Food delivery apps Zomato and Swiggy are facing renewed scrutiny over high commissions, inflated menu prices, and hidden fees, sparking debates about fairness to consumers, restaurants, and delivery workers. Social media users have shared side-by-side comparisons of bills, alleging that online orders often cost significantly more than direct restaurant purchases.
Food blogger Nalini Unagar questioned the ethics of commission structures, noting that while delivery and packaging fees are understandable, taking a cut of the restaurant’s revenue is unfair. Her post, which went viral with over 9.4 lakh views, prompted many to question how much of their money is going to the platform versus the restaurant.
Restaurant owners have voiced frustration over platform dominance, arguing that commissions of up to 30% reduce profits and create dependency on paid advertising. H.N. Verma, owner of Captain Restaurant in Ghaziabad, said, “The packaging is done by us, yet the platform takes 30% of the food price—there’s no contract for that. We just register, and they decide our margins.”
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Legal experts have highlighted potential anti-competitive and monopolistic concerns. Advocate Anoop Prakash Awasthi described the margins as clandestine and argued for regulatory caps. Advocate Praveen Jha noted that hidden or non-optional charges may violate consumer protection and GST rules, allowing affected users to approach the National Consumer Helpline.
Delivery workers, meanwhile, earn minimal amounts per order, often as low as ₹25–30, leaving them vulnerable while platforms capture the bulk of revenue. Gig union leaders and activists warn that algorithm-driven pricing and dynamic commissions exploit both restaurants and workers, potentially hollowing out local food businesses.
Regulators have faced criticism for insufficient action. While the Competition Commission of India dismissed some complaints, rising platform fees—from ₹2 per order in 2023 to ₹10 in 2024—remain a concern. Zomato declined to comment, describing the matter as within a “silent period,” leaving consumers and restaurants seeking more transparency in pricing and commissions.
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