Food delivery services like Zomato and Swiggy have become increasingly popular in recent years. They both have a substantial market value and employ delivery guys to deliver food to millions of customers. Zomato and Swiggy make money by charging the restaurant a commission based on the order value.
Restaurant commissions with partners Swiggy and Zomato
While customers pay a delivery fee, the restaurants that employ these meal delivery services pay a commission for each delivery. After then, it is divided between the business and the delivery partner. The commission can be between 15% and 25% plus GST.
In the beginning, there are no benefits for new restaurants using these food delivery apps. As a result, they permit the eatery to advertise itself. Each ad’s price varies according to where it appears.
Delivery fees are more related to the business’s efforts to keep its delivery partners motivated, such as when inclement weather causes them to increase significantly. More workers distribute food in order to increase incentives and maintain great ratings.
Zomato has recently started accepting cashless payments in exchange for a percentage of the total transaction price that is paid by the merchants. At Swiggy, your salary is based on how well you do at work. In contrast to Zomato, where you receive an incentive without experiencing any rejection when delivering an order and if your touch point is 55, you receive an incentive if you deliver 50+ things in a week.
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