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Benefits of the ONDC Network for both buyer and sellers

By Mughil R24 February 2025
Benefits of ONDC

Introduction


The Government of India took a significant step forward in ecommerce by launching the ONDC Network, elaborately known as the Open Network for Digital Commerce (ONDC) protocol. This initiative aimed to be democratic, give sellers of all sizes equal opportunities, provide an open and transparent protocol, and create a network where buyers, sellers, and logistic service providers from various platforms can collaborate to conduct digital commerce.


Unlike traditional ecommerce platforms, which currently dominate India's ecommerce landscape, the ONDC Network provides an equal opportunity for small and mid-tier sellers to compete with giants. But what makes the ONDC Network a breakthrough initiative in the current ecommerce condition of the country?


This blog post digs deeper to show how the ONDC Network benefits buyers and sellers while also offering a brighter future for India's digital economy.

Benefits for buyers


Wider and better options: This open and democratic network brings together a diverse range of sellers and products, giving buyers a wide range of choices to buy exactly what they need.


Convincing pricing: When compared to other major ecommerce platforms, sellers can start selling on the ONDC Network only paying a fraction of their revenues in commissions. The upfront cost of using the seller apps is quite minimal, too, so sellers pass on the increased marginal profit to buyers by providing convincing price options and lower rates than other platforms.


Agile delivery: The ONDC Network runs on hyperlocal-first algorithms and provides integrated logistics options where India's top logistics providers help deliver buyers' orders in the quickest way possible.


Shop with your favorite local sellers: The network is also designed in a way that buyers can filter the nearest seller first and shop from them. This algorithm is engineered likewise to support small businesses and foster a sense of inclusivity.

Benefits for sellers


Access to a larger market: Once a seller gets listed on the ONDC Network, their products are distributed and get showcased across various buyer apps plugged into the network. This improves their chances of reaching potential customers available on every buyer app and driving sustained sales.


Reduced transaction costs: When compared to other ecommerce platforms, selling on the ONDC Network has lower commission rates. This open network enables sellers to spend less on their investments and commissions and retain a higher portion of their earnings and improve their profitability.


Access to integrated logistics service providers: This network brings in third-party logistics providers as an integrated body. These logistics service providers help sellers deliver orders received within the network and help them streamline their order fulfillment process while ensuring faster and more reliable deliveries to buyers.


No contractual blockade and biased algorithms: The ONDC Network makes sure that sellers are not locked-in by restrictive and rigid contracts, and any products of any sellers are not excluded by biased algorithms or unfair competition practices.


Absolute transparency: The core value of the ONDC Network is to promote transparency and inclusivity. On these lines, the ONDC Network fosters transparency in its operations, providing sellers with clear insights into their performance, customer feedback, and market trends, empowering sellers to make data-driven decisions and scale their businesses.


Data ownership and insights: ONDC promotes data privacy for sellers and permits them to have complete control over their business data on the ONDC Network. This approach empowers sellers with valuable insights into customer behavior, helping them tailor their strategies accordingly with efficiency.


Conclusion


The ONDC Network is not just another digital platform; it is a visionary initiative set to redefine ecommerce in India. Sellers who are trying to get online exposure can switch to this open network with ease and mark their presence across India.


Vikra offers a comprehensive selling solution for such sellers to join and thrive on the ONDC Network. In the form of a seller app, Vikra simplifies setting up an online store, tracking inventory, fulfilling orders, and streamlining operations for sellers on the ONDC Network. On top of that, Vikra's free onboarding assistance, its integrations with Zoho Finance apps, and personalized operational support help sellers sell and scale on the ONDC Network without hefty upfront investments.

Ready to sell on the ONDC Network?


List your store on the ONDC Network with Vikra to get started. If you have any questions, feel free to drop them in the comments section below. Book a demo with our product experts, or reach out to us at presales@vikraseller.com for more specific details.


Happy selling!

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