Customer Backlash Over Increased Platform Fees by Swiggy and Zomato

• 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