Zomato Restructures Gold Perks Amid Slow Food Delivery Growth

Zomato has announced the removal of its rain fee waiver for Gold members, a decision that reflects the company’s ongoing efforts to address operational costs and improve profitability. Beginning May 16, Gold members will be subject to the same surge rain fee as regular users, a charge aimed at ensuring fair compensation for delivery partners.

Previously, this fee was waived as a benefit under Zomato’s Gold Membership, which currently includes over 20 lakh subscribers. The change was observed during a quick review of the app interface. 

The policy revision aligns with broader market trends as Zomato’s parent company, Eternal, reported muted growth in its food delivery segment in the latest quarterly results. The slowdown has been attributed to declining urban demand, challenges in delivery partner availability, and the growing shift towards quick commerce platforms.

In a shareholder letter, Eternal acknowledged the challenging environment but expressed cautious optimism about ongoing efforts to drive profitable growth. "We have a number of promising initiatives in the pipeline – hoping some of them will work and lead to higher growth, without compromising on profitability," the company stated.

Zomato’s updated approach signals a recalibration of service benefits in response to evolving business dynamics in the hospitality and food delivery sector.