ONDC seem Biggest Threat for Swiggy/Zomato
Price of McDonald’s Burger ð
• Swiggy/Zomato - ₹282.5
• ONDC - ₹109.4
Over 60% Savings for Users
This is UPI Moment for India’s E-Commerce ð
Let’s decode this
Commission (18-24%) is the Biggest Head for Restaurants,
They also pay Platform Fee & Taxes
This eventually increases the overall cost for users, also less profit margin for Restaurants
While ONDC is Building a Sustainable Ecosystem
Restaurants just pay 2-4% commission, Delivery cost to be paid by Users
Read More on this - https://inc42.com/features/restaurants-have-ondcs-back-to-end-swiggyzomato-duopoly-will-they-succeed/
To be clear & Takeaways
• There’s no separate app for ONDC, you can’t find directly on the App Store
• ONDC is an Ecosystem, currently you can use Paytm & a few other integrated apps
• ONDC is still in Beta and available in selected cities
Restaurants can offer better pricing to users because they save aggregator (Swiggy/Zomato) Commission
• This is not Cashback & Discount Driven so seem sustainable for the Entire Ecosystem
• Apart from Food Ordering, there are many other Categories & ONDC is Expanding Fast
In the next 5 years, ONDC expects to sign up 900 million buyers and target 1.2 million sellers on the shared network, with a GMV of more than $48 billion.
Giant platforms like Amazon and Flipkart will lose their influence over more than 60% of India's e-commerce sector. If ONDC is successful in meeting its purpose,
In easy words, users will be able to access many sellers on ONDC through any app that is live on the network.
Sellers will handle deliveries through the tie-ups with logistics firms. ONDC will also have services like accounting and payment processors etc. for sellers.
With the launch of ONDC, one more big milestone has been added to the robust public digital infrastructure in India ðŪðģ
It could be a game changer and decentralisation of the e-commerce Industry in India.
Source: inc42.com ,ondc.org, @Paytm.
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