Zomato raises platform fee to ₹12 (excluding GST) per order
Swiggy recently hiked its charge to ₹14 (GST-inclusive)
Online food delivery growth moderates to 16% YoY in Q1
Food delivery major Zomato has increased the platform fee to ₹12 from ₹10 on all food orders amid the ongoing festive season, according to media reports. The amount doesn’t include goods and services tax (GST). This came after its rival Swiggy also raised the platform fee to ₹14 (inclusive of GST) due to rising order volumes.
The platform fee was first rolled out in 2023. Since then, Zomato and Swiggy have been raising these charges. It is basically an extra charge levied on every online order. The latest hike comes at a time when online food delivery growth is showing signs of moderation.
In April-June quarter, Eternal-owned Zomato reported a year-on-year growth of 16% in its gross order value to ₹10,769 crore. This shows a slowdown from the 20% growth it had been recording in previous quarters. Although a ₹2 hike may seem negligible to users, the cumulative impact can boost the company’s bottom line.
Apart from platform fees, Zomato has been experimenting with new charges on food orders. It has piloted rain surcharges during bad weather and, more recently, the platform has started testing a ₹50 VIP Mode in selected places that promises faster deliveries, priority riders, and a concierge-like experience for premium users.
In July, Zomato has also introduced long-distance service fee to boost profitability. The orders valued above ₹150, restaurants are now charged an extra ₹20 if the delivery address is 4-6 km away from their outlet or cloud kitchen. This fee got doubled for deliveries exceeding 6 km.
Zomato's Q1 FY26 Results
Eternal has reported a 90% year-on-year (YoY) decline in quarterly profit after tax (PAT) at ₹25 crore in the first quarter of financial year 2026. However, the company witnessed ₹253 crore in net profit in the same period a year ago.
Its revenue from operations increased by more than 70% YoY to ₹7,167 crore in Q1 FY26, up from Rs 4,206 crore a year ago. In the previous quarter, the company’s revenue stood at ₹5,833 crore.
Zomato’s total expenses surged to ₹7,433 crore in the June quarter, rising from ₹4,203 crore in the same period last year and ₹6,104 crore in the previous quarter. Despite the increase in spending, the company’s cash reserves remained steady at ₹18,857 crore, almost unchanged from ₹18,824 crore in the March quarter.
The company’s food delivery business posted an adjusted revenue of ₹2,657 crore for Q1 FY26, over a 17% increase (YoY) from ₹2,256 crore from the same period a year ago. Its sequential revenue also rose by 10% from ₹2,409 crore in the March quarter, even as the segment continues to face muted demand.
Its food business’ gross order value (GOV) grew 10% quarter-on-quarter - from ₹9,778 crore in Q4FY25 to ₹10,769 crore in the June quarter. The GOV was up from ₹9,264 crore in Q1 FY25 on a yearly basis.
