Zomato Raises Platform Fee to ₹14.90 per Order; Magicpin Holds Steady

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Food delivery platform Zomato has increased its platform fee to ₹14.90 per order (pre-GST), up from ₹12.50 earlier, marking a ₹2.40 hike across all markets where it operates in India. The move brings Zomato nearly in line with rival Swiggy, which currently charges around ₹14.99 per order (inclusive of GST). This is the second such increase by Zomato, with the previous revision taking place in September last year.

The revised fee is expected to make food delivery slightly more expensive for users nationwide, particularly at a time when overall ordering costs are already rising due to inflationary pressures. Industry insiders indicate that the decision is linked to increasing operational expenses, especially delivery costs driven by rising fuel prices amid ongoing geopolitical tensions in West Asia.

In contrast, magicpin, the third-largest player in the food delivery segment, has decided not to raise its platform fee for now. The company currently charges around ₹14.20 per order and has stated that it intends to maintain pricing to support both consumers and restaurant partners during a challenging cost environment.

The divergence in pricing strategies highlights the competitive dynamics within India’s food delivery ecosystem. While leading platforms like Zomato and Swiggy continue to adjust fees to protect margins and offset rising costs, smaller players such as magicpin are attempting to differentiate by keeping costs stable and focusing on affordability.

With delivery platforms balancing profitability and user retention, further pricing adjustments across the sector may follow, especially if input costs such as fuel and logistics continue to rise.

SnackTeam
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