Why Is Zomato Now Charging Rs 2 On Every Order? Here’s The Reason

New Delhi: Food delivery platform Zomato starts taking Rs 2 from customers per order in the name of the platform fee irrespective of the total cost of ordered food. According to the reports, the small fee has been taken in some selected markets and is in experimental stage. It is to be noted that Zomato’s rival Swiggy started taking the small fee four months back.

Now, whenever a customer checks-in the payment for the order, it adds Rs 2 stating “help us pay the bills so that we can keep Zomato running”. The company’s subsidiary Blinkit hasn’t added the platform fee so far.

Zomato’s Purpose Behind Its Platform Fee

In the first quarterly report of fiscal year 2023-24, Zomato reported first-time ever since the inception of the company a profit of 12 million. In a statement to shareholders, the company explained the improvement in Adjusted EBITDA was driven by both cost side levers and revenue side levers.   

Swiggy started charging a platform fee in April. No matter how many products are in the cart, there is a fee. CEO and co-founder of the business Sriharsha Majety ascribed the decision to a slowdown in the delivery industry.

The company announced that the additional charge was valid only on food orders and not on Instamart deliveries. The move will make deliveries costlier for customers. Food delivery apps like Zomato and Swiggy charge 22 to 28 per cent commission on food orders from restaurants