Understanding the ONDC (Open Network for Digital Commerce) and How Its Benefits for Sellers!

Quick answer: ONDC (Open Network for Digital Commerce) is a Government of India-backed initiative that gives sellers a shared, open digital infrastructure for e-commerce — rather than being locked into one marketplace’s rules, sellers can list once and reach buyers across multiple ONDC-connected apps, typically with lower commission fees than large private marketplaces and a portable reputation that carries across platforms.

Key Takeaways

• ONDC is a shared network, not a single app — sellers register once and can be discovered across many participating buyer-facing apps.
• Commission fees are typically lower than large centralised marketplaces.
• Seller ratings and reputation are portable across ONDC-connected apps, rather than being locked to one platform.
• Visibility is intended to be based on product/service quality rather than paid advertising spend alone.

The Open Network for Digital Commerce (ONDC) is a government-backed initiative aimed at creating a fairer, more open e-commerce environment in India. It connects sellers, buyers, logistics providers, and payment gateways through a shared digital infrastructure rather than requiring separate registration and integration with every individual marketplace.

What Is ONDC?

ONDC provides shared digital infrastructure for India’s e-commerce ecosystem, aiming to promote fair competition, consumer protection, and efficient trade practices while addressing data privacy and security. It acts as a connecting layer between sellers, buyers, logistics providers, payment gateways, and government agencies — rather than being a single retail app you shop or sell on directly.

Key Features and Benefits for Sellers

Single-Window Registration

ONDC simplifies registration so sellers don’t need to separately register on multiple individual e-commerce platforms. One registration gives access to a wider range of ONDC-connected marketplaces, expanding customer reach without duplicated setup effort.

Standardised Cataloguing

ONDC provides standardised cataloguing templates and guidelines, giving sellers consistent product listing formats across different connected platforms — reducing the time and effort needed to list the same products separately on each marketplace.

Centralised Inventory and Order Management

Sellers can track inventory levels, update availability, and manage orders arriving from multiple ONDC-connected apps through a single interface, reducing errors and improving fulfilment consistency.

Integrated Logistics

ONDC connects sellers with multiple logistics providers, letting them choose based on pricing, coverage, and reliability, with real-time tracking to help ensure timely delivery.

Secure Payments

ONDC supports multiple secure payment gateways, letting sellers accept a range of payment methods and reach customers who prefer different options.

Portable Customer Feedback and Ratings

ONDC provides a unified feedback and ratings system across connected platforms. Sellers can monitor and respond to reviews in one place, and — unlike closed marketplaces — this reputation carries with them if they move between ONDC-connected apps.

Analytics and Insights

ONDC offers analytics and reporting on sales performance, customer behaviour, and market trends, helping sellers make more data-informed decisions about pricing, stock, and promotions.

How to Start Selling on ONDC

Getting started typically means signing up through an ONDC-connected seller app, such as Mystore or Watskart, which act as your interface into the broader ONDC network:

1. Create an account on a seller app connected to ONDC, giving you access to the network and its features.
2. List your products with detailed information — images, descriptions, and pricing — following the platform’s cataloguing guidelines.
3. Manage incoming orders through your seller app’s dashboard as customers purchase across ONDC-connected buyer apps.
4. Choose a shipping partner from the logistics providers integrated into the platform, based on rates and reliability for your specific needs.
5. Receive payments securely through the platform’s integrated payment processing as orders are fulfilled.

Your chosen seller app acts as your gateway into the ONDC ecosystem, handling much of the underlying integration complexity so you can focus on products and customer service.

How ONDC Differs From Amazon, Flipkart, and Similar Marketplaces

1. Broader reach through one registration: Sellers can be discovered across multiple ONDC-connected buyer apps rather than being confined to one marketplace’s own audience.
2. Choice of service providers: Sellers can pick from various logistics and technology providers integrated into the network, rather than being locked into one marketplace’s own infrastructure.
3. Lower commission charges: ONDC is generally structured to charge lower commission fees than large private marketplaces, which can meaningfully affect seller margins.
4. A more level playing field: ONDC is designed so sellers compete on product and service quality rather than platform-specific preferential treatment.
5. Portable reputation: Ratings and reputation built on ONDC can carry across different seller apps within the network, rather than resetting if you switch platforms.
6. Less reliance on paid visibility: ONDC aims to reduce the extent to which visibility depends purely on advertising spend, compared to marketplaces where paid placement is a dominant visibility factor.

ONDC represents an alternative to the assumption that selling online means being dependent on a small number of large private marketplaces. By offering shared infrastructure, lower fees, and portable reputation, it gives sellers — particularly smaller and independent ones — a genuine additional route to reach customers, alongside (not necessarily instead of) existing marketplace presence.

Frequently Asked Questions

How does ONDC enhance the reach of sellers?

A single ONDC registration lets sellers be discovered across multiple connected buyer-facing apps, rather than needing to separately establish presence on each marketplace individually.

What service providers can sellers access through ONDC?

ONDC connects sellers with various logistics providers and technology solution providers, letting them choose based on cost, coverage, and reliability rather than being locked into one platform’s infrastructure.

How do ONDC’s commission charges compare to other marketplaces?

ONDC is generally structured with lower commission fees than large private marketplaces, which can meaningfully improve seller margins over time.

Does ONDC create a fairer environment for smaller sellers?

Yes — ONDC is designed so sellers compete based on product and service quality rather than platform-specific preferential treatment or advertising budget alone.

Can sellers carry their reputation across different ONDC seller apps?

Yes — ratings and reputation built on the ONDC network are portable, so switching seller apps doesn’t mean starting your reputation from zero.

Does ONDC reduce reliance on paid advertising for visibility?

ONDC aims to make visibility less dependent purely on ad spend compared to marketplaces where paid placement heavily influences what buyers see first.

What’s the core difference between ONDC and marketplaces like Amazon or Flipkart?

ONDC is a shared network connecting many buyer and seller apps, rather than a single closed marketplace — giving sellers more choice in logistics, payments, and which seller app they use to access the network.

How can ONDC affect a seller’s profitability?

Lower commission fees and access to competitively priced logistics and service providers can meaningfully improve margins compared to relying solely on large centralised marketplaces.

What are the main advantages of selling through ONDC?

Broader reach through one registration, choice of service providers, lower commission fees, a more level competitive playing field, and portable reputation across connected apps.