Blinkit may shift to variable commission model to improve profitability

Quick commerce platform Blinkit, which is a unit of food-tech giant Zomato, has reportedly been experimenting with the idea of variable commission pricing to shift from the current structure of fixed rates to focus on profitability.

The Gurugram-based company, led by Albinder Dhindsa, currently charges around 3-18% commission on various products listed on its platform. However, according to a latest report by The Economic Times, the company may pivot to another model wherein the final commission will be based on the selling price of a particular item.

The company may roll out the new commission structure as soon as this month, though the q-comm player has not issued any official statement on the matter so far.

The shift to a variable commission model may be driven by Blinkit's recent performance, as the company faces stiff competition from rivals like Zepto, which is aggressively expanding its dark stores across different cities.

​In Q3 FY25, Blinkit recorded a 117% year-on-year increase in revenue to ₹1,399 crore as compared to ₹644 crore in the corresponding quarter last year. The company's adjusted EBITDA loss widened by 15.7% to ₹103 crore from ₹89 crore in the year-ago period. "Heightened competition has led to a pause in margin expansion in the business," Blinkit CEO Albinder Dhindsa had said in a statement post the release of the Q3 result.

Besides, Blinkit, the quick commerce platform known for delivering groceries and essentials within minutes, is now venturing into emergency services. The company recently launched a 10-minute ambulance service in Gurugram, marking a significant expansion beyond its core offerings. As quick commerce platforms race to diversify their portfolios, Blinkit’s move signals a shift towards high-value, time-sensitive services.

Competitor Zepto, on the other hand, has partnered with ethnic wear brand Manyavar and several others. So, if you have a last-minute wedding invitation and need a traditional kurta-pyjama, Zepto promises to deliver it in just 10 minutes. Quick commerce companies continue to surprise consumers with the sheer variety of products and services they can deliver in 10 or even 30 minutes. Even fashion marketplaces like Myntra have joined the quick-delivery trend. Every working woman depends on her domestic help, and when they don’t show up, it can be a real crisis.