Zomato pilots priority deliveries, tests ‘pay later’ feature
Synopsis
Gurgaon-based firm Zomato is starting priority deliveries, wherein users can pay extra to get orders delivered faster. The extra charge for priority deliveries is applicable to members of the company’s loyalty programme, Zomato Gold, as well.
By ETtech
Food delivery firm Zomato has started piloting priority deliveries, enabling users to get their orders delivered faster by paying an extra fee of Rs 19-29 per order.
The extra charge for priority deliveries is applicable to members of the company’s loyalty programme, Zomato Gold, as well.
Users pay for Zomato Gold membership to get benefits such as discounts and free delivery.
Zomato’s biggest rival, Swiggy, had last year introduced a similar priority delivery service.
The move comes just days after Zomato increased the platform fee it charges users by 25% to Rs 5. ET was the first to report this development.
On Wednesday, Zomato shares ended 1.7% lower at Rs 184.40 on the BSE.
The company already offers prepaid payment instruments or wallets in the app.
In January, Zomato received a nod from the Reserve Bank of India to operate as a payment aggregator.
ET had reported that the company was not aiming to enter the fintech sector as an independent entity. Instead, it was obtaining financial services licences to enhance its offerings within its ecosystem.
On January 29, ET reported that the company had tweaked its loyalty programme, Zomato Gold, by discontinuing ‘on-time guarantee’ benefits for memberships purchased or renewed from November 25, 2023.
The company reported its third consecutive quarterly profit, of Rs 138 crore, for the October-December 2023 period, compared with Rs 36 crore profit in the September quarter and Rs 347 crore loss in the year-ago period.
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The Gurgaon-based firm is also testing a ‘pay later’ feature for some users. In this case, users can place orders but make the payment any time before the food is delivered, according to information from the company’s app.Elevate Your Tech Prowess with High-Value Skill Courses
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Users pay for Zomato Gold membership to get benefits such as discounts and free delivery.
Zomato’s biggest rival, Swiggy, had last year introduced a similar priority delivery service.
The move comes just days after Zomato increased the platform fee it charges users by 25% to Rs 5. ET was the first to report this development.
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On Wednesday, Zomato shares ended 1.7% lower at Rs 184.40 on the BSE.
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The ‘pay later’ feature, which is available as an opt-in, allows users to checkout from their cart and make the payment subsequently. However, the option to pay later is restricted to orders up to Rs 9,000.The company already offers prepaid payment instruments or wallets in the app.
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In January, Zomato received a nod from the Reserve Bank of India to operate as a payment aggregator.
ET had reported that the company was not aiming to enter the fintech sector as an independent entity. Instead, it was obtaining financial services licences to enhance its offerings within its ecosystem.
ADVERTISEMENT
Zomato did not comment on the developments.On January 29, ET reported that the company had tweaked its loyalty programme, Zomato Gold, by discontinuing ‘on-time guarantee’ benefits for memberships purchased or renewed from November 25, 2023.
The company reported its third consecutive quarterly profit, of Rs 138 crore, for the October-December 2023 period, compared with Rs 36 crore profit in the September quarter and Rs 347 crore loss in the year-ago period.