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Home Trending News Trending News After Swiggy, Deepinder Goyal-led Zomato Hikes Platform Fee to ₹12 per Order Amidst Festive Season, Adding ₹45 Cr to Quarterly Revenue

After Swiggy, Deepinder Goyal-led Zomato Hikes Platform Fee to ₹12 per Order Amidst Festive Season, Adding ₹45 Cr to Quarterly Revenue

Ahead of the festive season, Zomato raised its platform fee to ₹12 and launched a ₹50 'VIP Mode' pilot offering faster delivery and priority service in select areas.

By Ilma Mujeeb
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Deepinder Goyal

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Online food delivery leader Zomato has raised its platform fee from ₹10 to ₹12 per order, capitalising on the increased demand during the festive season.

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While the hike appears modest, it is a strategic move to enhance per-order profitability and strengthen the company’s overall financial performance.

Amid the approaching festive rush, rival Swiggy has also increased its platform fee by ₹2, raising it to ₹14 per order.

The platform fee, charged by both Zomato and Swiggy, is an extra cost applied to each order, in addition to delivery fees, GST, and restaurant charges.

Initially introduced by Zomato in April 2023 at just ₹2 per order, the fee has gradually risen over the past two years, now reaching ₹12.

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Zomato’s Minor Fee Hike Drives a Major Revenue Boost

With Zomato processing approximately 2.3 to 2.5 million orders per day, the ₹12 platform fee now brings in up to ₹3 crore in daily revenue, up from around ₹2.5 crore when the fee was ₹10. This ₹2 increase translates to an additional quarterly income of up to ₹45 crore.

Though a ₹2 increase might appear insignificant to users, its compounding effect significantly boosts Zomato’s financial health, thanks to the massive volume of daily orders.

The reason behind the hike

The fee increase is being interpreted as a festive-season strategy, with indications that Zomato could roll back the fee to ₹10 once the surge in demand eases.

Eternal, Zomato’s parent company, remained unavailable for comment when approached by Moneycontrol.

Both Zomato and its rival Swiggy have previously tested higher platform fees during periods of peak demand—and if order volumes held steady, they often retained the increased charges over the long term.

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Zomato’s recent Monetisation Measures and Financial Performance Overview

Along with the platform fees, Zomato has been rolling out additional monetisation measures in an attempt to explore new revenue streams.

It has experimented with rain surcharges during bad weather and recently executed a ₹50 'VIP Mode' in select locations, providing faster deliveries, priority riders, and a concierge-style service for premium customers.

Unlike subscription services like Swiggy One, this particular feature enables Zomato to generate additional revenue with each individual order.

Zomato has also introduced a 'long distance fee' for restaurants on orders delivered beyond four kilometres, a move that has reportedly faced backlash from smaller eateries, according to an earlier report by Moneycontrol.

These monetisation measures are a part of Zomato’s strategy to improve its financial performance amid rising losses, which have been primarily fueled by increased investments in its quick commerce arm, Blinkit.

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Profit Slumps, Revenue Soars as Festive Season Sparks Monetisation Push

On July 21, Eternal Ltd (formerly Zomato) reported a 90% year-on-year decline in profit after tax (PAT) for Q1 FY26, posting ₹25 crore compared to ₹253 crore in the same period last year.

However, the company’s revenue from operations saw a significant increase, rising 70.4% YoY to ₹7,167 crore in Q1, up from ₹4,206 crore a year earlier.

In the previous quarter, operations revenue stood at ₹5,833 crore.

With the festive season just around the corner, these strategic developments highlight how Zomato and Swiggy are intensifying their focus on monetisation and operational efficiency, while also testing premium offerings aimed at extracting greater value from their most frequent users.

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