Zomato Starts Charging Up To ₹20 For Cash On Delivery Orders, Online Payments Escape Extra Fee

Zomato introduces a pay-on-delivery fee of up to ₹20 for customers choosing cash payment, while online orders avoid the additional charge.

Mumbai: Zomato has started charging customers an additional fee of ₹5 to ₹20 for choosing cash on delivery (COD), adding another charge to food orders placed through the platform.

The Eternal-backed food delivery company is displaying the charge separately as a “pay on delivery fee” in the bill summary for customers opting to pay in cash when their order arrives.

How Much Is Zomato Charging?

The COD charge is commonly ₹5 per order, although customers have reportedly encountered fees of ₹7 and as high as ₹20 in some cases.

Customers paying online are not being charged the additional fee.

The pay-on-delivery charge is separate from Zomato’s existing platform fee, restaurant packaging charges, taxes and other applicable costs.

The move comes as food delivery companies look for additional revenue streams amid growing competition and high daily order volumes.

Zomato is estimated to process around 2.3 million to 2.5 million food orders daily.

Competition Heats Up

Competition in India’s food delivery market is also expanding, with Rapido’s Ownly gaining traction and Flipkart piloting its Eat In food delivery service.

Zomato’s key rival Swiggy has not introduced a similar cash-on-delivery charge so far.

Food delivery platforms began introducing platform fees in 2023. Swiggy initially levied ₹2 per order before Zomato followed with its own charge.

Zomato subsequently increased its platform fee and raised it to ₹14.99 per order earlier this year from ₹12.50, with GST charged separately.

Also read: Asian Stocks Rise as US Iran Tensions Ease, GIFT Nifty Signals Gap Up Start

Even relatively small increases in per-order charges can generate substantial additional revenue because of the large number of orders handled by food delivery platforms.

Zomato Restructures Operations

The new charge also comes after Zomato reportedly laid off around 250 employees in August as part of a workforce restructuring exercise.

The company decided to discontinue its Customer Delight operations in Hyderabad and consolidate the remaining in-house operations at a single location in Gurgaon following a review of its operating model and organisational requirements.

Share this article

Subscribe

By pressing the Subscribe button, you confirm that you have read our Privacy Policy.

Latest News

Akhilesh Yadav and Dhanraj Nathwani amid Rajya Sabha nomination row.

Why Is Akhilesh Yadav Facing Heat Over Nathwani? Rajya Sabha Has Long Had Industrialists Across Party Lines

Gandhi Jayanti holiday 2026 with banks, stock markets, schools and government offices closed on October 2.

Gandhi Jayanti Holiday: What’s Open And Closed On October 2?

Anup Bagchi appointed HDFC Bank Managing Director and CEO for a three-year term beginning October 27, 2026.

HDFC Bank Names Anup Bagchi As New MD & CEO, Three-Year Term Begins October 27

Nifty 50 market decline showing falling stock chart and bear market fears after an eight-week losing streak.

Nifty Loses 2,149 Points In 8 Weeks, Bear Market Fears Rise

Your Ad Here
Ad Size: 336x280 px
Scroll to Top