Zomato and Swiggy have recently updated their policies to include rain surcharge fees for all users, including premium members. This change has sparked discussions among customers and industry observers.
Zomato and Swiggy Introduce Rain Surcharge Fees for All Users
As of May 16, 2025, Zomato has revised its Gold membership benefits, removing the exemption from rain-related surge fees. Previously, Gold members enjoyed waivers on additional charges during inclement weather. The company announced this change via an in-app notification, stating that the surcharge aims to better compensate delivery partners operating under challenging conditions .
Swiggy has implemented a similar policy, applying rain surcharges to all users, regardless of their subscription status. This move aligns both companies in their approach to managing operational costs during adverse weather conditions.
Financial Pressures Influencing Policy Changes
Zomato’s decision comes amid financial challenges. The company’s parent, Eternal, reported a 78% year-on-year decline in net profit for the March quarter, amounting to ₹39 crore. This downturn is attributed to losses from its quick commerce arm, Blinkit, which, despite contributing to a 64% increase in operating revenue, also saw a 75% sequential rise in operating losses to ₹178 crore
In response to these financial strains, Zomato has discontinued certain services, including its 15-minute delivery service, Quick, and the homely meals offering, Everyday. The company cited a lack of a clear path to profitability for these services without compromising customer experience.
Customer Reactions and Industry Implications
The introduction of rain surcharges for premium members has elicited mixed reactions from customers. While some understand the need to support delivery personnel during challenging weather, others express concerns over the diminishing value of premium memberships. This sentiment is particularly strong among users who frequently rely on food delivery services during the monsoon season.
Industry analysts suggest that these policy changes may reflect a broader trend in the food delivery sector, where companies are reassessing the sustainability of their subscription models. As operational costs rise, especially during adverse weather conditions, companies may need to balance customer benefits with financial viability.
Conclusion
The recent policy shifts by Zomato and Swiggy to include rain surcharges for all users, including premium members, underscore the financial pressures facing food delivery companies. As these platforms navigate profitability challenges, customers may need to adjust their expectations regarding membership benefits. The long-term impact of these changes on customer loyalty and subscription rates remains to be seen.@EconomicTimes
