What is Swiggy and Zomato Commission?
Swiggy and Zomato charge restaurants a commission on every order placed through their platform. This commission is a percentage of the order value and is the primary revenue model for food delivery aggregators. The commission covers the platform's technology, customer acquisition, delivery logistics, and payment processing costs.
For restaurant owners in India, understanding the exact commission structure is critical for maintaining healthy profit margins. The commission is not the only deduction. Restaurants also pay GST on the commission, packaging charges, and payment gateway fees. Together, these deductions can take away 25% to 35% of the order value before the restaurant sees any revenue.
- Swiggy commission typically ranges from 15% to 30% depending on city, restaurant type, and contract
- Zomato commission ranges from 18% to 28% with variations based on exclusivity and order volume
- An additional 18% GST is charged on the commission amount (not on the food value)
- Payment gateway fees of 2% to 3% apply on digital payments (UPI, cards, wallets)