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ONDC more likely to hit meals supply platforms

The ONDC is more likely to hit the enterprise mannequin of main meals supply platforms on account of extreme aggressive pricing provided by the open community platform

Picture supply: Latestly

The ONDC is more likely to hit the companies of a number of meals supply platforms and aggregators like Swiggy and Zomato due to extraordinarily aggressive pricing provided by the platform.

The Open Community for Digital Commerce (ONDC) which was launched in Nov 2021 by Division for Promotion of Trade and Inner Commerce (DPIIT) is a non-profit group by the federal government of India to finish the dominance of enormous tech platforms and to offer alternatives to small retail shops and combine them to the e-commerce trade.

ONDC will not be a single platform out there within the type of utility however it’s a network-centric mannequin that intends to convey patrons and sellers on a single platform. The ONDC has tie-ups with platforms resembling paytm, mystore and so on. which permit entry and permit orders on ONDC. In easy phrases ONDC lists all of the merchandise provided by completely different sellers and permits the patrons to select from them. Thus democratizing the complete shopping for process.

ONDC likely to hit food delivery platforms - Asiana Times

As of now the open community platform is just out there in choose cities and is at present in its Beta model for testing the feasibility. The Govt expects to broaden it additional in 100 cities quickly.

What consultants imagine to be a UPI second for the e-commerce providers, the ONDC is seen to be a menace to the prevailing meals supply fashions of meals aggregators resembling Zomato and Swiggy which command 55% and 45% share respectively of their subject. Thus ending the duopoly.

As reported by the a number of customers of ONDC, they’ve discovered a stark distinction between the meals course of on ONDC in contrast with that of Swiggy and Zomato. The McDonalds Burger which is offered for 282Rs in present platforms is offered for simply 109Rs on ONDC. The identical is with many different meals gadgets.

One of many important causes cited for this value distinction is the fee charge, supply costs and tax charged on Eating places utilizing Swiggy and Zomato. As of at present these platforms cost 20-25% fee together with meals supply costs excluded.

However alternatively ONDC costs simply 3-4% fee with free meals supply. Thus reducing the general value of meals. The eating places had been lengthy complaining of the large fee charged reducing their margins. However now on account of ONDC they don’t must compromise on margins.

ONDC likely to hit food delivery platforms - Asiana Times

Presently the meals supply market in India is valued at 2.3 billion {dollars} which is anticipated to be expanded to 13 billion $ by the tip of 2025. Thus there’s lots of potential for the restaurant homeowners to faucet into the meals supply area and earn earnings. As soon as totally operational the shoppers can order meals from eating places which can be delivered by supply apps resembling Dunzo and Blinket (if registered). Thus democratizing the enterprise.

Many platforms at the moment are anticipated to be built-in with ONDC thus increasing it to each side of life.


Presently ONDC can solely be utilized in choose cities resembling Bengaluru, Delhi, Mumbai, Shillong and so on. To order gadgets, one should open Paytm. Mystore and different apps built-in with ONDC and seek for ONDC. Then one can order any merchandise from the listing evaluating the costs. As soon as the order is positioned it shall be delivered in applicable time.