Zomato’s new COD fee joins platform charges amid rising competition

In a bid to strengthen its revenue base, Zomato has rolled out a cash‑on‑delivery surcharge ranging from ₹5 to ₹20 per order. The new line item, called "Pay on Delivery Fee," appears only for customers who choose to settle the bill in cash.

The policy does not affect users who pay through cards, UPI, or other digital modes, who continue to see only the standard platform fee, restaurant packaging cost and GST.

With daily order volumes hovering between 2.3 and 2.5 million, the cumulative effect of the COD charge could be significant. Even a ₹5 addition per order translates to an extra ₹11.5‑12.5 billion annually.

The decision arrives as Zomato faces growing pressure from emerging players. Rapido’s food‑delivery brand is expanding rapidly, and Flipkart is piloting its "Eat In" platform, intensifying the battle for consumer wallets.

Earlier this year, Zomato increased its platform fee to ₹14.99 per order, up from earlier rates, and continues to adjust its cost structure. The company also announced a restructuring that resulted in about 250 job cuts and the consolidation of its Hyderabad customer‑support centre into Gurugram.