ONDC’s Impressive 21% Growth: Transforming Digital Commerce in India

Photo by Laurentiu Morariu on Unsplash

The Open Network for Digital Commerce (ONDC)’s rapid growth and strategic integrations are reshaping India’s digital commerce landscape.

Key Highlights of ONDC’s Growth:

• Transactions on the Rise: ONDC has seen a 21% month-on-month growth, reaching 12 million transactions in July. This growth trajectory is a testament to the network’s robust infrastructure and widespread acceptance.
• Diverse Transaction Domains:
  Mobility: 4.4 million transactions.
  Non-Mobility: 7.6 million transactions.
• Daily Transaction Peak: In July, ONDC’s daily orders peaked at around 430,000, showcasing the network’s capacity to handle high transaction volumes efficiently.
• Expanding Network: With over 6.38 lakh sellers and service providers spread across more than 609 cities, ONDC is rapidly expanding its footprint and fostering local commerce.

Minister of State for Electronics and Information Technology, Jitin Prasada, highlighted ONDC’s robust ecosystem, comprising:

• 71 seller applications
• 22 buyer applications
• 16 logistics service providers
• Totaling over 5.7 lakh sellers and service providers

Since its inception, ONDC has witnessed exponential growth, escalating from over 1,000 transactions in January 2023 to an astounding 9.9 million transactions in June 2024. In the food and beverages sector, ONDC has captured:

• 18% market share in Bengaluru
• About 3% of Swiggy and Zomato’s total food order volumes across India

ONDC is not just stopping at facilitating transactions. It is actively integrating with major banks and fintech platforms to offer comprehensive services:

• Banks: HDFC Bank, IDFC First Bank, and Karnataka Bank.
• Fintech Platforms: Fibe and others.
• Credit Disbursal: Early pilots in collaboration with Tata Neu and Paisabazaar.

In June, the government rolled out a new initiative aimed at onboarding 5 lakh micro and small businesses onto the ONDC platform. This move is set to further amplify ONDC’s reach and support local businesses in leveraging digital commerce.

ONDC’s consistent growth and strategic initiatives highlight its pivotal role in transforming India’s digital commerce landscape. As it continues to innovate and expand, ONDC is well-positioned to lead the charge in creating a more inclusive and efficient digital marketplace for all.

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