Zomato Increases Food Delivery Platform Fee By 20 % To ₹12

Food delivery giant Zomato has announced an increase in its platform fee, raising it by 20 % to ₹12 per order. The new fee structure, which came into effect this week, applies to all food delivery orders placed through the Zomato app.

The platform fee, introduced in 2023 at a modest ₹2, has been gradually increased over the years. Until now, users were paying ₹10 per order, but the latest hike makes it ₹12, adding to the overall cost of online food delivery.

According to the company, the decision to increase fees was driven by rising operational costs, investments in technology, and the need to improve delivery infrastructure. A Zomato spokesperson stated, “The nominal increase in platform fees allows us to ensure reliable deliveries, enhance customer experience, and support our partners in the ecosystem.”

While the fee hike may appear small in absolute terms, it could significantly impact frequent users. For instance, a customer placing 20 orders a month will now pay ₹240 in platform fees compared to ₹200 earlier.

The move has received mixed reactions. Many customers expressed frustration on social media, arguing that frequent price hikes make online food delivery less affordable. Some users pointed out that, along with delivery charges, restaurant taxes, and surge pricing, the overall bill has become noticeably higher.

On the other hand, industry experts suggest that Zomato’s decision reflects the broader challenges in the food delivery business model. Rising fuel costs, delivery partner incentives, and the push for profitability have forced platforms to find new revenue streams. Competitor Swiggy also charges a platform fee, and analysts expect it may follow with a similar hike soon.

Despite criticism, Zomato remains one of the leading players in India’s food delivery market. The company has been diversifying its services, expanding into quick-commerce through Blinkit, and investing in AI-driven technology for better delivery management. By increasing the platform fee, Zomato is expected to generate additional revenue that could strengthen its financial performance in the coming quarters.

For customers, the fee hike serves as a reminder of the evolving dynamics of the online food delivery industry. What was once considered a luxury has become a daily habit for many urban households. However, with rising costs, some users may reconsider the frequency of their orders or look for discounts and subscription services like Zomato Gold to offset expenses.

As India’s food-tech sector continues to expand, companies like Zomato face the challenge of balancing affordability with profitability. The latest fee hike may be unpopular among customers, but for Zomato, it represents another step toward sustaining its business in a highly competitive market.