New Delhi: Zomato, a food delivery aggregator, started implementing platform fee on orders last August and generated Rs 83 crore in revenue from this fee until March, as per the company's annual report. The platform fee was identified as one of the top three factors contributing to the 27 per cent year-on-year growth of Zomato's Adjusted Revenue to Rs 7,792 crore in FY24.
The report indicated that the rise in Adjusted Revenue as a percentage of GOV was mainly driven by higher restaurant commission rates, better ad monetization, and the implementation of a platform fee starting from Q2FY24. It mentioned that these factors outweighed the decrease in customer delivery fee per order because of the free delivery perk for Gold orders.
Zomato reported that the majority of late night orders in the previous fiscal year were from Delhi NCR, while the highest number of breakfast orders were from Bengaluru. The food delivery aggregator started charging a platform fee of Rs 2 per order in August last year, and it has now been raised to Rs 6 in major markets.
Swiggy, its primary competitor, also imposes a platform fee on its orders. Food delivery aggregators view the implementation and rise in platform fee as a way to boost profitability.
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