ONDC in advanced stage of integration with another 17 platforms

Open Network Digital Commerce (ONDC) as it prepares to launch in August has already onboarded nine platforms and is in advanced stage of development of adding another 17 platforms with itself. It also has garnered interest from various other platforms which include telecom majors and banks, according to a source in the know.

Platforms that have already integrated with ONDC’s network include PayTM, Digiit, eSamudaay, Go Frugal, Growth Falcons, Seller App, Dunzo and Loadshare.

Platforms that are in advanced stages of development with the network are Kotak, Phonepe, Snapdeal, Sonata, Ushop, Zoho EKart, Ship Rocket and Bizom among others. The platforms which have shown interest include the HDFC Bank, ICICI Bank, IDBI Bank, India Post, ITC store, Marico India, Nivea India, Samsung India Electronics, SBI Bank, Delhivery, Airtel etc.

The network is currently running pilots in 29 cities. The network first began its pilot on April 29 in Delhi, Bengaluru, Coimbatore, Bhopal and Shillong. The network is also in the process of adding more cities as it prepares to launch the network nationwide.

It is also in the process of completing a small fundraise. This will take its total fundraise to Rs 195 crore from Rs 157 crore raised earlier which it raised from 17 banks and financial institutions. National Payments Corporation of India (NPCI), National Securities Depository Limited (NSDL) and Bank of India are part of the ongoing fundraise.

The project is sponsored by the department for promotion of industry and internal trade (DPIIT) and has been set up as a Section 8 company (non-profit organisation).

ONDC intends to increase the gross merchandise value (GMV) of digital transactions from Rs 4.5 trillion annually to over Rs 7.5 trillion in the next five years.  It also intends to expand the coverage of retailers using digital commerce from 15,000 to more than 2 million in five years. It wants to expand the share of Indians using e-commerce to buy online from 90 million users to more than 250 million users.

The network aims to provide more access to businesses by increasing discoverability at a low cost.

Also, it will enhance autonomy (due to multiple choices for being digitally visible) as well as value-chain services (like logistics) to support business growth.

For buyers, ONDC’s protocol will provide access to more sellers, enhanced service levels and faster deliveries due to access to hyper-local retailers. Overall, there will be a better customer experience. For technology platforms, ONDC will provide lower time-to-market and time-to-scale.