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Grab to increase platform fees for food, mart delivery orders

Grab to increase platform fees for food, mart delivery orders

File photo of a Grab Food delivery driver (Photo: Jeremy Long)

SINGAPORE: Technology company Grab will increase its platform fee for the delivery of food and other on-demand items from late next month, the company said in an email to customers on Wednesday (Mar 31).

Grab said it will raise the platform fee for GrabFood and GrabMart to S$0.30 per order, an increase of S$0.10 from the current rate. The new rate takes effect on Apr 22.

"Over the past year, demand for deliveries has increased. And along with it, the need to provide a safer and more efficient platform for you and our delivery-partners," said Grab in an email to users.

"In order to continue doing so sustainably, we will be adjusting our platform fee ... This will go towards maintaining current features and developing new ones."

Commentary: We got to know Grab for its transport business. That will soon change

The move comes about a year after Grab introduced a S$0.20 platform fee for its food delivery service on Mar 27, 2020.

In December, it also introduced a S$0.30 platform fee for all rides, except for GrabHitch and GrabResponse.

READ: Grab to charge additional S$0.30 'platform fee' for rides, following lifting of restrictions by competition watchdog

The company said in the email to users on Wednesday that the platform fees will go towards three areas: Safety, security and efficiency.

It said that it will soon introduce new features to reduce the waiting time for delivery-partners at stores, enabling them to process and deliver orders more quickly.

It also plans to enhance fraud prevention measures, a move that will provide "better protection from harassment and pranks".

"We look forward to delivering a better platform and experience for you and our delivery-partners," said Grab.

READ: Man gets jail for ordering more than S$700 worth of food from GrabFood and Foodpanda without paying

READ: Police investigating case of 'harassment' involving foodpanda delivery orders at Joo Seng

Source: CNA/aj(cy)