If you run a restaurant in Pakistan and take orders through foodpanda, the commission is the largest single cost in your delivery business — usually larger than the food. Most owners know the headline number. Fewer know what it is charged on, or what the smaller percentages beside it add up to over a year.
This page sets out the arithmetic. It is written by Snabb, which competes with foodpanda, so treat the comparison at the end with the scepticism it deserves — but the numbers above it are the published ones and you can check them against your own statements.
The headline rate
foodpanda charges Pakistani restaurants roughly 25–30% commission per order. A further ~5% buys better placement in the app, which most restaurants end up taking because the ones that do not are outranked by the ones that do. That is where the widely quoted 35% comes from.
On top of the commission there is typically a 2–3% charge on card and wallet payments. Cash orders avoid that one, which is part of why cash on delivery remains so common in Pakistan.
What that is in rupees
Take a restaurant doing Rs 1,000,000 of delivery sales a month — a solid single outlet, not a chain.
| Commission rate | Monthly cost | Annual cost |
|---|---|---|
| 25% | Rs 250,000 | Rs 3,000,000 |
| 30% | Rs 300,000 | Rs 3,600,000 |
| 35% | Rs 350,000 | Rs 4,200,000 |
Before the 2–3% payment charge on card orders.
Restaurant net margins in Pakistan commonly run in the 8–15% range once rent, wages, utilities and food cost are paid. A 30% commission on a channel is not a slice of the profit on those orders — for many kitchens it is more than the entire profit, which is why so many owners describe delivery as a volume business they cannot make money on.
Work it out for your own shop
Put your own monthly delivery sales in and see the three rates side by side, against a flat monthly fee.
Why the rate is what it is
It is worth being fair about this. A 30% commission is not simply extracted — foodpanda pays for the rider network, the customer acquisition, the app, the support desk and the payment handling. A restaurant on foodpanda is buying demand it did not have to generate and a delivery fleet it did not have to hire.
The question is not whether that is worth something. It is whether it is worth a permanent share of every order forever, and whether you have an alternative that does not require you to build a customer base from nothing.
It is also worth knowing that the Competition Commission of Pakistan has opened an inquiry into foodpanda’s practices. That is a matter of public record and not a conclusion of wrongdoing, but it tells you the pricing in this market is being looked at.
The alternative model
The other way to price a delivery platform is a flat subscription: the platform charges a fixed monthly fee for the software and takes nothing per order. Your delivery fee stays yours, and your commission cost does not grow when your sales do.
Snabb sits outside that comparison entirely: it takes no order, so there is nothing for it to take a percentage of. It lists your restaurant — menu, prices, hours, a number that works — and the customer rings you directly. A flat monthly fee to be listed, and nothing else.
The other requirement is riders. If you have no one to deliver and no intention of hiring, a commission platform is buying you a fleet and that is a real service. Snabb does not deliver; your staff do.
How to check your own rate
- Open your partner statement for a full month, not a single order.
- Take gross order value — the total customers paid, including delivery fees.
- Take total deductions — commission, visibility or marketing fees, payment charges, any promotional co-funding.
- Divide deductions by gross order value. That percentage is your real rate, and it is usually higher than the one in your contract because the extras are not in the contract.
- Multiply by twelve. That is the annual figure worth making a decision about.
Common questions
How much commission does foodpanda charge in Pakistan?
Roughly 25–30% of the order value, rising to about 35% when the additional visibility or marketing fee is included. Card and wallet payments typically carry a further 2–3% charge.
Is foodpanda commission charged on the delivery fee as well?
Yes. Commission is calculated on the order total, which includes the delivery fee the customer paid — so you pay a percentage of money collected to cover delivery, not just on the food.
Can I negotiate a lower foodpanda commission?
Rates vary by city, cuisine and volume, and larger chains do negotiate. A single outlet has little leverage, but it is worth asking what your rate would be without the optional visibility fee, since that portion is the part most often added without being noticed.
What is the cheapest way for a restaurant to take delivery orders in Pakistan?
It depends entirely on volume. Below roughly Rs 18,000–20,000 of monthly delivery sales, a commission model costs less. Above it, a flat monthly subscription costs less and the gap widens as you grow, because a percentage scales with your sales and a fixed fee does not.
Do I need my own riders to leave foodpanda?
For a zero-commission platform, yes. The commission on an aggregator pays for a delivery fleet among other things; a subscription platform does not include one, so the delivery is done by people you employ.
