December 5, 2024
Latest Marketing News

Zomato hikes platform fee to Rs 10 ahead of the festive season, sparks backlash

Food delivery platform Zomato has hiked its platform fee from Rs 7 to Rs 10 ahead of the festive season.

A notification on the Zomato app explained that the increase was primarily meant to help cover operational costs, stating, “This fee helps us pay our bills to keep Zomato running. To maintain services during the festive season, it has increased slightly.”

Initially, Zomato introduced a platform fee in August 2023 and charged 2 per order. By January 2024, they increased it to 2 per order. Now, the fee has increased still further. Moreover, it applies to all customers, even Gold members.

Customers raise Criticism

The announcement of this news was met with backlash among netizens, with many questioning the need for such a decision.

“Food ordering started with free delivery, now GST, delivery and packing charges, platform fee,” wrote finfluencer Ravisutanjani.

“Pay an inflated cost of food to use the platform. Pay a platform fee to use the platform. Restaurants pay a fee to use the platform. And finally, pay with your health by eating outside food,” said Aditya Shah.

“I strongly feel that it is the right time to say goodbye to Zomato, Swiggy, Flipkart, Blinkit and similar frauds as it has become common for them to loot customers in the name of platform fee, handling charges and what not,” said X user Snehil.

Swiggy follows Zomato

Swiggy has followed its main rival Zomato’s example and raised its platform fee to Rs 10 per order, provoking equal dissatisfaction among customers.

Moreover, unlike Zomato, who specifically stated that the increase was “during the festive season”, Swiggy which raises the alarming possibility that the change is permanent. 

The two competitors’ almost simultaneous price hikes has led to a flood of memes online. Take a look at some of them below: