With a good proportion of Singapore’s workforce now working from home, food delivery services must surely have seen an uptick in business.
Sadly, GrabFood users may now have to start shelling out more. Yesterday afternoon, Grab sent out a push notification informing customers of its decision to add a minimum basket value and a S$0.20 platform fee to all orders.
The minimum basket value kicked in at 10 a.m this morning (13 March), while the platform fee will start from 27 March 2020.
How small is a small order?
As per Grab, the minimum basket value starts from S$8, although in practice I’ve seen it go as high as S$10.
If you fall below the minimum basket value, your small order fee will be the difference between the current value and the minimum basket value.
In contrast, Deliveroo levies a small order fee too, but it’s capped at S$5. In other words, ordering just a single S$1 item would cost S$6 with Deliveroo, but as much as S$10 with Grab (both figures before delivery fees). foodpanda, to my knowledge, operates with a S$5 minimum order and a small order fee that tops up the difference.
|Minimum Value to Avoid Small order Fee||S$8-10||S$12||S$5|
|Small Order Fee (Max)||S$10||S$5||S$5|
(from 27 Mar)
Those of you with GrabFood subscriptions would in any case need to spend at least S$10 to enjoy free delivery, so this change shouldn’t affect you. That said, it’s still an overall negative change for Grab customers, and one that was made with very little notice.
Although the platform fee is only 20 cents, I still don’t understand the general concept- you’d think this would be something that businesses already price into their fees. Grab is not alone in charging platform fees, of course (Deliveroo and gojek both have them), but it doesn’t follow that something is right just because it’s market practice (see credit card surcharges).