Nowadays most people use food delivery platforms to order food. Swiggy and Zomato are quite famous in food delivery platforms. If you also use these two platforms to order food, then know that Swiggy and Zomato may soon increase their platform fees from INR 10 to INR 15.
20% increase in platform fees this week
Many restaurants listed on Swiggy and Zomato believe that the recent increase in platform fees by online food aggregators will be further increased to INR 10-15. This has happened when Swiggy and Zomato increased their platform fees by 20 percent earlier this week, increasing it from INR 5 to INR 6. Due to this, food delivery platforms will be able to increase their margins amid rising operational costs.
But Business Standard quoted several restaurants as saying that the platform fee will increase by INR 10-15 in the coming future. Restaurants have also sought a reduction in the high commissions charged by food delivery platforms, they said, with one telling the outlet that “platform fees are definitely going to increase more in line with the global market.”
Also Read: Swiggy, Zomato will now also deliver alcohol at home!
Users will be directly affected
Platform fees are similar to the cost of shopping on these platforms and are one way companies make money directly from users. This is because whenever a person orders food from Zomato or Swiggy, a platform fee is charged on the order.
Due to the high commissions charged by other delivery companies, restaurants often charge inflated prices for the same food items on their menus on food delivery platforms, making eating on these apps more expensive than going to a restaurant.
The platform fees were increased when both the food delivery platforms want to further expand their unit in the economy. Along with this, they want to make more improvements and boost their revenue and profit.