August 2023 at Rs 2 per order, later raising it to Rs 3 in most major markets in October. Zomato's quick-commerce platform, Blinkit, also imposes a handling charge of Rs 2 on every order.
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