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Zomato Adjusts Platform Fee to Boost Profitability Introduces Specialized Large Order Fleet


Food delivery service users in New Delhi can anticipate a slight rise in the cost of their convenience, as Zomato, a leading online food delivery platform, has announced a 25 percent increase in its platform fee, now setting the fee at Rs 5 per order. The upward adjustment of fees is part of the company’s strategy to enhance its margins and drive toward profitability, a goal that Zomato has been transparent about in its communications with customers and stakeholders.

In the previous fiscal cycle, Zomato initiated the concept of a platform fee, commencing with Rs 2 in August, and then saw an incremental raise to Rs 3, with a subsequent hike that brought the fee to Rs 4 in January of the current year. This pattern of augmentation in fees is reflective of the expanding scale of operations and the associated costs that come with ensuring a seamless delivery experience for millions of users.

The increase to Rs 5 arrives on the heels of a festive milestone, as Zomato witnessed a surge in food orders during the New Year’s Eve celebrations. Capitalizing on this momentum, the company decided to implement the new mandatory platform fee across its primary markets. This fee is applicable to all customers, without exception, including those subscribed to Zomato Gold services.

Moreover, embracing innovation in its service offerings, Zomato has recently launched what it touts as India’s first large order fleet. Deepinder Goyal, the Founder, and CEO of Zomato, took to social media platform X to share the company’s latest venture.

“Today, we are excited to introduce India’s first large order fleet, designed to handle all your large (group/party/event) orders with ease. This is an all-electric fleet, designed specifically to serve orders for a gathering of up to 50 people,” Goyal penned enthusiastically on his post dated April 16, 2024.

The tweet, accompanied by a picture of the new fleet, garnered significant attention and excitement among netizens and industry observers alike. Goyal further elaborated on the functionalities of these electric logistics vehicles, stating that although the fleet is operational, there are ongoing enhancements being introduced, such as the addition of cooling compartments and hot boxes equipped with temperature control features. These modifications are geared towards ensuring the delivery of large orders in optimal condition, adhering to Zomato’s commitment to quality and customer satisfaction.

These tailor-made vehicles are a testament to Zomato’s drive towards environmentally sustainable practices and a thoughtful response to the evolving needs of their customer base, particularly those planning for larger gatherings where efficient delivery of bulk orders is crucial.

The introduction of a dedicated fleet for large orders, alongside the increment of platform fees, showcases Zomato’s continuous push for innovation and improvement in their operational infrastructure. With these developments, Zomato is cementing its footing in a competitive market and ensuring that it can cater to a diverse array of customer demands, from the everyday individual meal orders to the complex logistics of large-scale event catering.

Customers of Zomato can, therefore, expect the dual impact of a slightly augmented fee structure that supports the platform’s long-term sustainability goals and the benefit of a specialized fleet for large orders that promises to enrich the collective dining experience. While the higher platform fee may initially meet with some user resistance, the overall enhancement of Zomato’s delivery suite holds the potential to strengthen brand loyalty and customer retention in a dynamic urban marketplace like New Delhi.