Zomato Increases Food Delivery Platform Fee by 20% to ₹12 Per Order

Zomato, India’s leading food delivery and quick commerce platform, has increased its platform fee on food delivery orders by 20% to ₹12 per order. The move is part of Eternal Ltd’s strategy to improve margins and push toward profitability, continuing a series of incremental fee hikes since August 2023.

Platform Fee History and Hike Details

The platform fee was first introduced by Zomato at ₹2 in August 2023, under the leadership of CEO Deepinder Goyal. The fee has been revised multiple times since then to strengthen revenue:

• Hiked to ₹3 later in 2023

• Increased to ₹4 on January 1, 2024

• Temporarily raised to ₹9 on December 31, 2023

• Set at ₹7 in October 2024

• Increased to ₹10 during the festive season

On September 2, 2025, Eternal Ltd, which owns Zomato and Blinkit, raised the platform fee to ₹12, marking a 20% increase from the previous ₹10.

Purpose of the Fee Increase

Zomato’s repeated fee hikes are aimed at:

• Improving profit margins

• Supporting sustainable growth

• Progressing towards long-term profitability

The move reflects the company’s strategy to balance expansion in the quick commerce and food delivery sectors with operational costs and revenue generation.

Eternal Ltd First Quarter Performance

Eternal Ltd reported a consolidated net profit of ₹25 crore for the June quarter, down from ₹253 crore a year ago. The decline was attributed to continued investments in quick commerce and going-out businesses.

During the quarter, revenue from operations rose to ₹7,167 crore, compared to ₹4,206 crore in the same period last year. For the first time, quick commerce net order value (NOV) surpassed food delivery NOV for the full quarter, highlighting the growing importance of its on-demand commerce business.

Impact of Acquisitions on Results

Eternal Ltd’s results for the June quarter are not directly comparable to the previous year due to the acquisition of two companies in August 2024:

• Orbgen Technologies Pvt Ltd – digital services

• Wasteland Entertainment Pvt Ltd – events and movies ticketing business (from One 97 Communications Ltd, Paytm’s parent company)

These acquisitions contributed to revenue growth but also affected net profitability due to integration and investment costs.

Market Response

Following the announcement of the fee hike and quarterly results, Eternal Ltd’s shares closed at ₹322.85, up ₹1.75 or 0.55% on the BSE. The stock movement reflects moderate investor confidence despite margin pressures and continued investments.

Zomato’s Business Strategy

The platform fee increase is aligned with Zomato’s broader strategy to:

• Diversify revenue streams beyond delivery commissions

• Strengthen quick commerce operations through Blinkit

• Maintain competitive service quality while balancing profitability

CEO Deepinder Goyal has emphasized the importance of gradual fee adjustments to support long-term growth without significantly affecting customer demand.

Outlook for Investors and Consumers

For consumers, the platform fee hike to ₹12 per order may slightly raise delivery costs, particularly for smaller orders. For investors, the incremental revenue from platform fees could support profitability goals and expand operational capabilities.

Eternal Ltd’s focus on technology-driven operations, quick commerce expansion, and strategic acquisitions positions the company to leverage India’s growing on-demand services market in the coming years.

Conclusion

Zomato’s 20% platform fee hike to ₹12 is part of a consistent strategy to improve margins while scaling its food delivery and quick commerce operations. Despite declining quarterly profits, revenue growth and strategic acquisitions demonstrate the company’s focus on long-term sustainability. Investors and consumers alike are watching how these fee adjustments and operational expansions impact the company’s performance in India’s competitive delivery landscape.