Zomato hikes platform fee it charges users in key markets

- Swiggy and Zomato have raised platform fees to Rs 6 in key markets like Bengaluru and Delhi, up from Rs 5, marking a 20% hike. - Capitalmind CEO Deepak Shenoy has significantly reduced his orders due to the increased fees, highlighting a shift in customer behavior. - Customers are opting for direct restaurant orders to avoid the higher platform fees, with some even deleting the apps. - Both companies initially introduced platform fees at Rs 2 per order in 2023 and have gradually increased them to boost profitability. - The increased fees have led to a shift towards home-cooked meals and direct orders, impacting the revenue of these food delivery giants. Source: Deccan Chronicle

I am fed up of paying platform fees. what started from Zomato has reached till Myntra via swiggy. Buy subscription, still pay platform fee? Customer Cutieya h?

Just like last year, this year too... Somehow found out about it via news. There was chatter about it over the last couple of days, but didn't think it could just happen. It's a long weekend now and not even sure when people will be informed :/

Zomato is eyeing a new dish: Paytm's ticketing business. The potential Rs 1,500 crore acquisition is a bold move by Zomato to diversify beyond its core food delivery domain. The Strategy: - Bolster "going-out" vertical (event bookings, dining) to offset slowing food delivery growth - Leverage Paytm's established ticketing platforms to expand the segment - Capitalize on strong revenue growth in Zomato's current going-out business For Paytm, the sale is a strategic slice. Faced with regulatory hurdles, the company is refocusing on its payments and lending operations. The deal would allow Paytm to streamline its portfolio and double down on its core strengths. The acquisition underscores the shifting strategies of India's tech titans as they navigate a fiercely competitive landscape. With growth slowing in traditional segments, companies like Zomato are hunting for new avenues to keep the revenue engine humming. Another Blinkit story in the making? 🚀

I can imagine situations where I would pay. But this will just end up increasing delivery time on free delivery, won't it? Ultimately bad for users, but this was always gonna happen, and it's a smart way of doing it I guess.

This may sound like a dumb question, but why do these companies fire just before the IPO? isn't an IPO a good thing? More cashflow. Shouldn't they be taking care of their employees who made it reach there? What exactly is the thought process behind this mass layoff before IPO?

- Zomato grew faster than Swiggy in July, with a 29% YoY increase compared to Swiggy's 11%, according to UBS analysts. - Zomato's MoM order growth was 1.6%, while Swiggy saw a 4.6% decline, leading to increased market share for Zomato. - Zomato's market share in India's food delivery sector is estimated at 55%, while Swiggy's has slipped to 45%. - Zomato has reported five consecutive quarters of net profits, whereas Swiggy logged an operating loss of over Rs 1,000 crore in the first nine months of FY24. - Swiggy CEO Sriharsha Majety acknowledged the pros and cons of having a listed competitor like Zomato, noting the constant comparisons but also the benefits of market awareness. Source: [Moneycontrol](https://www.moneycontrol.com/news/business/startup/zomato-grew-faster-than-ipo-bound-swiggy-gained-more-market-share-in-july-12801796.html)