In the near future, the COVID-19 pandemic will be considered a crucial factor by different industries. Well, even though the world managed to survive this pandemic, it has caused great shifts in how people think about different aspects of their lives. On the other hand, social interactions, physical health, entertainment diversity, digital transformation and e-commerce are some of the areas that have been completely changed after the pandemic. However, a domain that has witnessed some major changes is digital commerce. And the Indian government is now creating some effective plans for digital commerce to strengthen its e-commerce model. Let's talk about this in detail here.
Experts say the current market scenario needs to be changed to expand the digital commerce industry, and it can happen through huge participation from sellers and customers. The approach of a Platform of Platforms may feel logical, but it may not be able to solve trust issues, universality, and storage problems. That's why a paradigm shift from a monolithic platform-based approach to decentralize the facilitator-driven network is needed to deal with these challenges.
Well, India's Plans to Reinvent Digital Commerce have become a hot topic as it has been anticipated that the new approach can be a major threat to the expansion strategies of U.S. tech companies. Besides, it can be an effective model for various developing nations that want to take advantage of digital payments, e-commerce, and different online services without the help of any big tech giants. And the new approach is the Indian Government's ONDC- Open Network of Digital Commerce. As per the experts, this can offer a much-needed boost to the infrastructure and economy of India. ONDC is a new initiative of the DPIIT- Department for Promotion of Industry and Internal Trade.
It may be noted that the ONDC, which was created to bring Re Development in Digital Commerce, went live in Bangaluru. The ONDC happens to be an interoperable network that is designed to help small businesses or retailers loosen the grip of Flipkart and Amazon. ONDC will allow the display of all the products and services from various e-commerce platforms.
According to research conducted by Growth Jockey, the nation is taking such impressive steps as it is now strongly pursuing multiple antitrust cases against companies like Amazon, Google, Meta Platforms, and more. Even though this strategy for Re Development in Digital Commerce is in progress, it has demonstrated how India, which has the second-largest internet user population in the world, wants to boost its digital economy.
It may be noted that more than 30 companies in India are now planning to opt for the ONDC, including Paytm, Google, Reliance Retail, and more. If you want to ensure constant growth of your business, then it's time to take advantage of ONDC, and Growth Jockey can help you with this, ensuring a successful digital transformation of your business.
As mentioned above, ONDC utilizes different open-source protocols to eliminate monopoly in the Indian e-commerce ecosystem. Most stores face challenges due to a platform-centric e-commerce model. But it is expected that the introduction of ONDC can facilitate fair competition by offering businesses access to technologies and processes generally deployed by big e-commerce platforms.
On the other hand, by standardizing inventory management, fulfilment, order management, and other crucial operations, ONDC can assist small business owners by lower the expenses of conducting business online. Furthermore, with efficient open-source protocols for price discovery, vendor match, and product cataloging, Growth Jockey's E-Commerce Model can bridle predatory pricing, deep discounting, and more in e-commerce.
ONDC will turn the operator-driven e-commerce ecosystem into a decentralized network. That means all the participants will enjoy equal opportunities. As there will be no requirements for large investments, every seller can easily enter into the growing digital marketplaces. It can also increase local start-ups’ representation in e-commerce.
With a large number of sellers available in one place, ONDC will allow customers the freedom to choose different products across various price points. ONDC will help reinvent the digital commerce scenario in India by standardizing various operations, eliminating digital monopoly, promoting the inclusion of local suppliers, enhancing consumer value, and boosting logistic efficiencies. Want to know how ONDC can help your e-commerce business? Get in touch with Growth Jockey now! With our help, you can keep yourself updated with such latest Trend in Digital Marketing and experience proper growth.
Speaking about the current scenario, if customers want to buy a product or service, they will have to visit different websites or use multiple apps to do so. And in different places, they may face issues comparing product features and prices. To make it simple, ONDC will support all the crucial product details listed by different retailers and platforms, such as Myntra, Amazon, Flipkart, and more. There is no need to use different applications for this.
As per the experts, ONDC has some unique features as well as advantages that will make it different from other platforms. Some advantages to consider here are:
Better Discoverability- As mentioned above, ONDC can make it easier for both sellers and buyers to easily get discovered on the platform. It will provide them with exposure to the whole market of the country.
Inclusivity- ONDC is one of the most effective Plans for Digital Commerce, and it is developed so that people from different cities in India can take advantage of this platform by registering themselves. After all, it is created for the people of India.
Interoperability- Small retailers, as well as traders, can get themselves registered on ONDC and begin selling their products in different parts. As a result, this offers them opportunities to grow in tough conditions.
It also has some other useful elements, like the Open Credit Enablement Network, that can help codify common credit standard rules for fintech intermediaries, lenders as well as borrowers.
If you are a small trader or an MSME and planning on Investing in E-Commerce Model like ONDC but require expert support, then Growth Jockey can be the right partner for you. We have helped many businesses to attain a successful and faster Digital Transformation.
Many participants are now joining the new ONDC network. Well, more digital payment participation, providing an instant, convenient and seamless user experience, is needed to boost conversion in the Open Network of Digital Commerce. For now, this new India Digital Commerce network is being tested in Bhopal, Coimbatore, Shillong, Bengaluru, and Delhi.
According to some reports, it will be gradually rolled out in 70 to 100 towns in the coming year. And in the next 5 years, it is projected that the network will attract more than 1 million sellers and 700+ million buyers. The projected GMV- Gross Merchandise Value is around USD 48 billion. It may be noted that, in the year 2020, the total GMV for the county's e-tail sector was USD 38 million. By the end of 2025, it is projected to cross USD 140 billion mark, and in 2030, it may go up to USD 350 billion.
If it becomes successful, then it can create a major threat to US-based companies such as Amazon. And it can be true if this E-Commerce Model
is exported to other developing countries that want to get rid of the U.S. tech companies' power.
ONDC can transform India's digital commerce landscape. For startups, it can offer the benefits of unlimited discovery and visibility opportunities to sellers, logistic partners, and customers. It can be used by businesses in food delivery, grocery, hotel booking, mobility, and more. It is a seller's passport to move anywhere on ONDC. This model can also change the business's advertising model to a transaction from impressions.
It can be said that ONDC can create some new business opportunities and can support e-commerce businesses and MSMEs to expand their networks. With this, it will be much easier for business owners to enter the developing and profitable digital commerce space. As it offers access to a huge customer database, businesses will be empowered to get analytical insights to sell the products and services across the different digital plans. And it will not be wrong to say that it can go global.
If you have an e-commerce business and want to witness constant growth, then you need New Strategies for Digital Commerce, and this is where Growth Jockey comes to play. We are here to help you in attaining their desired business goals by deploying the latest technology and strategies.
At Growth Jockey, businesses can easily take advantage of any growth opportunities. We equip CXOs, including COOs, CDOs, CEOs, and more, with the right Digital Strategy to solve the core issues and keep the business unit running smoothly. Contact us today and scale your business with our expert solutions in digital commerce !