Beginner’s Doubts (FAQ’s) on ONDC – Open Network for Digital Commerce

Are you new to the world of online commerce? Have you heard about the ONDC (Open Network for Digital Commerce) but found yourself filled with doubts and questions? Don’t worry, you’re not alone! The world of digital commerce can be complex and overwhelming, especially for beginners.

In this section, we aim to address all those burning questions and clear up any confusion surrounding the ONDC. So, whether you’re wondering what ONDC is, how it works, or what it means for the future of online business, get ready to have all your beginner’s doubts on ONDC answered in simple, straightforward language. Let’s dive in and unravel the mysteries of this exciting new digital commerce network together!

What is ONDC, Simply?

In simple terms, ONDC, which stands for Open Network for Digital Commerce, is a network that aims to make online shopping more accessible to small businesses. It is a government-supported initiative that provides a platform where anyone can buy and sell goods and services. Unlike traditional e-commerce platforms, ONDC doesn’t have any limitations imposed by a specific company.

ONDC works on a large scale, focusing on what works best for everyone involved. It creates a digital network where buyers, sellers, and service providers can freely communicate and conduct business without any restrictions. This initiative not only gives small businesses a fair chance but also benefits both sellers and buyers across India by increasing the reach of e-commerce.

Some people compare ONDC to UPI (Unified Payments Interface) for e-commerce. Instead of relying on a central company, the open network allows all buyers and sellers to connect directly. This means that any seller can connect with any buyer and service provider. When a buyer uses the ONDC buyer app, they can easily find a wide range of sellers and service providers. They can choose their preferred combination of sellers and service providers, including options for delivery partners and payment channels.

ONDC opens up opportunities for small businesses, removes limitations imposed by specific platforms, and allows buyers and sellers to connect directly for a smoother and more inclusive e-commerce experience.

Why was ONDC created and what does it aim to achieve?

ONDC is a unique and innovative initiative that wants to change the way digital commerce works in India. It aims to achieve several goals:

  • Creating a marketplace that is open, inclusive, and competitive, where different platforms can work together smoothly.
  • Making it possible for people to engage in digital commerce even with limited digital infrastructure.
  • Building a scalable system that can be used by a large population.
  • Making digital commerce more friendly and accessible for small businesses.
  • Encouraging creative and innovative ideas in the field of digital commerce.
  • Ensuring that both small businesses and consumers quickly embrace digitalization.

How does ONDC work?

Currently, the way digital commerce works is centered around specific platforms. Buyers and sellers are tied to these platforms, and if a seller wants to switch to a different platform, they have to start over from scratch. They can’t carry over the trust and value they built on one platform to another.

ONDC e-commerce aims to change this setup by introducing trust and portability across the network. This means creating a system that is driven by facilitators and allows different entities to work together seamlessly. ONDC is based on the idea of unbundling and interoperability, which means breaking down the e-commerce process into different parts and enabling different entities like sellers, logistics service providers, payment solution providers, and tech solution providers to work together to complete the entire process from ordering to payment to fulfillment.

In simple terms, ONDC e-commerce matches the demands of online buyers with the closest available source of supply. Buyers have the freedom to choose any product, service, seller, or service provider using any ONDC-compliant application or platform. This opens up more options and flexibility for both buyers and sellers in the digital commerce ecosystem.

Example of how ONDC will work for Sellers and Buyers.

ONDC will create an ecosystem where there are many sellers, logistics providers, and tech service providers for e-commerce. In this ecosystem, sellers can choose any tech solution provider to build their online store and connect with any logistics provider to deliver orders to customers.

For customers, this means they have a wide variety of sellers to choose from when searching for products. Unlike traditional marketplaces where buyers are limited to the sellers and logistics providers offered by the platform, ONDC allows buyers to select any seller and logistics partner they prefer. For example, buyers can choose a seller that offers the best price for a product and select a delivery partner that provides fast shipping.

By providing the freedom to choose from a large range of products and services, ONDC is promoting significant growth and changes in the e-commerce industry. It opens up new possibilities and options for both sellers and buyers, leading to disruptive advancements in the e-commerce sector.

What is the Vision of ONDC?

Traditional eCommerce has its flaws and often sidelines smaller players. But there’s good news! The Open Network for Digital Commerce (ONDC) is here to change that. ONDC, a government-led initiative, aims to empower regular Indian sellers and give them a fair chance. It allows businesses of all sizes to reach their target audience without any unfair policies.

Let’s understand what ONDC can do for Indian markets by looking at the example of the Kirana shops. In India, there are over 1.1 crore local Kirana shops, making up 80% of the retail industry. However, many of these shops are not digitally present, which means there’s huge potential for them to grow by becoming part of the eCommerce revolution. Currently, less than 25% of internet users in India are active online shoppers, yet India ranked third globally in terms of online shopping in 2021.

Imagine if all the Kirana shops could sell their products online, and more internet users could buy directly from them. That’s the vision of ONDC – to break the monopoly of big eCommerce players and empower smaller businesses. This will benefit both sellers and buyers, and it will also strengthen the Indian economy as more businesses embrace digital commerce. ONDC is not about creating a single regulatory body or absorbing all shopping platforms; it’s about enabling small businesses to thrive in the digital world.

What Makes ONDC a Masterstroke?

With the ONDC network, small shopkeepers can dream big! They can operate their own legitimate online stores without facing unfair policies or high commission rates imposed by big eCommerce companies. ONDC India supports inclusivity, accessibility, and compatibility, allowing even the smallest businesses targeting niche audiences to join.

Both consumers and businesses can compete with major e-commerce platforms on an equal footing, and those providing better service will thrive. The goal of “Mission ONDC” is to provide sellers with user-friendly software solutions that help them establish a digital presence effortlessly. Even those new to e-commerce can manage tasks like catalog management, handling customer queries, and updating product information using the ONDC seller app.

Registering as an ONDC-affiliated seller through the ONDC Seller App is simple and free. There are no subscription fees, and sellers gain instant access to a seamless admin dashboard that facilitates sales and business management processes with ease.

Will all products show on all Buyer Apps of ONDC?

The great thing about ONDC is that all merchants connected to the network have equal visibility, regardless of the buyer app the customer is using. You can easily search for your favorite brands based on categories. The ONDC Buyer App is designed to support all types of products and services available on the open network and is accessible to buyers all across India. So, no matter which app you use, you can find and purchase items from various merchants on the ONDC network.

How can I pay for my order on ONDC?

The ONDC buyer app makes it easy to pay for your orders with multiple payment options. Here’s a simple guide on how to make an online payment using your ONDC buyer account:

  • Add the desired product to your cart.
  • Click on “Place order.”
  • Enter your shipping address.
  • Choose your preferred payment method, such as card, UPI, net banking, or e-wallet.
  • Click on “Pay Now” to complete the payment process swiftly and smoothly.

How will my ONDC order get delivered? Can I track my orders?

After placing an order through any ONDC-compatible buyer app, the merchant will receive a notification about the product on their ONDC seller app or another seller app they use. From there, the merchant has two options: they can use their own delivery team to send the order, especially for nearby areas, or they can rely on an on-network logistics partner to fulfill the orders.

Additionally, with the ONDC buyer app, buyers can easily track the status of their orders. This means they can stay updated on the progress of their purchase, knowing when it’s shipped, out for delivery, or delivered to their doorstep.

What if the product I receive is not what I expected? What if it’s the wrong size or of poor quality?

If you didn’t like the product you received, don’t worry! You can easily request a return or cancellation from the seller using your buyer app. If you’re using the ONDC Buyer App, go to the “Orders” section in your user dashboard, select the product you want to return, and click on “Return.”

Please note that certain products may not be eligible for a return, and this information will be shown on the product page. For eligible returnable orders, you can initiate the return process from the “My Account” section. Make sure the product is in its original condition. The seller will arrange for a delivery person to pick up the order from your location.

Can I get a refund for my order?

Yes, buyers can ask questions about other products or request a return or refund using their ONDC buyer app. However, it’s important to note that it’s recommended to check the seller’s return and refund policy before placing an order to avoid any last-minute complications. Once the seller receives the returned products, the refund will be processed accordingly.

What makes ONDC unique compared to other marketplaces?

It’s surprising to learn that around 90% of Indian sellers are not connected to any e-commerce platform and even those who are face challenges in gaining visibility and transparency. However, the ONDC seller platform has been a game changer for sellers, making it easy for them to list their products seamlessly. Here are some key ways in which ONDC differs from other marketplaces:

  • ONDC follows an open-network model, moving away from the platform-centric approach. Buyers and sellers can connect and do business without being restricted to the same platform.
  • The ONDC portal provides more options for sellers and buyers, creating a unified platform where various entities like sellers, logistics providers, delivery partners, tech partners, and millions of customers can interact more extensively.
  • Unlike privately-owned and regulated marketplaces, ONDC is not controlled by a single business entity. Sellers on ONDC don’t have to deal with issues like contractual lock-ins, or preferential algorithms, and enjoy greater transparency.
  • Sellers can build their reputation on the ONDC platform and carry it with them if they switch from one seller app to another within the platform.
  • Compared to the high commissions charged by popular marketplaces, sellers can access the ONDC platform at a much lower cost. With the ONDC seller platform, the aim is not to eliminate the big players from the e-commerce industry. Instead, it empowers all sellers, regardless of their size, with a robust and user-friendly seller interface, such as the ONDC seller app, to grow their business.

Is ONDC for small businesses only?

Absolutely not! Although the main goal of ONDC is to support small and medium-sized enterprises (SMEs), it’s important to know that businesses of all sizes can take part in this initiative. Whether you’re a tiny seller in a rural area or a big merchant in a bustling city, the open network is available to everyone. It offers a fair chance for both small and large enterprises to be a part of the booming e-commerce industry in India. The platform is designed to assist sellers in improving their interactions with customers and expanding their reach to a larger audience, all while keeping costs low. No matter the industry, any merchant can use ONDC to sell their goods or services and benefit from this inclusive platform.

Is selling on ONDC complicated?

Absolutely not! The ONDC platform is specifically designed to be user-friendly for sellers. Registering on the ONDC platform is a simple process, and even someone who is new to online selling can easily create a presence on the platform. With just a few easy steps, sellers can showcase and sell their products using one of the many seller apps available.

The ONDC seller app is built with advanced technology and provides a range of features that make online selling a breeze. Its user-friendly admin dashboard allows sellers to easily manage and expand their businesses. The app includes integrated shipping options, multiple payment choices, effortless inventory management, and order tracking, among other features, to ensure seamless handling of business operations.

Can all industries sell on ONDC?

Absolutely! ONDC has expanded beyond groceries and F&B to include various industries in a phased approach. Sellers from different sectors are already selling on the platform. Small retailers, kirana shops, home decor sellers, gadget and electronics businesses, the food industry, fashion and cosmetics sellers, and more have joined the e-commerce industry through ONDC. In the near future, ONDC plans to open the platform for restaurants and cloud kitchens in New Delhi, and there are also plans to include B2B, grocery sellers. These sellers can tap into a customer base of 250 million buyers across multiple cities in India.

The ONDC seller app simplifies the integration of sellers with logistics and service providers. It offers scalability, allowing sellers to upload a wide range of products from various industries. The app provides advanced e-commerce solutions to support businesses in their online selling endeavors.

Will ONDC cause unfair competition?

Definitely! ONDC is built on the principle of fairness and unbiased support for businesses. Unlike popular marketplaces that favor larger sellers with advertising and privileged placement, the open network treats all sellers equally.

Unlike these marketplaces, ONDC doesn’t engage in unfair practices like launching their own products based on best-selling data and undercutting prices. ONDC provides sellers with insights to help them grow their businesses and maintains transparency by giving sellers full control of their data. Being a non-profit organization, ONDC doesn’t manipulate pricing or marketing strategies to promote its own products.

Sellers on the ONDC platform have the freedom to choose any seller app they prefer. Even if a seller starts with a different app, their reputation and history can be carried over to the ONDC platform seamlessly.

With numerous sellers participating on the same platform, competition is fierce but fair. ONDC ensures that no seller receives special treatment based on size or paid advertisements. Its goal is to democratize e-commerce in India and create an environment of equal opportunity for all sellers.

Do sellers need to pay huge commissions?

No worries! ONDC is here to be your preferred online selling platform. Unlike the big marketplaces that charge high commissions, the ONDC platform will charge sellers a much lower commission fee.

While there will be some small commissions charged by seller apps, buyer apps, logistics providers, and eventually ONDC itself, the combined total of these costs for sellers will be only a fraction of what they usually pay to the monopolistic giant marketplaces.

Are merchants from all industries able to sell on ONDC?

Yes, merchants from all industries are welcome to sell on the ONDC seller app. While the pilot phase initially focused on groceries and F&B, the ONDC network has expanded to include a wide range of industries. Whether you’re selling Kirana products, electronics, home decor, fashion, cosmetics, or any other goods, the ONDC platform provides an opportunity for businesses of all types to join and connect with millions of buyers across various cities in India. For more details on domains on ONDC click here.

What are the benefits for sellers when they sell on ONDC?

Selling on ONDC, a government-backed initiative, brings several benefits to sellers in the Indian e-commerce market. Here are some advantages they can enjoy:

  • The easy registration process to sell or buy on ONDC.
  • Access to a vast customer base without additional effort.
  • Quick market entry with comprehensive e-commerce solutions from the ONDC Seller App.
  • Freedom from high commission rates and unfair practices of large marketplaces.
  • Effective marketing tools and cutting-edge e-commerce solutions are provided by the ONDC Seller App.
  • Ability to reach customers in remote areas through hyperlocal deliveries with approved logistics partners.
  • Independence to set return policies, delivery time, and other business terms.
  • Access to data-driven analytics for strategic growth.
  • A portable reputation that can be carried across different seller apps on the open network.

How can I begin selling my products on ONDC?

To begin selling your home decor products on ONDC through the ONDC seller app, follow these simple steps:

  1. Sign up for a seller account on the ONDC seller app using your GSTIN and bank information.
  2. Upload your home decor products onto the seller app.
  3. Start receiving orders from customers.
  4. Collaborate with shipping and logistics providers for smooth deliveries.
  5. Receive payments in your preferred bank account. And just like that, you’re all set to sell your products on the ONDC network.

What is ONDC Seller App?

The ONDC Seller App is a platform designed specifically for sellers to participate in the open network of digital commerce. It provides a fair and balanced opportunity for sellers to establish their online presence, without the dominance of major marketing platforms. To sell on ONDC, sellers can register on an advanced and feature-rich seller app like the ONDC Seller App.

The ONDC-connected seller app operates as an open network marketplace, liberating sellers from the limitations of monopolistic platforms. It allows sellers to showcase their products and services to customers across India, fostering direct communication and enabling the development of personalized customer relationships.

By joining the ONDC network, sellers gain access to a wide customer base throughout India and can enhance their selling experience by competing with larger marketers. Unlike traditional marketplaces that restrict seller control, ONDC-connected seller apps empower sellers to implement their own strategies and take charge of their success.

How does the ONDC Seller App function?

Here’s a simplified version of the steps to start selling on the ONDC network:

  1. Register: Sign up on an ONDC-compliant seller app to expand your brand’s reach across the country.
  2. List your products: Easily manage your product listings on the ONDC network, and set prices, offers, and discounts, giving you more control compared to other e-commerce platforms.
  3. Receive orders: Stay updated with notifications on your seller app whenever a customer places an order, and confirms the order to proceed with selling on ONDC.
  4. Connect with logistics partners: Collaborate with logistics providers who offer discounted rates and fast delivery options, ensuring a smooth shopping experience for your customers.
  5. Receive payment: Once the order is confirmed, conveniently receive payment through the admin panel of the ONDC seller app, like the ONDC Seller App admin panel.

These steps will help you kickstart your journey as a seller on the ONDC network.

Do ONDC seller apps support hyperlocal deliveries?

We all know that most shoppers want their orders to be delivered on the same day. This shows how important fast deliveries are in online shopping nowadays. With the ONDC seller app for ONDC, merchants can make their customers happy by providing quick deliveries within their local area. The ONDC Seller App makes it easy for merchants to connect with different shipping services approved by ONDC, so they can offer fast hyperlocal deliveries to their buyers. It’s all about making sure that the orders reach customers quickly and conveniently.

What is the ONDC Buyer app?

The ONDC buyer app is an app that connects buyers with sellers and other service providers who are part of the ONDC network. It’s like a platform that brings together all the sellers, buyers, logistics, and tech service providers in one place to make online shopping easier. Just like UPI (Unified Payments Interface) simplifies payments, ONDC simplifies the process of connecting buyers with various sellers. These sellers can be individuals or those already selling on different platforms.

ONDC creates a system where different buyer apps, like ONDC Buyer App, PayTm, or PhonePe, can interact with each other if they are registered on the ONDC network. These buyer apps are the different apps that buyers can use to explore and find products or services within the ONDC network. It’s all about making it convenient for buyers to discover and purchase what they need from different sellers using various apps.

How does the ONDC Buyer App work?

To understand how buyer apps work on the ONDC network, let’s take an example of a buyer named Raj who is searching for everyday grocery items, specifically soya milk. Raj uses a buyer app like the ONDC Buyer App to search for “soya milk”. The app sends this search request to a central network registry, which looks for available sellers and their prices.

In Raj’s search for soya milk, he receives results from three sellers: Geeta Stores selling at Rs. 70 per liter with a delivery charge of Rs. 20, Sharma Milk Depot selling at Rs. 85 per liter with a delivery charge of Rs. 25, and Modern Kirana Store selling at Rs. 65 per liter with no delivery charges.

Raj decides to choose Modern Kirana Store as they offer soya milk at a lower price, but he still needs a delivery service to deliver the order. He searches for nearby delivery partners on the ONDC network and gets two results: Dunzo charging Rs. 50 for deliveries up to 5 kilometers, and Porter charges Rs. 15 for deliveries up to 3 kilometers.

Finally, Raj chooses Porter Delivery service as his home is just 1 kilometer away from the Modern Kirana Store. By paying Rs. 15 for delivery services, he is able to get his soya milk for a total of Rs. 80. The ONDC buyer app helped Raj make an informed decision by comparing different prices and choosing the most economical option for soya milk.

Are ONDC Buyer Apps secured?

Yes, absolutely. ONDC takes data security seriously and ensures it through a two-factor authentication process. This means that when you use the ONDC buyer app, you’ll have an extra layer of security to protect your data. However, it’s important to note that the level of security may vary between different buyer apps on the ONDC network. That’s why it’s essential to choose a reputable and reliable ONDC buyer app.

When you use the ONDC buyer app to make purchases, you can have peace of mind knowing that your personal and financial information is safeguarded. The app employs end-to-end encryption, which means that your details are encrypted from the moment you enter them until they reach their destination. This encryption ensures that your information remains private and secure throughout the transaction process.

So, when it comes to using the ONDC buyer app, not only is it quick and convenient for making purchases, but it also prioritises the security and protection of your data.

How will the ONDC Buyer App revolutionize the Indian e-commerce market?

The ONDC network is set to revolutionize the Indian e-commerce market. In the past, buyers were limited to a single platform and its offerings. For example, in a non-ONDC environment, Raj would have had to purchase his soya milk from popular marketplaces like Amazon, Blinkit, or BigBasket.

However, within the ONDC network, Raj and other buyers have the freedom to use any Buyer App registered with ONDC. These apps will display all available sellers for the searched product, with a focus on hyperlocal sellers. With even local Kirana shops going online through ONDC, buyers will have a wide range of options for faster and more affordable products and services. The open network of ONDC will democratize digital commerce and provide buyers with an abundance of choices.

Do I need separate ONDC buyer apps for shopping different product categories, such as clothing and agricultural products?

No, you don’t need different ONDC buyer apps for shopping different product categories. ONDC simplifies your shopping experience by bringing the entire Indian marketplace to one place. With any compliant buyer app, you can easily search for items across various categories like food, groceries, fashion, agriculture, and more. There’s no need to create multiple profiles or switch between different platforms. The ONDC Buyer App is designed to be a convenient and comprehensive solution for all your shopping needs on ONDC.

What payment options are supported on ONDC Buyer Apps?

The ONDC platform provides different payment options for your convenience, especially when you use a fully compatible ONDC Buyer App. When making a purchase, you can select from the available secure payment methods provided by the merchant. These options may include using credit or debit cards, net banking, or popular digital payment methods like UPI or e-wallets. Simply choose your preferred payment method during checkout by clicking on the “Place Order” button in your ONDC Buyer App.

Do ONDC Buyer Apps provide order tracking and return support?

While not all buyer apps have built-in order tracking, but, most of the ONDC Buyer Apps offer a convenient way for buyers to track their package delivery. On the ONDC Buyer App, you can easily find the order tracking information by visiting the “My Orders” tab on the dashboard. From there, you can select the specific order you want to track and click on the “Track Package” option. This will provide you with real-time updates on the delivery status of your package.

It’s important to note that the return and refund policies may vary depending on the merchant you purchased from through the ONDC Buyer App. If you wish to initiate a return for an order, you can do so by accessing the “My Account” section on the ONDC Buyer App.

Can you give a brief explanation of ONDC from a buyer’s point of view?

ONDC has transformed the way we shop online. Before ONDC, each marketplace operated independently, making it challenging for buyers to compare options. However, with the introduction of ONDC, buyers can now use a compatible ONDC Buyer app to easily find their preferred sellers, compare prices, and estimate delivery times.

You can even search for sellers near your location to receive orders quickly. What makes ONDC even more exciting is that you can shop across various categories, including groceries, electronics, fashion, toys, and much more, using any buyer app that is compatible with ONDC. It opens up a world of choices and convenience for buyers.

Why choose to shop on ONDC benefits buyers?

Shopping on the open network for digital commerce (ONDC) offers several advantages for buyers. Here are some of the benefits:

  • Convenience: Buyers can access a wide range of products and services from various domains all in one place. Whether it’s groceries, clothing, or delivery services, they can find everything they need on the ONDC platform.
  • Variety: ONDC provides access to both big sellers and small and medium-sized enterprises (SMEs) in the same marketplace. This means buyers have a wider selection of products and sellers to choose from, catering to their specific preferences.
  • Unified Experience: Unlike other marketplace platforms, ONDC offers a unified experience, allowing buyers to seamlessly navigate between different categories and services. They can explore and purchase products without the need to switch between multiple platforms.
  • Expanded Options: ONDC presents buyers with a greater range of choices for products, delivery solutions, prices, and additional services. This enables them to make informed decisions and find the best options that suit their needs and budget.
  • Faster Hyperlocal Fulfillment: With the integration of hyperlocal sellers and delivery partners, ONDC facilitates the quick and efficient delivery of products within the local vicinity. This ensures faster fulfillment of orders, leading to enhanced customer satisfaction.
  • Improved Buying Experience: ONDC buyer apps are designed to enhance the overall shopping experience for buyers. These apps provide user-friendly interfaces, features for order tracking, seamless payment options, and personalized recommendations, making the buying process more enjoyable and convenient.

Shopping on ONDC offers buyers convenience, a wide variety of choices, a unified experience, faster deliveries, and an improved buying experience through the use of ONDC Buyer Apps.

How can I place an order on ONDC?

First, make sure you have an ONDC buyer app installed on your device. This app will allow you to shop on ONDC.

  1. Browse products: Open the ONDC buyer app and explore the wide range of products available. You can search by category, brand, or seller. The advanced features of the app also let you use filters to find specific products.
  2. Add products to the cart: When you find a product you want to buy, simply tap the “Add to cart” button. This will add the item to your shopping cart.
  3. Review your cart: Take a moment to review the items in your cart. You can edit the quantities or remove any unwanted products.
  4. Proceed to checkout: Once you are satisfied with your cart, click on the “Place order” button. If you are a first-time buyer, you will need to enter your shipping address and payment details at this stage.
  5. Make payment: Choose your preferred payment method from the available options, such as e-wallets, credit cards, or net banking. Follow the instructions to complete the payment securely.
  6. Receive product delivery: After the payment is successful, your order will be processed, and the integrated on-network delivery providers will take care of delivering your products. You can track the progress of your order in real time using the ONDC buyer app.

That’s it! By following these steps, you can easily place an order on ONDC and enjoy the convenience of shopping from a wide range of products through a user-friendly buyer app.