Main e-commerce gamers within the Indian market together with Flipkart, Amazon and Reliance Retail are more likely to be a part of the Open Community for Digital Commerce (ONDC).
The ONDC, an open e-commerce community, was not too long ago launched by the federal government on a pilot foundation in 5 cities throughout India.
Now, Flipkart, Amazon and Reliance Retail are in talks to affix ONDC, Financial Occasions reported citing a number of individuals within the know of the developments.
The Open Community for Digital Commerce (ONDC) is an initiative of the federal government to advertise an open platform for all points of the trade of products and providers by way of digital networks.
The ONDC has been initially launched in 5 cities – Delhi NCR, Bengaluru, Bhopal, Shillong and Coimbatore – on 29 April on a pilot foundation to on-board Kirana shops and small and medium companies.
In accordance with the report, ONDC, which nonetheless is at a nascent stage, is being pitched as an answer to interrupt the dominance of huge e-commerce companies like Walmart-owned Flipkart, Amazon and others in India.
On this backdrop, any transfer by these main e-commerce gamers to affix the community will assume big significance.
E-kart, the logistics arm of Flipkart, have already built-in with ONDC for logistics providers whereas Flipkart-owned PhonePe is reportedly within the technique of becoming a member of the community.
It ought to be famous that Paytm, a significant Indian fintech participant, has already joined the community.
“The larger ecommerce gamers have indicated to ONDC that they’ll help it. Apart from tapping into new customers, this will even allow platforms with sizeable business-to-business verticals to faucet into the vendor facet of ONDC community to provide items,” one of many individuals within the know of the matter was quoted within the ET report as saying.
Dynamic pricing, stock administration and optimisation of supply value are the three necessary issues in ONDC which can assist cut back the price of doing enterprise for everyone, together with retailers.
ONDC had obtained its certificates of incorporation as a non-public sector led non-profit firm on 31 December 2021.
The federal government has arrange a nine-member advisory council, together with Nandan Nilekani from Infosys and Nationwide Well being Authority CEO R S Sharma, to determine steps required to design and speed up adoption of ONDC.
By this platform, customers can doubtlessly uncover any vendor, services or products by utilizing any ONDC-compatible software or platform, thus rising freedom of selection for customers.
To this point solely larger gamers are in a position to reap the benefits of e-commerce and small persons are nonetheless out of it.
Anil Agrawal, further secretary within the Division for Promotion of Trade and Inside Commerce, has earlier stated that protocols beneath ONDC would standardise all operations like cataloguing, stock administration, order administration and order fulfilment.