The clients who order food from Zomato and Swiggy have received a shock from the corporation. Major locations like Bangalore and Delhi now have a 20 percent higher platform cost according to the business. This implies that it is now more expensive to order food from Zomato and Swiggy. They began by charging two rupees for each order. but raised the price over time.
platform fees to Rs 6 in important regions like Bengaluru and Delhi following the latest rise. Nonetheless, these two businesses have raised their platform fees previously. The paper claims that for delivery companies to increase their take rates, platform fees are required. Zomato and Swiggy have decided to increase platform fees to increase their overall revenue and profits.
The charge was raised before this.
Swiggy began collecting a Rs. 10 platform fee from a restricted group of users in January. Compared to the Rs 3 that many consumers were then paid, this amount was significantly greater. Nevertheless, the clients were not billed the Rs 10 cost in reality. Instead, Rs 5 was charged after the discount at the final checkout.
Following this,
Zomato raised their platform cost to Rs 5 per order in April in major cities including Hyderabad, Lucknow, Bengaluru, Mumbai, NCR, and Hyderabad by 25%. Businesses are attempting to boost their earnings by charging more for platforms. But advertising also contributes significantly to revenue. However, getting more commission from food product manufacturers is challenging.
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