Flipkart To Launch Food Delivery Service By Mid-August With 10-11% Commission Model

Flipkart To Launch Food Delivery Service By Mid-August With 10-11% Commission Model
flipkart

Flipkart is set to launch its food delivery service in Bengaluru by mid-August, with the ecommerce major planning to charge restaurants a commission of 10-11% per order, sources told Inc42. 

The development marks Flipkart’s formal entry into India’s online food delivery market, where it is betting on a significantly lower commission structure to attract restaurant partners from incumbents Swiggy and Eternal-owned Zomato

The development was first reported by Moneycontrol.

For comparison, Swiggy and Zomato typically charge restaurants commissions ranging from 25% to 35% per order, depending on factors such as order volumes, city, commercial arrangements, and promotional spends.  

Flipkart has reportedly begun onboarding restaurants across Bengaluru ahead of the launch. The service will initially roll out as a pilot, with the company evaluating whether to offer it through the main Flipkart app, a standalone application, or both. The ecommerce major will leverage the Open Network for Digital Commerce (ONDC) to onboard restaurant partners. 

Betting On Restaurant Discontent 

Flipkart’s entry comes as restaurant owners increasingly push back against the commission structures and advertising costs imposed by the two dominant food delivery platforms. 

The industry’s growing discontent has become more visible in Bengaluru, where restaurant associations have been pressing Swiggy to address concerns around commissions and related charges by August 15. Rapido has also entered the market through Ownly, positioning itself as a restaurant-friendly alternative with a zero-commission model. 

Against this backdrop, Flipkart’s lower commission strategy could help it quickly onboard restaurant partners. However, attracting consumers away from entrenched ordering habits and building sufficient order density will likely prove to be a far bigger challenge. 

Swiggy and Zomato continue to dominate the market after years of investments in logistics infrastructure, restaurant partnerships, loyalty programmes, and customer acquisition.  

For Flipkart, the move expands its presence in high-frequency consumer services. After entering quick commerce with Flipkart Minutes in 2024, the Walmart-owned company is now looking to increase user engagement across its ecosystem of more than 500 million registered users. 

Flipkart is expected to adopt an asset-light marketplace approach by connecting consumers with existing restaurants. 

The food delivery push comes as Flipkart continues to delay its IPO plans. The company, which was earlier expected to list by late 2025 or early 2026, was said to be exploring a $2 Bn-$2.5 Bn pre-IPO funding round, though the plans have not progressed.

 

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