Open Network for Digital Commerce (ONDC), the government’s initiative to democratise e-commerce in India and enable millions of small traders take advantage of opportunities in the e-commerce space, has been increasingly onboarding multiple partners, who are now all set to take ONDC to the last mile.
Startups such as Paytm, PhonePe, , Shiprocket, Meesho, Delhivery, Dunzo, Zoho, Spice Money, among others have joined the initiative.
Spice Money being the category creator for rural fintech, is uniquely positioned to be the torchbearer, owing to its expertise and understanding of the rural market, stated Sanjeev Kumar Co-Founder, Executive Director & CEO at Spice Money.
”Spice Money is positioned to become a strategic ally in this initiative. Currently, consumers in rural India lack access to a wide range of products. Through our Buyer App, Spice Money will enable rural consumers to shop online for all categories of products from the large network of sellers on ONDC.”
The current market penetration of ecommerce, in terms of the overall economy, stands at 8%. With ONDC, it is expected to grow to 25% in the next two years.
Speaking about the opportunities for e-commerce in rural India, Kumar said, “A report from the Internet and Mobile Association of India (IAMAI) and consulting firm Kantar found that there would be a greater number of internet users in rural India than urban by 2025. With almost 65 percent of India’s population living in rural areas, e-commerce players would have access to a vast and previously-untapped market.”
Logistics unicorn Delhivery, which went live on ONDC in December 2022, recently collaborated with tech startup eSamudaay to enable rural businesses to scale by serving customers across India.
The collaboration effectively broadens the footprint of local products and is in sync with the government’s Make in India for the world, as per a media release.
Tech startup eSamudaay has launched a tech-enabled platform called TyohaarForever to curate India’s diverse range of hyperlocal products produced by local artisans.
Through the collaboration, the tech startup will leverage Delhivery’s pan-India network of more than 18,400 pin codes to make these local products accessible across the country, according to the statement.
The platform has enabled the first set of cross-country orders for raw, unpasteurised Himalayan Honey produced by Tenacious Bee Collective, a startup that brings local farmers on a single platform with apiarists and scientists.
Giving an example, the Gurugram-headquartered logistics provider said its field executive picked up the products from Jia valley, located in the Kangra district of Himachal Pradesh, to transport the goods to Delhi, Mumbai, and Bengaluru.
Stating that he was delighted to see two network partners — Delhivery and eSamudaay — enable ‘Tenacious Bee Collective,’ on-board onto ONDC to take its products to customers across India, T Koshy, Managing Director and Chief Executive Officer, ONDC, said, “ONDC, with its agenda of democratising digital commerce, aims to bring the smallest of sellers onto the network and provides them with a level playing field.
Ajith Pai, Chief Operating Officer, Delhivery, added that Delhivery’s technology-enabled, fully-integrated logistics solutions, will enable entrepreneurs and businesses from the remotest villages and settlements to serve customers across the country.
Network partners also pointed to the fact that ONDC is an emerging platform that is providing a host of services to small merchants that help them increase efficiency, reduce costs, and boost customer engagement.
“With ONDC, there will be greater discoverability of these kirana stores as well as their products, ranging from confectionaries to groceries, which buyers can order on any buyer side platform of their choice,” added Kumar.