Zomato Clarifies Recent Platform Fee Hike Following BSE Inquiry

Zomato has officially confirmed its recent increase in platform fees, responding to inquiries from the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). The online food delivery giant clarified that the rise to Rs 10 is “not a rumour,” but rather a routine adjustment to its business model, which may vary across different cities.

In a communication addressed to the BSE, Zomato said that the changes in the platform fee are part of standard operational practices. The company explained that the fee hike is necessary to cover increased operational costs, particularly during the peak festive season. 

A notification sent to users via the Zomato app reiterated this point, stating, “This fee helps us pay our bills to keep Zomato running. To maintain services during the festive season, it has increased slightly.”

The platform fee in Delhi has now increased from Rs 6 to Rs 10, coinciding with a similar fee adjustment by competitor Swiggy, which raised its platform fee to Rs 6 earlier in the year. However, unlike Zomato, there has been no official clarification or notification on the Swiggy app regarding the nature of its fee increase, suggesting it may be a permanent change.

These platform fees are additional charges imposed on each food order, distinct from restaurant costs, delivery fees, and goods and services tax. The fee hikes by both companies are seen as a strategic move to sustain their operations during a period of heightened demand.