Why Indian Sellers Should Join the ONDC Network

In an era of digital transformation, Indian sellers are continually looking for platforms that not only enhance their market reach but also streamline their business operations. The Open Network for Digital Commerce (ONDC) stands out as a revolutionary initiative, promising to reshape the e-commerce landscape in India.

Drawing upon data and insights, such as the milestone of achieving more than 7.1 million cumulative orders since its inception a year ago, as reported by The Economic Times, the potential of ONDC for Indian sellers, particularly in vibrant economic states like Maharashtra, is immense. This blog delves into why joining the ONDC platform is a strategic move for Indian businesses.

Revolutionising Commerce with ONDC

ONDC isn’t just an alternative to existing e-commerce platforms; it’s a paradigm shift designed to democratise digital commerce in India. By fostering an environment where businesses of all sizes can compete fairly, ONDC ensures increased visibility and access to a broader customer base. For businesses in Maharashtra, known for its entrepreneurial zeal, this translates to unprecedented opportunities to tap into national markets.

Why Should Indian Sellers Join the ONDC Network?

1. Level Playing Field: Unlike conventional e-commerce platforms that often favour big players, ONDC provides a level playing field for all sellers. Entrepreneurs of any size have an equal chance to showcase their products and reach an extensive audience.
2. Lower Costs: ONDC aims to minimise the financial burden on sellers by reducing various fees and charges associated with traditional e-commerce platforms. This allows sellers to retain a higher percentage of their earnings, thus improving their profitability.
3. Increased Visibility: When you become a part of the ONDC network, you can reach out to a large number of potential customers across the country. The platform comes with effective marketing strategies and a user-friendly interface to ensure that your products receive the attention they deserve, which ultimately leads to increased sales and revenue.

The Rising Impact of ONDC in Democratising E-commerce in India

Since its launch, the government-supported Open Network for Digital Commerce (ONDC) has significantly influenced India’s e-commerce landscape.

With over 7.1 million orders completed by February following its inception, ONDC demonstrates robust growth. This platform uniquely supports over 370,000 sellers from diverse sectors, including top brands, farmers, and taxi drivers, highlighting its broad appeal.

ONDC is active in 588 notable cities, covering approximately 70% of urban India. The platform’s commitment to making e-commerce more accessible and equitable is evident in its efforts to integrate services like the Chennai Metro, enhancing mobility and connectivity across several key cities.

Key Benefits of Joining ONDC for Indian Sellers

1. Wider Accessibility: ONDC opens the door to a pan-India customer base, allowing sellers from Maharashtra and beyond to reach consumers nationwide, far beyond their immediate geographical location.
2. Level Playing Field: By reducing the dominance of large e-commerce entities, ONDC levels the playing field, giving smaller retailers a fair chance to showcase their products and services.
3. Cost-Effective Operations: Participation in the ONDC network potentially lowers the cost of digital transactions and reduces dependency on third-party platforms that often charge significant commissions.
4. Enhanced Trust and Transparency: Operating on a government-backed platform like ONDC, boosts consumer confidence in the reliability and authenticity of a business.
5. Direct Access to Customers: ONDC eliminates intermediaries, allowing sellers to interact directly with customers. This fosters greater transparency and trust, ultimately leading to improved customer satisfaction and loyalty.
6. Flexible Pricing and Promotions: Sellers have the freedom to set their own prices and run promotional campaigns as per their business requirements. This flexibility enables them to experiment with different pricing strategies and attract more customers.

Advantages for Sellers

1. Direct Access to Customers: ONDC eliminates intermediaries, allowing sellers to interact directly with customers. This fosters greater transparency and trust, ultimately leading to improved customer satisfaction and loyalty.
2. Flexible Pricing and Promotions: Sellers have the freedom to set their own prices and run promotional campaigns as per their business requirements. This flexibility enables them to experiment with different pricing strategies and attract more customers.

Advantages for Buyers

1. Wide Range of Products: With a diverse pool of sellers on board, ONDC offers buyers a wide range of products to choose from. Whether you’re looking for electronics, fashion apparel, or home essentials, you’ll find everything you need on the platform.
2. Competitive Pricing: Since sellers on ONDC compete directly with each other, buyers can enjoy competitive pricing and attractive discounts. This ensures that they get the best value for their money without compromising on quality.

How to Register on the ONDC Network

Registering on the ONDC network is a straightforward process:

1. Visit the official ONDC website and navigate to the seller registration page.
2. Provide your business details, including your company name, contact information, and product offerings.
3. Complete the verification process by submitting relevant documents as per the platform’s requirements.
4. After your account is verified, you can access the ONDC dashboard to list your products and manage sales.

Payment Procedure with ONDC

The payment procedure on ONDC is seamless and transparent:

1. When a customer makes a purchase, the payment is securely processed through the platform’s integrated payment gateway.
2. ONDC holds the payment in escrow until the order is successfully delivered and the customer confirms satisfaction.
3. Once the transaction is complete, ONDC releases the payment to the seller’s designated bank account after deducting any applicable fees.

Conclusion

The Open Network for Digital Commerce (ONDC) represents a significant leap forward for Indian commerce, offering a robust framework for businesses to expand their reach and compete on equal terms. Indian sellers stand at the threshold of a new era in digital commerce, one where opportunities are boundless and the growth potential is unparalleled.

In embracing ONDC, businesses not only gain access to a wider market but also contribute to a more inclusive, competitive, and transparent digital commerce ecosystem. The journey towards digital empowerment is just beginning, and for Indian sellers, the future looks promisingly boundless.

FAQs

1. What is the ONDC platform?
The Open Network for Digital Commerce (ONDC) is a government-initiated project aiming to democratize digital commerce in India. Businesses can sell products and services on a neutral, inclusive platform, regardless of their size.

2. How can joining the ONDC network benefit my business?
Joining the ONDC network offers several advantages, including access to a broader market, reduced dependence on major e-commerce platforms, cost efficiency in operations, and the opportunity for innovation and flexibility in managing your business online.

3. Is the ONDC platform suitable for small businesses?
Absolutely. The ONDC provides a level playing field for small and medium-sized businesses to compete fairly with larger companies.

4. What kind of businesses can join the ONDC network?
The ONDC network is open to any business, from retailers and service providers to home-based enterprises. The platform is sector-agnostic, aiming to include as diverse a range of businesses as possible.

5. How do I start the process of registering my shop and establishment online with ONDC?
To begin, visit the official ONDC registration page. The process involves submitting your business details and necessary documentation for verification. While specific steps can vary, resources like deAsra’s market linkages page can guide you through the process.

Reference links:

• https://www.financialexpress.com/business/sme/number-of-merchants-on-ondc-expected-to-multiply-in-coming-year-says-md-ceo-koshy/3388936/
• https://economictimes.indiatimes.com/tech/technology/ondc-completes-more-than-7-1-million-cumulative-orders-in-february-since-inception-a-year-ago/articleshow/108214156.cms?from=mdr
• https://knnindia.co.in/news/newsdetails/sectors/ondc-food-delivery-orders-cross-5-lakh-in-march-2024