What is ONDC? - Open Network for Digital Commerce?
Introduction:
In this blog we will get information about What is ONDC? Features and benefits of ONDC platform. When we talk about ecommerce, in India, the first things that come to our mind are Amazon, Flipkart, or Myntra. In recent times, these and similar marketplaces have largely dominated business in ecommerce. Additionally, there are also relatively successful and notable D2C stores, such as Mamaearth, Lenskart, Bombay Shaving Company, and Sugar Cosmetics, which have garnered attention and growth. However, beyond these chosen few, there is limited awareness of the vast options also available in the ecommerce ecosystem. To set the context right, India has around 4 crore merchants in a population of 140 crores, waiting to be explored.
What is ONDC?
Open Network for Digital Commerce, commonly referred to as (ONDC) was established by the Department for Promotion of Industry and Internal Trade (DPIIT) of India. ONDC was created with the mission and vision of creating an inclusive ecosystem of ecommerce, particularly for small and medium businesses.
ONDC is planned as an ecommerce ecosystem that acts as a middleman to connect buyers and sellers, bring innovation and revolution, and make ecommerce a level playing field, particularly for small businesses, in India.
What led to the formation of ONDC?
As suggested earlier, ONDC was incorporated with the vision of creating an inclusive ecosystem of ecommerce. In its current form, ecommerce not just in India, but the world over, has been driven by marketplaces. There is an urgent need not just to democratize and decentralize ecommerce, but also
to make it more inclusive for small and medium businesses and support local businesses. Outlining some of the key objectives of ONDC.
• Reduce monopolies of platforms
• Make ecommerce easily accessible to small and medium businesses
• Wider choices for end-consumers
• Standardizing and reducing the cost of operations
• Enhanced logistics
• Ensuring confidentiality and data privacy
With ONDC, many would argue that the Indian government, which earlier promoted UPI, with great success, is now trying to emulate it, in the ecommerce domain. This is to ensure that small and medium businesses, in India, can not only survive but thrive in their e-commerce journey.
Read more: What is ONDC - Open Network for Digital Commerce?