Why Should Sellers Embrace ONDC? A Closer Look


Discover the transformative power of the Open Network for Digital Commerce (ONDC) and its positive impact on sellers in the e-commerce landscape. Delve into this blog to comprehend ONDC's core, grasp its seller-centric advantages, understand the robust governmental support, and gauge its current industry traction. Embark on a journey that outlines ONDC's pivotal role in empowering sellers and why integrating with this platform demands your serious consideration.



The world of e-commerce in India has witnessed remarkable growth and transformation in recent years. With millions of consumers going online to shop for everything from daily essentials to luxury items, the digital commerce landscape is bustling with opportunities. As sellers navigate this dynamic market, staying ahead of the curve is vital to succeed and thrive in the competitive arena.

In a significant stride towards creating an inclusive and competitive e-commerce ecosystem, the Government of India has introduced the Open Network for Digital Commerce (ONDC). Designed to revolutionize the way sellers operate and consumers shop, ONDC promises to be a game-changer for all participants in the digital commerce space.

Understanding ONDC

At its core, ONDC is a visionary project that aims to create an open-source technology platform, backed by the Government of India. The driving force behind ONDC is to establish a fair and transparent marketplace that empowers both sellers and buyers like never before. With a strong focus on data ownership, privacy, and seamless integration, ONDC seeks to level the playing field for all participants, irrespective of their size or market presence.

The Benefits for Sellers

In the ever-evolving landscape of e-commerce, sellers are continually seeking opportunities to thrive and expand their businesses. The Open Network for Digital Commerce (ONDC) comes as a ray of hope, offering a host of benefits that can transform the fortunes of sellers in India.
Let's explore the advantages that ONDC brings to the table:

Access to a Vast Customer Base

Small and Medium-Sized Enterprises (SMEs) are a vital part of India's economy. ONDC recognizes their importance and works to make them stronger. ONDC connects these businesses with a big and varied group of customers. This helps SMEs use their entrepreneurial spirit. With ONDC eCommerce's supportive environment, SMEs can increase how many people see them and compete in the online market with more confidence.

Leveling the Playing Field for All Participants

Traditionally, large e-commerce players held a dominant position in the market, making it challenging for smaller sellers to compete effectively. ONDC eCommerce aims to change this narrative by creating a level playing field. The integration provides equal opportunities to all participants, regardless of their size or market presence. This opens the door for small and medium-sized sellers to showcase their products and services, stand shoulder to shoulder with the industry giants, and vie for the attention of millions of potential customers.

Data Ownership and Privacy Advantages

Data has become an asset in the digital age, and concerns over its ownership and privacy have been at the forefront. ONDC addresses these concerns by prioritizing data ownership and privacy for sellers. By ensuring that sellers retain control over their business data, ONDC fosters trust and confidence among sellers and consumers alike. This data-centric approach also allows sellers to make data-driven decisions, gaining insights into customer preferences and behavior to enhance their offerings and strategies.

Seamless Integration and Interoperability Opportunities

The e-commerce ecosystem comprises numerous platforms and services that sellers utilize to reach their customers. ONDC eCommerce envisions seamless integration and interoperability among these platforms, creating a cohesive and streamlined experience for sellers. By breaking down barriers and enabling easy collaboration between different e-commerce players, ONDC simplifies operations for sellers, leading to improved efficiency and enhanced customer experiences.

Reducing Entry Barriers and Encouraging New Sellers

In a dynamic market like e-commerce, the entry barriers can be daunting for new sellers looking to establish their presence. ONDC seeks to change this narrative by providing a conducive environment for new entrants. With a user-friendly onboarding process and simplified procedures, ONDC encourages aspiring entrepreneurs to take their first steps into the digital commerce landscape. This reduction in entry barriers paves the way for a diverse array of products and services, enriching the choices available to consumers.

The Impact of Government Support on Seller Success

As a Government of India initiative, ONDC is backed by substantial government support. This support includes incentives, resources, and various programs designed to help sellers thrive on the platform. The government's active involvement signals its commitment to fostering a vibrant digital economy and promoting indigenous businesses. For sellers, this support can be a game-changer, providing them with the necessary tools and assistance to realize their potential and achieve success in the competitive marketplace.

Government Initiatives on ONDC: Empowering Sellers through the ONDC Academy

The government's initiatives on the Open Network for Digital Commerce (ONDC) are meant to empower sellers and network participants with valuable knowledge and resources. One significant initiative is the launch of the ONDC Academy, a collaborative effort with NSE Academy Ltd, a subsidiary of the National Stock Exchange.

1. Learning Content for Effective Operations

The ONDC Academy offers sellers learning content in text and video formats. This valuable resource equips them to manage their e-commerce operations effectively on the ONDC platform.

2. Accessibility and Inclusivity

The academy's simplified and interactive learning modules cater to sellers with various levels of e-commerce knowledge. It empowers even individuals with limited technical know-how to participate and succeed in the digital economy.

3. Creating Seller Apps Made Easy

Sellers, including those without technical expertise, can learn to create seller apps with the assistance of technology service providers. This process allows for aggregating nearby marketplace sellers and making products available online.

4. Multi-Language Support

To break language barriers and promote wider participation, the academy's content will be available in multiple Indian languages, ensuring sellers from diverse backgrounds can access the learning material.

5. Industry Expert Insights and Best Practices

The academy emphasizes providing sellers with industry expert insights and best practices. This ensures that sellers can efficiently manage their online businesses, make informed decisions, and optimize their operations.

6. A Collaborative Forum for Views and Solutions

Through the ONDC Academy, sellers and network participants have a platform to seek views and solutions from experts. This fosters a collaborative environment for knowledge exchange and problem-solving.

7. Certifications for Credibility

The academy's certification programs play a vital role in recognizing and validating sellers' skills and capabilities. These certifications enhance sellers' credibility, building trust with customers and expanding their customer base.

The ONDC Academy exemplifies the government's commitment to supporting sellers on the ONDC platform. By providing accessible and valuable learning content, promoting inclusivity, and encouraging collaboration, the academy empowers sellers to thrive in the digital commerce landscape. This initiative plays a pivotal role in fostering entrepreneurship, driving economic growth, and creating a vibrant and diverse e-commerce ecosystem in India.

Besides that, ONDC also offers the following support to the sellers:

Reduced Transaction Costs

The ONDC platform aims to create a cost-effective ecosystem for sellers by minimizing transaction costs. The elevated competition between e-commerce service providers will push down fees related to transactions, commissions, and advertisements. Furthermore, the streamlined procedures and upgraded logistical framework of ONDC will boost the efficiency of supply chains, thus cutting down operational expenditures for businesses and presenting budget-friendly goods for consumers.

Skill Development Programs

Recognizing the significance of skilled manpower in driving business growth, the network offers skill development programs tailored to the needs of sellers. These programs aim to enhance the digital literacy and e-commerce acumen of sellers, equipping them with the skills required to succeed in the digital marketplace.

Facilitating Compliance and Regulatory Support

Navigating regulatory requirements can be challenging for sellers, particularly those new to the digital commerce landscape. The network provides regulatory support and compliance assistance to help sellers meet legal obligations seamlessly. This ensures a smooth and hassle-free experience for sellers, enabling them to focus on growing their businesses.

Partnerships and Collaborations

The network actively collaborates with industry associations, trade bodies, and technology partners to strengthen the ecosystem. These partnerships create a robust support network for sellers, facilitating knowledge exchange, networking opportunities, and access to resources.

Tips for Sellers to grow their business on ONDC

As a seller embracing the Open Network for Digital Commerce (ONDC), you have the opportunity to thrive in a dynamic and inclusive e-commerce ecosystem. To make the most of this transformative platform, here are some essential tips to enhance your presence and success on ONDC:

Optimizing Product Listings for Maximum Visibility

A well-optimized product listing is key to attracting potential customers on ONDC. Ensure that your product descriptions are clear, concise, and informative, highlighting the unique features and benefits. Utilize relevant keywords and tags that resonate with your target audience, making it easier for consumers to discover your products. High-quality images that showcase your offerings from various angles can significantly enhance your product's appeal. By optimizing your listings, you can increase your visibility and stand out in the competitive marketplace.

Leveraging Data Insights for Strategic Decision-Making

ONDC provides valuable data insights that can shape your business strategies. Analyze the data on customer preferences, buying patterns, and popular products to identify trends and opportunities. Understanding consumer behavior will help you tailor your offerings and marketing efforts to meet their needs effectively. Additionally, track your sales performance, inventory turnover, and customer feedback to make data-driven decisions that optimize your operations and drive business growth.

Providing Exceptional Customer Service to Build Loyalty

Customer service is a crucial aspect of success at the network. Delivering exceptional customer experiences fosters loyalty and positive reviews, which, in turn, can attract more customers. Respond promptly to customer inquiries, address their concerns with empathy, and ensure timely order fulfillment. Engaging with customers in a friendly and professional manner builds trust and encourages repeat purchases. By prioritizing customer satisfaction, you can build a loyal customer base that becomes your brand advocate, driving organic growth.

Embracing these tips will empower you to make the most of the opportunities designed by ONDC. By optimizing your product listings, leveraging data insights, and providing exceptional customer service, you can position your business for success in the dynamic and inclusive digital commerce landscape of India.

Milestones Achieved by ONDC: Empowering E-commerce and Driving Innovation

Expanding Horizons and Fostering Collaboration

1. Diverse Range of Products and Collaborating Merchants

Since its inception, ONDC has experienced remarkable growth, with over 50,000 collaborating merchants on the retail side as of July 2023, offering a diverse range of more than 27 lakh products. This extensive product catalog caters to various consumer preferences, making ONDC a one-stop destination for online shoppers.

2. Exponential Growth and Transaction Volume

The remarkable growth of ONDC is clear from its impressive number of transactions. With over 1 lakh orders daily, the platform is on track to surpass 2 lakh transactions a day by year-end. This growth reflects the trust and confidence that both sellers and consumers have in its services.
Inclusivity and Extensive Reach

3. Wide Participation Across Cities

ONDC's extensive reach is evident as it brings together more than 45 participants across 236 cities. This nationwide participation reinforces ONDC's mission to foster collaboration and create a robust e-commerce ecosystem that benefits sellers, consumers, and the economy at large.

These milestones indeed reflect its transformative impact on the e-commerce landscape in India. The platform's extensive reach, inclusivity, and commitment to fostering collaboration and innovation will drive its continuous growth and success. As ONDC empowers SMBs, entrepreneurs, and consumers and more, it propels the industry into a future of dynamic growth, transparency, and positive change.

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As highlighted throughout this blog, sellers should indeed consider ONDC eCommerce to unlock its transformative potential. The platform's inclusivity, extensive reach, and the sector’s support make it a strategic choice for sellers aiming to thrive in the digital commerce realm.

To further enhance this journey, FutureSoft India, a distinguished e-commerce development company, stands ready to offer invaluable support. For sellers with existing platforms on Magento, Shopify, or BigCommerce, FutureSoft India provides an efficient ONDC plug-in. This software seamlessly integrates their e-commerce platform with the ONDC network, expanding their reach and enhancing their visibility to a broader audience.

Additionally, for sellers yet to establish an online presence, FutureSoft India offers a comprehensive ONDC-enabled e-commerce platform. This turnkey solution empowers sellers to effortlessly list and sell their products on ONDC, providing them with a competitive edge in the rapidly evolving digital marketplace.

With FutureSoft India as a trusted partner, sellers can confidently embrace ONDC eCommerce, ensuring a smooth and rewarding transition into the world of digital commerce.

About the Author

Aviral Khandelwal

Head   Vice-President, eCommerce Division

Aviral Khandelwal is the head of the eCommerce vertical at FutureSoft India. He is a seasoned eCommerce professional, with over 14 years of hands-on experience. Count on him to bring top-notch expertise to the table.

Got questions or want to dive deep into eCommerce? Aviral's all ears! Connect on LinkedIn (www.linkedin.com/in/viewaviralkhandelwal) or drop a line at aviralk@futuresoftindia.com to kickstart some insightful discussions.

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