Zomato and Swiggy increase platform fee by 20% – food deliveries to get costlier

• Zomato and Swiggy have increased the platform fee charged to users by 20%.
• With this increase, the platform fee has increased from ₹5 to ₹6.
• The platform fee charged is different from GST, delivery charges and restaurant charges applied on the platforms.

Your food deliveries will get costlier as Zomato and Swiggy have started increasing the platform fee by 20%. The food delivery platforms will now charge users ₹6 per order.

Food delivery platforms Zomato and Swiggy introduced platform fees in 2023, which began at ₹2 per order. This was then increased to ₹3 and then to ₹5 in April 2024.

Platform fee increases threefold

In yet another increase, the two food delivery platforms have increased the platform fee to ₹6. This means that the platform fee has increased threefold in a year.

The platform fee is different from other charges levied on orders such as GST, delivery charges and restaurant charges. Customers are required to pay this charge irrespective of any membership such as Swiggy One or Zomato Gold.

The increased platform fee is currently being tested in selected cities such as Delhi and Bengaluru. It is expected to be rolled out in a phased manner across all major cities.

While an increase of ₹1 may seem insignificant to most people who place orders online, it adds up to a good source of revenue for Swiggy and Zomato which process lakhs of orders every day.

Platforms such as Zomato and Swiggy aim to earn ₹1.25 to ₹1.5 crore per day through platform fees.

Customers not happy

Customers have not reacted positively to this news. Posts on platforms like X have criticised this move, calling for users to directly order from restaurants.


The user highlighted that food prices are already comparatively higher on food delivery platforms. The difference in price is due to the commission paid by restaurants to Swiggy and Zomato, which usually ranges between 20 to 30%.

Zomato share price surges

Zomato’s share price increased by 3% to close at ₹229.10 on Monday after the company increased the platform fee. The company’s share price has increased by over 70% in the last six months, helping the company’s chief executive officer (CEO) Deepinder Goyal become a billionaire.

SEE ALSO:

iQOO Z9 Lite 5G with 90Hz display, 5000mAh battery launched starting at ₹10,499

Global smartphone shipments grow 6.5% in Q2 2024, Xiaomi records highest growth

IPOs this week – four IPOs to hit the street this week