Understanding ONDC: India's Digital Commerce Revolution
The open network breaking marketplace monopolies
What is ONDC?
The Open Network for Digital Commerce (ONDC) is a Government of India initiative designed to democratize e-commerce through an open, decentralized network—similar to how UPI transformed payments.
Unlike traditional marketplace models where sellers are locked into single platforms, ONDC enables interoperability: any seller can be discovered by any buyer across multiple apps.
ONDC Benefits Breakdown
For Sellers
- No platform lock-in
- Lower transaction costs (2-3% vs 15-25%)
- Direct customer access
- Fair competition
- Data ownership
- Flexible pricing control
For Buyers
- More choices
- Better prices
- Hyperlocal discovery
- Cross-platform shopping
For Economy
- MSME digitization
- Job creation
- Reduced digital divide
- Competitive market
How ONDC Works
Traditional E-commerce
ONDC Model
ONDC vs Traditional Marketplaces
| Feature | Traditional Marketplace | ONDC Network |
|---|---|---|
| Commission | 15-25% | 2-5% |
| Seller Control | Limited | Full |
| Customer Data | Platform owns | Seller owns |
| Visibility | One platform | 50+ buyer apps |
| Entry Barrier | High | Low |
| Competition | Algorithm-based | Fair, open |
Your ONDC Technology Partner
As an ONDC-registered Technology Service Provider (TSP), Lagroce handles all the complexity:
Frequently Asked Questions
What is the ONDC registration process?
The ONDC registration process involves submitting your business details, GST certificate, and bank account information. With Lagroce, we handle the entire process and can get you registered within 24-48 hours.
Is ONDC mandatory for sellers?
No, ONDC is not mandatory. It's an optional initiative by the Government of India to democratize e-commerce. However, joining ONDC gives you access to a wider customer base across multiple buyer apps.
What are ONDC fees and charges?
ONDC transaction fees are typically 2-5%, much lower than traditional marketplaces that charge 15-25%. Additional costs may include payment gateway fees and logistics charges.
Which products can be sold on ONDC?
Most product categories can be sold on ONDC, including retail, food, electronics, fashion, pharmaceuticals, and more. Some restrictions may apply to regulated items.
How long does it take to start selling on ONDC?
With Lagroce, the complete onboarding process takes 48 hours. This includes registration, catalog setup, and going live on the network.