Zomato, a leading food delivery platform, is implementing new measures to enhance customer experience and modify its fee structure.
Priority Delivery Service
To accelerate order deliveries, Zomato is testing a premium service allowing customers to prioritize their orders. Upon paying an additional fee, users can enjoy reduced delivery times, with the service currently being trialed in select cities like Bengaluru and Mumbai. Interestingly, even Zomato Gold members, part of the loyalty program offering exclusive benefits, are subject to the additional charge.
Platform Fee Revision
Zomato has increased its platform fee by 25%, resulting in a Rs 5 surcharge on every order. This fee applies to customers in significant cities such as Delhi-NCR, Bengaluru, Mumbai, Hyderabad, and Lucknow, and is an additional charge beyond the delivery fee. Initially introduced at Rs 2 in August 2023, the platform fee has gradually increased to its current level of Rs 5, matching the platform fee charged by rival Swiggy.
Intercity Delivery Revision
Zomato’s intercity delivery service, Legends, is being restructured. The service, which aimed to provide next-day food delivery from specific cities, encountered challenges due to the use of pre-stocked items. Zomato is now re-evaluating Legends, considering its expansion to longer-distance deliveries within cities and potentially to international destinations, although these plans are temporarily on hold. The recent departure of the head of intercity delivery and an ongoing lawsuit regarding unfulfilled service commitments have also impacted Legends’ development.