Swiggy & zomato increased the fee again..!?

Online ordering and delivery have become a part of people's lives in India, and even as companies in the sector continue to expand their business, they are still struggling to find a way to provide the service at an affordable price. Similarly, food delivery companies have been raising fees from time to time as their main goal is to show higher profits and returns to their investors. In the last one year, people have started moaning because of the many toll hikes. Food delivery companies swiggy and zomato have once again hiked their platform fees. Due to this, henceforth these two corporate customers will have to pay Rs.6 per order. This is a 20 percent increase from the previous rate of Rs.5.
What are platform charges?: Usually, when we order food on swiggy, zomato platform, we are charged various charges like delivery charges, GST, restaurant charges, and handling charges. But this platform fee is different for all of them. This platform fee is currently applicable only in Bengaluru and Delhi. This fee is charged on all food orders, even if the customer has a membership with these companies. Generally, the platform fee is the fee charged by the platform for connecting customers and sellers while getting service from a 3rd party company. This fee goes directly to the company, which helps control costs and increase revenue. This platform fee is expected to be implemented across the country gradually. While the increase of Rs 1 per order may not seem like much to customers, zomato delivers around 22-25 lakh orders per day. With this, you can easily earn an additional income of Rs.25 lakhs every day. All in all, food delivery companies can earn an additional revenue of Rs 1.25 to Rs 1.5 crore per day by charging this toll. swiggy introduced such a platform fee for the first time in april 2023 at Rs 2. This was followed by the launch of zomato in august of the same year. Since then, both the companies have been increasing the fares alternately. As Rs 1 has not made a big impact among customers, companies have been increasing rates considering the absence of a negative impact on order volume. Big time, zomato charged up to Rs.9 per order, which is a huge pain from the customer's point of view. Notably, swiggy has tested the Rs 10 tariff for some customers in Bengaluru, Delhi, Hyderabad, and other cities.
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Sowmiya Sriram

15/07/2024 09:06 PM