Swiggy, a prominent player in the food delivery tech sector, has announced a strategic increase in its platform fee, following a similar move by its competitor Zomato. The fee has been raised from ₹14.99 to ₹17.58 per order, marking a significant uptick of over 17%.
This decision by Swiggy is part of the company’s ongoing efforts to adapt to market dynamics and enhance its operational sustainability. The platform fee, a fixed charge applied to each food delivery order, is in addition to delivery fees, taxes, and restaurant expenses. Both Swiggy and Zomato have been gradually increasing this fee since its introduction at ₹2 per order back in 2023.
Swiggy had previously raised the platform fee to ₹14 from ₹12 last year in specific regions due to heightened demand, before later applying this change more broadly. Subsequently, the fee was further increased to ₹14.99 in early September.
This latest move by Swiggy is anticipated to aid the company in bolstering its profit margins, especially amid substantial investments in expanding its quick commerce verticals.
Source: Inc42 Media