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Zomato hikes platform fee for users to Rs 5; pauses intercity deliveries

Economic TimesEconomic Times · 1y ago
Zomato hikes platform fee for users to Rs 5; pauses intercity deliveries
Medial

Food delivery platform Zomato has increased its platform fee for customers by 25% to Rs 5 per order, effective April 20. The fee increase, applicable in key markets including Delhi, Bengaluru, Mumbai, and Hyderabad, is expected to boost the company's earnings. Zomato's rival, Swiggy, already charges Rs 5 as a platform fee on food delivery orders. Zomato's platform fee is in addition to the delivery charge, but it is waived for Zomato Gold loyalty programme members. The fee was initially introduced in August 2023 at Rs 2 per order and was increased to Rs 4 earlier this year. The intercity delivery service, Legends, has been temporarily suspended by Zomato due to low consumer traction and legal issues.

Zomato’s Deepinder Goyal addresses ’future dated’ mushrooms found in warehouse: ’Were never going to make it to...’ | Company Business News

LivemintLivemint · 9m ago
Zomato’s Deepinder Goyal addresses ’future dated’ mushrooms found in warehouse: ’Were never going to make it to...’ | Company Business News
Medial

Zomato CEO Deepinder Goyal has addressed concerns about food safety after 90 packets of button mushrooms with a future packaging date were found at Hyperpure's warehouse in Hyderabad. Goyal attributed the issue to a manual typing error by the vendor and assured customers that Zomato maintains strict food safety standards. The incorrectly labeled mushroom packets were identified and rejected during an inward quality check, and the vendor responsible has been removed from Zomato's database. Goyal emphasized the company's commitment to maintaining rigorous guidelines and utilizing technology systems to prevent such errors in the future.

Zomato halts 15-min food delivery service 'Quick' just four months after launch

EntrackrEntrackr · 3m ago
Zomato halts 15-min food delivery service 'Quick' just four months after launch
Medial

Food tech giant Zomato has reportedly removed its 15-minute food delivery tab, Quick, from its main app just four months after its launch, hinting at a possible strategic reset in its approach to ultra-fast meal deliveries. Moneycontrol was the first to report this development. The feature, also available as part of Zomato Everyday, was advertised on the landing page of the main app but is now unavailable in several cities such as Bengaluru, Gurugram, Hyderabad, Mumbai, and more. It is also possible that the company will not entirely phase out the feature and may release another version later. The service offered ready-to-eat dishes from select restaurants located within a two-kilometre radius. However, the option is no longer visible. Zomato Quick accounted for nearly 8% of the total order volume on the app around March. This was Zomato’s second attempt to crack the quick food delivery market under its main app. Its earlier effort – Zomato Instant, launched in 2022 – promised 10-minute deliveries in Bengaluru and Delhi-NCR but was shut down by January 2023. It was later replaced by Zomato Everyday, a home-style meal service with similar delivery timelines. While Zomato no longer offers a quick food delivery option on its main app, it has launched Bistro by Blinkit – a separate service offering fast-moving, ready-to-eat dishes made in Blinkit's network of dark stores. The app focuses on snacks, small meals, and bakery items that can be dispatched rapidly, blending Blinkit’s quick-commerce infrastructure with Zomato’s food delivery know-how. Zomato appears to be shifting its quick-food plans away from its core app and into a more focused play powered by Blinkit's dark store network. The company may be looking to separate rapid-fire snacking from full-fledged restaurant orders. The move comes at a time when the 15-minute food delivery space is flooded with new entrants, such as Zepto, which led the category with Zepto Café in 2022 and now fulfills over 100,000 daily orders through its standalone app – translating to a $100 million annualised GMV.

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