Outlook Business Desk
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.
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%.
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.
Zomato has approached certain restaurants with revised agreements, reflecting the parent company’s name change to Eternal and introducing new clauses.
The new agreements include clauses to penalize restaurants for not maintaining price parity with other platforms or for encouraging off-platform orders.
Zomato has also implemented distance-based ratings, influencing how restaurants are displayed to users based on delivery distance.
The new long-distance fee shows how the food delivery industry is changing to manage costs, keep partners happy and satisfy customers.