What is ONDC? How would It disrupt the logistics market and help the small businesses lets understand>>>

ONDC stands for Open Network Digital Commerce. It is aiming to provide equal and fair opportunities for small businesses so they can compete in the market.

Today the major ecommerce businesses have monopoly in the market, ONDC will disrupt that market by providing equal opportunity to every seller.

TO understand ONDC more clearly let's take the example of UPI. Once your UPI is created you can ues it with different payment apps like Paytm, GPay and PhonePay.

Similarly when You are using the ONDC platform you can see the listing from different websites like Amazon, Flipcart and any other apps that are registered with the ONDC.

This will allow users to compare prices from different platfrom and they can get the best deals. And also save the users time.

Here buyers and sellers can choose their own delivery agents from other platforms it their platfrom delivery agent is unavailable.

How it will end the comptetion lets take a exmple.

Currently swiggy and Zomato 20-30% commission, whereas ONDC takes only 2-3% of the commission.

Some Major Features of ONDC are

1. ONDC is a goverment backed product. 2. It provides equal opportunity to both small and medium businesses. 3. It provides transparency .

ONDC was launched in 2021 and currently it is operated in more than 500 cities across India with about 4 lakh active buyers and sellers.

Delivery charges are also one of the main concern for the small businesses but as of now ONDC is not charging any delivery fee and in future will will charge around 1-2% fee.

There are some misconceptions about ONDC are that it is an individual platfrom or app. ONDC can be integrated with any business it has no individual app.