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ONDC is an open network protocol that connects local sellers to digital buyers across different platforms, supporting small merchants and small businesses.
The Open Network for Digital Commerce (ONDC) is an initiative by the Government of India designed to democratize e-commerce. It uses open specifications to allow buyers and sellers to connect across different applications, rather than relying on a single platform.
Backed by the DPIIT, ONDC functions as an open network, similar to how UPI works for payments. It allows small retail businesses to access digital markets without paying high commissions to dominant platforms.
ONDC demonstrates how open-source infrastructure can help small businesses participate in the digital economy.
Lower commissions help small retail businesses go digital, promoting local economic growth and marketplace competition.
Local sourcing and delivery routing help optimize logistics, reducing transport emissions.
| Metric | 🇮🇳 India | Other |
|---|---|---|
| Network Architecture | Open-Protocol (Interoperable) | Closed Loop Platform (USA (Amazon)) |
| Merchant Commission | 3% to 8% | 20% to 35% (Closed Platforms) |
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