Swiggy Raises Platform Fee To ₹14 During Peak Demand

Fee Increase Details

Swiggy has increased its platform fee to ₹14 per order from ₹12. This increase is largely during the off-peak seasons of high demand, like the festival season. The company explains that it is due to increased payments to delivery personnel and operational costs at times of high demand. When demand falls, the fee will revert to the previous rate.

Background on Platform Fee

Platform fee was originally launched in April 2023 for enhancing the unit economics of Swiggy. Since then, Swiggy has progressively increased it by small increments. The company does not see any sharp fall in order volume following prior hikes.

Revenue Impact

A ₹2 order increase might be inconsequential for customers. But with such a huge number of orders going out daily, the change can bring in a considerable extra revenue for Swiggy.