Zomato Adds COD Fee, Users to Pay Extra for Cash Orders
What Happened
Zomato has started charging an additional ₹5 "Pay on Delivery" fee on cash-on-delivery food orders. The fee appears separately in the bill and is levied only on customers choosing cash payments, while online payments remain unaffected. Some users have reportedly seen higher charges ranging from ₹7 to ₹20. The new fee is in addition to platform, packaging, delivery and GST charges.
Key Takeaways
The move is part of Zomato's ongoing monetisation strategy as competition in food delivery intensifies with players such as Rapido's Ownly and Flipkart's Eat In entering the market. While the fee is small per order, it could become a significant revenue stream at Zomato's scale, encouraging more users to shift toward digital payments.