Food delivery aggregator Zomato, which began charging platform fee on orders from last August, collected ₹83 crore through the new levy till March, the company’s annual report has revealed.
Platform fee has been cited as one of the three key factors driving Zomato’s Adjusted Revenue, which grew 27% year-on-year to ₹7,792 crore in FY24.
“Adjusted Revenue as a percentage of GOV (gross order value), continued to increase primarily due to increase in restaurant commission take-rates, improvement in ad monetization and introduction of platform fee from Q2FY24 onwards,” the report stated.
All of these factors more than compensated for the reduction in customer delivery charge per order due to the free delivery benefit available on Gold orders, it added.
Interestingly, most late night orders in the last fiscal year came from Delhi NCR, while most breakfast orders came from Bengaluru, Zomato shared in the report.
The food delivery aggregator began levying platform fee at Rs 2 per order last August, which has gradually been increased to ₹6 now in key markets.
Its main rival Swiggy also charges platform fee on its orders.
The introduction and increase in platform fee is seen as one of the means to increase profitability by food delivery aggregators.