Platform Fee Dependency: How Long Can Swiggy, Zomato Flex Their Pricing Power?
Higher Platform Fees For The Same Service? Swiggy, Zomato Flex Pricing Power
Swiggy and Zomato have hiked platform fees in sync since 2023, turning it into a key profit lever with minimal pushback.
The rising-cost argument looks weak, as scale and automation should lower costs, not justify higher fees.
A duopoly with parallel pricing is monetising user habits while funding other bets, raising regulatory concerns.
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Earlier this week, Bengaluru-based food delivery giant Swiggy increased its platform fees by approximately 17% to ₹17.58 (after taxes). The move came barely three days after its closest competitor, Zomato, raised its platform fee to ₹14.90 (before taxes) per order.
This is no longer a coincidence. It is a pattern that’s become clear ever since platform fees were introduced.
Since 2023, both companies have raised platform fees eight times, to be exact, often within days of each other. What started as a seemingly negligible ₹2 charge has........
