Food delivery to get costlier, multiples companies hike platform fees
Food delivery giants Zomato and Swiggy have adjusted their platform fees once again, raising them to ₹ 6 per order from the previous ₹ 5—a 20% increase. This change, currently implemented in Delhi and Bengaluru, aims to optimize their operations and boost revenues.
The platform fee, distinct from delivery charges, GST, restaurant fees, and handling costs, serves as revenue for these aggregators. This adjustment follows earlier increases, such as Zomato's 25% hike to ₹ 5 per order in April.
Initially set at ₹ 2 last August, Zomato progressively raised its platform fee to ₹ 3 to enhance profitability. These adjustments are part of their strategy to achieve daily revenue targets of ₹ 1.25-1.5 crore.
The heightened platform fee will soon extend to other cities, reflecting ongoing efforts by Zomato and Swiggy to manage costs effectively and ensure sustained profitability in the competitive food delivery market.
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