Product details

Open Network Digital Commerce (ONDC) was an initiative of the Government of India to curtail monopolies in the e-Commerce space and give every player access to the e-Commerce platform. In the online food delivery space, ONDC was expected to end the Swiggy-Zomato duopoly. Through ONDC, consumers could order food directly from the restaurant without the intervention of a third-party like Zomato or Swiggy. ONDC did not take any delivery fee from the consumers and charged the restaurants a lower commission than Zomato and Swiggy. However, experts said that it was too early to conclude something about ONDC. When food was ordered via Zomato or Swiggy, these sites delivered the food via their own delivery personnel. However, in case of ONDC, the restaurant had to send its own runner, which created difficulties. If a restaurant received several orders at once, it might not be possible to serve them all. ONDC would be more effective when it would expand its market beyond 20-30 million consumers served by Swiggy and Zomato, expand into Tier II and Tier III cities, smaller towns, and bring more Indians into the online food delivery platform. Against this backdrop, was ONDC a potential rival to Zomato and Swiggy?