Zomato And Swiggy Increase Platform Fees, Food Deliveries Set To Become Pricier

Food delivery giants Zomato and Swiggy have raised their platform fees from ₹ 5 to ₹ 6 per order, marking a 20% increase in Delhi and Bengaluru. This fee, distinct from delivery charges, GST, restaurant fees, and handling costs, is set to expand to other cities soon. The platform fee contributes directly to aggregators’ efforts to manage expenses and boost revenues.

Zomato had previously increased its platform fee to ₹ 5 per order in April, following an initial introduction at ₹ 2 last August, later raised to ₹ 3, aimed at enhancing profitability. The move underscores efforts by these platforms to stabilize finances amid competitive pressures and operational costs in the food delivery sector.

Both Zomato and Swiggy anticipate generating between ₹ 1.25 and 1.5 crore daily through these revised fees. The adjustments come amidst ongoing efforts within the industry to navigate challenges while maintaining service quality and profitability. As such, customers can expect a slight increase in overall costs for food deliveries facilitated through these platforms across various cities in the near future.