The Voice of Andaman and Nicobar Islands
The Voice of Andaman and Nicobar Islands
/ month
placeholder text
Follow Us
placeholder text

Zomato Raises Platform Fee by 19.2 Percent Amid Rising Delivery Costs Pressure

Date:

Food delivery platform Zomato has increased its platform fee by 19.2 per cent, raising the charge by Rs 2.40 per order, according to updated billing details on its application, as rising input costs continue to reshape pricing strategies across the sector.

The revised pre-GST platform fee now stands at Rs 14.90 per order, compared to Rs 12.50 earlier. The increase reflects a broader trend of cost adjustments within the food delivery ecosystem, where companies are attempting to balance consumer pricing with mounting operational expenses.

The latest revision comes against the backdrop of higher energy costs, including increases in LPG and crude oil prices, which have raised expenses for both restaurants and delivery partners. These cost pressures have, in turn, prompted platforms to recalibrate their fee structures in order to maintain operational viability.

This is not the first such revision. The company last updated its platform fee in September 2025. Earlier in February, the fee had been increased to Rs 10 per order from Rs 6 during the festive period, indicating a steady upward trajectory since the fee’s introduction.

Zomato initially introduced a platform fee of Rs 2 per order in August 2023. Since then, the charge has been gradually increased across key markets, reflecting the company’s evolving revenue model and its focus on strengthening margins in a competitive space.

Industry dynamics also show similar pricing trends among competitors. Rival platform Swiggy is currently charging a platform fee of Rs 14.99 per order, inclusive of taxes, placing both companies at comparable pricing levels.

The move comes as food delivery companies increasingly focus on improving unit economics, particularly in a market where operational costs have risen sharply. Companies are under pressure to manage logistics expenses, fuel costs and partner payouts, while continuing to offer competitive services to customers.

Financial performance data indicates that Zomato’s parent entity, Eternal, has recorded strong growth despite cost pressures. The company reported a 72.88 per cent increase in consolidated net profit to Rs 102 crore for the December quarter of FY26, compared to Rs 59 crore in the corresponding period a year earlier.

Revenue from operations during the same quarter saw a significant jump, rising to Rs 16,315 crore from Rs 5,405 crore in the previous year. However, the growth in revenue has been accompanied by a sharp increase in expenses, underscoring the cost-intensive nature of the business.

Market performance has remained mixed. Shares of Eternal closed at Rs 233 on Friday, marking a 1.86 per cent increase from the previous session and a weekly gain of nearly 7.5 per cent. Despite this, the stock has declined by around 13 per cent over the past month, reflecting broader market sentiment and sectoral pressures.

The continued rise in platform fees highlights the ongoing recalibration within the food delivery industry, where companies are navigating the challenge of sustaining growth while managing escalating costs. As operational pressures persist, further pricing adjustments across the sector remain a possibility.

Subscribe

Popular

More like this
Related

Historic Day, Even Greater Than Expected’: Shashi Tharoor as UDF Leads in Kerala

Shashi Tharoor calls UDF’s strong lead in Kerala a historic victory, signalling a major political shift and decline of Left dominance in the state.

Haryana Man Survives 5 Hours in Sea After Falling from Ferry Near Shaheed Dweep

Haryana Man Survives 5 Hours in Sea After Falling from Ferry Near Shaheed Dweep. Receptionist rescued by passing vessel after dramatic struggle in open waters

BJP Leaders Hail Bengal Surge as β€˜Emotional Moment’, Credit Modi for NDA Momentum

BJP leaders describe Bengal poll trends as an emotional moment, with Shivraj Chouhan crediting PM Modi’s leadership for NDA’s growing political momentum.

Methamphetamine Seized In South Andaman, 23-Year-Old Arrested In Targeted Police Raid

Police Seize Meth in South Andaman Raid, Youth Taken into Custody

Stay updated with the latest Andaman News, Port Blair News, and breaking developments from across the Andaman and Nicobar Islands. The Wave Andaman delivers real-time coverage of local developments, crime, government updates, tourism, environment, and infrastructure across South Andaman, North Andaman, and Nicobar regions, keeping you informed on the stories shaping communities across the islands.