Zomato and Swiggy, two of the top food delivery companies in India, have recently raised their platform fees to Rs 6 per order in major cities like Bengaluru and Delhi.

This increase is a 20% rise from the previous fee of Rs 5 per order. Interestingly, Swiggy has been showing a platform fee of Rs 7 in Bengaluru, but it is reduced to Rs 6 at the final checkout.

Platform fees were first introduced by these companies last year, starting at Rs 2 per order. These fees are crucial for delivery firms as they aim to improve their revenue from each order. In a market where Zomato and Swiggy dominate, both companies have been testing different fee structures to find the most profitable balance.

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However, this move isn’t entirely surprising. Earlier this year, Swiggy tested a platform fee of Rs 10 for some users, a big increase from the Rs 3 it was charging to many others. Though this higher fee was displayed at checkout, customers were ultimately charged only Rs 5 after a discount.

In another instance, Zomato increased its platform fee from Rs 4 to Rs 5 per order in key markets, including the National Capital Region, Bengaluru, Mumbai, Hyderabad, and Lucknow.

These small increases are part of a broader strategy to boost profitability, particularly as these companies face challenges in increasing commissions charged to restaurants without facing pushback.

Zomato’s New Order Removal Feature

Recently, Zomato has also introduced a much-anticipated feature: the ability to delete your order history. This came about after a customer requested to erase evidence of his late-night snack orders.

CEO Deepinder Goyal advised users on social media platform X to “use it responsibly.” He also mentioned that developing this feature took time because it affected many parts of Zomato’s system.

With this new option, Zomato is giving users more control over their data and adding privacy to their ordering habits. You can delete your orders by going to the ‘Your Orders’ tab.

Also Read: Zomato Surrenders Payment Aggregator Licence

Beyond food delivery, Zomato and Swiggy also operate quick commerce services, Blinkit and Instamart, respectively. These services similarly charge handling fees, with Blinkit charging Rs 4 per order and Swiggy Instamart levying Rs 5 in Bengaluru.

For customers, these small fee increases might not seem like much individually, but they add up over time, especially for regular users. While these fees are essential for the companies to sustain and grow, they also reflect the ongoing efforts to balance profitability with customer satisfaction in the highly competitive food delivery market.

As these platforms continue to evolve, customers might need to keep checking on how such changes impact their overall spending.

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