Food delivery platform Zomato has raised its platform fee from Rs 7 to Rs 10 ahead of the festive season. A notification on the Zomato app explained that the increase is intended 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.”
Zomato initially introduced a Rs 2 platform fee in August 2023, which was increased to Rs 3 shortly thereafter. The fee was raised again on January 1 to Rs 4 before this latest adjustment .
The platform fee is distinct from other charges associated with orders, such as GST, delivery fees, and restaurant charges. Customers are required to pay this platform fee regardless of their Zomato Gold membership status. This policy ensures that all users contribute to the operational costs of the service, irrespective of any memberships or promotions they may hold.
Zomato’s rival, Swiggy is currently charging ₹7 as a platform fee.
This comes a day after Zomato reported a consolidated net profit of Rs 176 crore in the second quarter ended on September 30, 2024.
The board of the company, which had posted a consolidated net profit of Rs 36 crore in the same quarter last fiscal, has also approved the raising of Rs 8,500 crore through qualified institutional placement of equity shares, Zomato Ltd said in a regulatory filing.
Consolidated revenue from operations stood at Rs 4,799 crore.
It was at Rs 2,848 crore in the year-ago period, it added.
Total expenses were at Rs 4,783 crore in the quarter under review against Rs 3,039 crore in the corresponding period a year ago, it said.
Zomato said its results for the quarter and half year ended September 30, 2024 are not comparable with other quarters and half year results due to the acquisition of Orbgen Technologies Private Ltd (OTPL') and Wasteland Entertainment Pvt Ltd (WEPL) holding the 'movies ticketing' business and events business respectively from One 97 Communications Ltd (Paytm) in August this year.