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Zomato adds separate fee for cash payments on food orders

Zomato has introduced a separate fee for customers who choose to pay for their food orders in cash, effective immediately.

Zomato has introduced a separate fee for customers who choose to pay for their food orders in cash, effective immediately. The new charge, labeled as a 'Pay on Delivery Fee' on the order bill, varies depending on the user and order value, according to livemint.com. This change increases the cost for customers opting for cash payments on the platform.

The fee applies specifically when customers select cash as their payment method at the time of delivery. While the exact criteria for how the fee is calculated remain unclear, it appears to depend on factors such as the order value or the customer's location. Zomato has not provided an official explanation or responded to queries regarding the rationale behind the fee introduction, livemint.com reported.

This move by Zomato aligns with a broader trend among food delivery platforms to encourage digital payments, which reduce handling costs and improve transaction efficiency. Similar fees have been introduced by other players in the sector to offset cash handling expenses. The introduction of the 'Pay on Delivery Fee' could influence customer payment preferences and impact order volumes for cash transactions on Zomato.

The fee is now visible on the order bill for users paying cash, marking a notable shift in Zomato's payment policy. The company has not disclosed the exact fee structure or any plans to adjust it, leaving customers to observe how this change affects their overall ordering experience.

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