Zomato Customers Now Need to Pay More for Long Distance Deliveries: Here's How it Works

Outlook Business Desk

Charges Based on Distance

Zomato, has introduced a new fee for restaurant deliveries between 4–6 km, a Rs 15 fee is applied to orders over Rs 150. For distances beyond 6 km, the fee ranges from Rs 25 to Rs 35, varying by city.

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Potential Increase in Commissions

According to Economic Times, Zomato states that total service fees will be capped at 30%, some restaurant partners fear that overall commissions could rise to as much as 45%.

Restaurants Consider Action

Many restaurants are thinking about protesting together, including pausing their service on Zomato for a day, to show they are unhappy with the new fees.

New Terms Introduced

Zomato has approached certain restaurants with revised agreements, reflecting the parent company’s name change to Eternal and introducing new clauses.

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Enforcing Price Parity

The new agreements include clauses to penalize restaurants for not maintaining price parity with other platforms or for encouraging off-platform orders.

Recent Platform Changes

Zomato has also implemented distance-based ratings, influencing how restaurants are displayed to users based on delivery distance.

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Balancing Costs and Partnerships

The new long-distance fee shows how the food delivery industry is changing to manage costs, keep partners happy and satisfy customers.

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