ONDC (Open Network for Digital Commerce): Definition, Meaning & Guide for Indian Businesses

ONDC is the government-backed open protocol enabling buyers and sellers to transact without being on the same platform. Sellers can list on one Seller App and reach all Buyer Apps.

What is ONDC (Open Network for Digital Commerce)?

Open Network for Digital Commerce (ONDC) is an open protocol initiative by the Government of India (DPIIT) launched in 2022 to break the duopoly of Amazon and Flipkart in Indian e-commerce. Sellers register on any Seller-side App (e.g. SellerApp, Mystore, eSamudaay) and become discoverable on all Buyer-side Apps (e.g. Paytm, PhonePe, Magicpin). Commission is dramatically lower than Amazon/Flipkart (typically 1-5% vs 15-30%). Adoption is growing fast in tier-2/3 in categories like grocery, fashion, F&B. Integrate via standardised ONDC protocols for catalogue, order, fulfilment and settlement. For SMBs ONDC is the highest-leverage marketplace channel in 2026.