Online food delivery giant Swiggy has increased its platform fee to ₹15 per order, marking its third hike in just three weeks. The move comes as the platform looks to leverage the ongoing festive demand while addressing mounting losses – especially from its quick-commerce vertical, Instamart.
The platform fee – charged over and above delivery charges, GST, and restaurant commissions – has grown steadily since its initial ₹2 launch in April 2023. Now at ₹15, the fee is Swiggy’s highest yet and part of a broader strategy to strengthen unit economics.
With approximately 2 million daily orders, this hike could bring in ₹3 crore in daily revenue, up from ₹2.4 crore when the fee was ₹12. If sustained, Swiggy could see an annual revenue boost of ₹216 crore solely from platform fees – underlining the increasing role such charges play in profitability.
Financial Pressure Mounts
Swiggy reported a net loss of ₹1,197 crore in Q1 FY26, nearly doubling from last year due to aggressive investments in Instamart. However, its operating revenue grew 54% YoY to ₹4,961 crore, up from ₹3,222 crore in Q1 FY25.
In response to the same seasonal demand, Zomato has also raised its platform fee to ₹12 per order. With 2.3–2.5 million daily orders, this could yield an additional ₹3 crore daily, or ₹45 crore per quarter. Still, Zomato’s Q1 FY26 net profit dropped 90% YoY to ₹25 crore, despite a 70% rise in revenue to ₹7,167 crore.
Dynamic Pricing & Industry Trend
Both platforms deploy dynamic platform fees – adjusting them based on demand, location, and day of the week. These experimental fee hikes during peak periods, often tested in select cities, are now gradually becoming standard practice.
As India enters its busiest shopping and dining season, these hikes indicate a broader shift in platform strategy: smaller per-order surcharges are fast becoming key revenue levers – not just to offset costs but to fuel growth in other verticals like quick commerce and logistics.
