'They also take 30% from...': Capitalmind CEO Deepak Shenoy says he's cut down ordering from Zomato, Swiggy

Food delivery giants Zomato and Swiggy have once again increased their platform fees, sparking reactions from customers and industry watchers. 
The fees, now ₹6 per order, have drawn criticism for their impact on both consumers and restaurants.

Deepak Shenoy, CEO of Bengaluru-based company Capitalmind, recently took to X to share the growing gripe. "Massively reduced ordering from Swiggy/Zomato, down to just once maybe on a weekend, like today and noticed their 'platform' charge is now ₹6. Happy that I weaned myself off the daily ordering. They also take 30 percent from restaurants, btw."

Shenoy, who previously ordered lunch and dinner for his family about 12 times a week, said this has gone down to once a week or even once in two weeks. He emphasized that the shift was not only towards a healthier lifestyle with home-cooked meals but also a response to the increasing platform fees. 

"Many restaurants offer lower prices if you order direct, and for larger orders the difference is substantial," he added.

Reacting to Shenoy's post, a user wrote, "Just realized that the prices are padded up as well... Every dish was marked in their app at prices much higher than the restaurant menu. The dish was priced at ₹295 on the restaurant menu and ₹365 on Zomato. Have deleted Zomato and Swiggy both. Eating out will now mean going out and eating at a restaurant."

Another user pointed out, "30% is only for orders. They now take much more because of ads (sponsored listings) and promotions which also cost the restaurants or they lose out on a lot of orders." A third user added, "Online food ordering is going to be the bane of the young and tailwinds for pharma and healthcare."

Amid these, Zomato made headlines as its market capitalization crossed Rs 2 trillion, with its stock price reaching a new high of Rs 232, up 4 percent on the BSE in intraday trade. In its Q1 earnings preview note, Elara Securities said Zomato is likely to report an overall revenue of Rs 3,960 crore in the June quarter , up 63.9 per cent YoY, as traction in food delivery and qCommerce business continued. 

Initially introduced at ₹2 last August and increased to ₹3, Zomato’s platform fee was hiked by 25 percent to ₹5 per order in April. The recent 20 percent increase to ₹6 per order, currently in effect in Delhi and Bengaluru, is expected to roll out to other cities soon.

The platform fee, distinct from delivery fees, GST, restaurant charges, and handling fees, is intended to help food aggregators control costs and boost revenues. However, this has led to widespread criticism as both consumers and restaurants feel the pinch.