New Delhi: Online food orders are set to cost you more as food aggregator platforms Zomato and Swiggy have reportedly hiked their platform fee — the fixed fee charged for delivery orders. The new hikes reflect a nearly 20 per cent rise in platform fee compared to what was charged previously from customers.
Zomato and Swiggy have gradually hiked their platform fee which started from Rs 2 per order.
Citywise platform fee rate changes
Zomato and Swiggy hiked the platform fee across key cities in a move that is likely to shore up their bottomline. While Zomato’s share price jumped 2.26 per cent on Monday to Rs 227.50 apiece at 11:36 pm, making founder and CEO Deepinder Goyal a billionaire, Swiggy is likely to get its financials in order, getting closer to breaking even, as it readies for an IPO.
Zomato and Swiggy hiked the fee to Rs 6 per order from Rs 5 per order earlier in Delhi and Bengaluru. In Mumbai, Swiggy raised the fee to Rs 7 per order from Rs 5 per order earlier.
What is platfrom fee?
Platform fee is the fee charged by different online platforms which is different from charges such as delivery fee and GST. Zomato earned Rs 1.25-1.5 crore per day from the platform fee levy.
The development was not received well by users who took to social media to express their unhappiness. Capitalmind Financial Services’ CEO Deepak Shenoy said on X that he had already weaned himself away from Zomato and Swiggy, he also added that these platforms charged restaurants a 30 per cent fee. Swiggy and Zomato rolled out the platform fee in 2023 in April and August, respectively.
Another user, Sahil Bawa shared a screenshot of the revised platform fee to state that retaurants and customers are at the receiving end of multiple hikes from Swiggy.
Swiggy just keeps on increasing its platform fee. It started as Rs 2 and now it’s Rs 7 plus GST. They charge the restaurant. They charge the customer. The restaurant bloats the prices to make up for their fee. Restaurants seldom charge GST on packaging fee and they seldom charge pic.twitter.com/Hep7EjrIlF
— Sahil (@MrSahilBawa) July 13, 2024
Online food orders are set to turn more expensive going forward as Zomato and Swiggy have hiked the platform fee by nearly 20 per cent. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
