Zomato raises its platform fee to Rs 4 per order

Zomato has increased its platform fee from Rs 3 to Rs 4 per order. From January 1st, the new rates went into effect. The new platform fee is levied on all customers, including Zomato Gold. On New Year's Eve, the platform fee—which has helped Zomato's revenue growth-was momentarily raised to Rs 9 per order. Zomato has announced higher profitability and take rates in the last few quarters.

Zomato’s Chief Executive, Deepinder Goyal shared on microblogging site X (formerly Twitter) that on December 31 they surpassed the combined number of orders it clocked for New Year Eve’s over the past six years (2015-2020).

From August 2023, the food aggregator app started charging a platform fee. Initially it was Rs 2 per order, and was subsequently increased to Rs 3 in most of its major markets.

“These are business calls which we take basis various factors from time to time,” a Zomato spokesperson told a news source on the platform fee hike, but did not provide further details.

Zomato’s closest rival, Bengaluru-based Swiggy, too, last year began charging a Rs 2 fee, which was later hiked to Rs 3.

Zomato levies the platform fee in addition to a delivery charge, which is waived for customers of its loyalty programme, Zomato Gold, who make an upfront payment and get benefits such as discounts and free delivery. The platform fee, however, is applicable to Zomato Gold members as well.