Policy · Commerce & Consumer Brands
Swiggy raises platform fee to Rs 15 per order
By Startup Enthusiast ·
- Date
- Company
- Swiggy
- What it does
- Food delivery and quick commerce platform
- Kind
- Policy
- Stage
- public
- Based in
- Bengaluru
- Founded
- 2014
What they do
Swiggy is an online food delivery and quick commerce platform operating in India
What happened
It raised its platform fee to Rs 15 per order, the third revision in three weeks, after briefly testing Rs 14
Why it matters
The hike comes during festive season demand and follows Zomato's similar increase to Rs 12 per order
The details
- Swiggy raised its platform fee (a per-order charge on customers) to Rs 15 per order.
- This is the third revision in three weeks, following a brief increase to Rs 14 on Independence Day that was rolled back to Rs 12.
- The fee is inclusive of GST and varies by city and demand levels.
- Swiggy processes over 2 million food delivery orders daily.
- At Rs 15 per order, Swiggy earns an estimated Rs 3 crore daily from platform fees.
- If sustained, this could add Rs 54 crore in quarterly revenue and Rs 216 crore annually.
- The hike comes during the festive season demand surge, after competitor Zomato raised its platform fee to Rs 12 from Rs 10.
The bigger picture
- The platform fee has increased sixfold since it was first introduced on Zomato.
- Its operating revenue grew 54% YoY to Rs 4,961 crore in the same quarter.
- The quick commerce arm Instamart remains a drag on profitability.
- Platform fees have increased 6x since introduction in April 2023 at Rs 2 per order, reflecting a strategy to boost revenue.
About the business
- Swiggy operates an online food delivery marketplace connecting customers with restaurants.
- It also runs Instamart, a quick commerce service for grocery and essentials delivery.
- The platform fee is charged on each order, over and above delivery charges, GST, and restaurant fees.
- Swiggy had over 2 million daily food delivery orders as of the latest data.
- In Q1 FY26, its gross order value was Rs 8,086 crore, up 18.8% year-on-year.
- The company reported a cash outflow of Rs 1,053 crore in Q1 FY26 from operating, investing, and financing activities.
The deal
- Type
- policy
Founders
- Sriharsha Majety, Co-founder
- Phani Kishan Addepalli, Co-founder
- Nandan Reddy, Co-founder
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