Why ONDC Is Emerging As A Favorite Among Restaurants & Food Startups?

How ONDC can help your food business grow? What are the benefits of ONDC for restaurants and food startups? Read on to know how ONDC is changing the game for startups.

Shreshtha Verma
New Update

India's food delivery sector has witnessed a graveyard of brands, all struggled due to fierce competition with Swiggy and Zomato, offering little differentiation. Failed contenders like Foodpanda and Tiny Owl, and even major players like Amazon Food and Uber Eats, have exited the market. However, a fresh wave of innovators is now entering the food sector, with ONDC, a government-supported nonprofit, reshaping the menu for food delivery businesses.

Open Network for Digital Commerce is emerging as a primary medium for food startups and restaurants across India. With several benefits and opportunities, ONDC, an initiative under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, is set to change the game for local commerce. Coming to the food sector, the number of restaurants on Open Network for Digital Commerce shot up from 500 in February 2023 to 50,000 in August 2023. But why is ONDC becoming the leading choice for restaurants and food startups in India?

Let's explore!

What is ONDC?

Open Network for Digital Commerce is a transformative network built on an open protocol designed to empower local businesses operating across various sectors. These include mobility, grocery, food ordering and delivery, hotel booking, travel, and more. The network's core mission is to enable any network-enabled application to discover and engage with local businesses. Open Network for Digital Commerce stands as a formidable countermeasure against digital monopolies while offering support to micro, small, and medium enterprises and small traders by providing them a platform to establish their online presence.

Food Startups on ONDC

As far as the food startups are concenred, Open Network for Digital Commerce is like a spotlight, making sure your delicious dishes get noticed. It's a golden opportunity to be discovered by a wider audience, including people who might not have found you otherwise. Here is why Open Network for Digital Commerce is emerging as a favorite among restaurants and food startups?

Increased Visibility

One of the most immediate benefits for restaurants joining Open Network for Digital Commerce is the increased visibility they can attain. By becoming a part of this innovative platform, restaurants can cast a wider net, reaching potential customers who may not have stumbled upon their offerings otherwise.

Cost-Efficient Online Presence

ONDC serves as a cost-effective digital platform for restaurants, eliminating the need for costly website development and maintenance. It enables restaurants to seamlessly showcase their menus, daily specials, and promotions to a tech-savvy customer base.

Access to a Larger Customer Base

The integration of multiple e-commerce platforms with Open Network for Digital Commerce allows restaurants to access a significantly larger customer base. This translates to the potential for exponential growth and an expanded client roster.

Digital Payments

In alignment with the digital transformation of India, Open Network for Digital Commerce promotes digital payment solutions, thereby simplifying the process for customers to pay for their orders online. This shift from cash transactions to digital payments also streamlines the payment process for restaurants.

Data Analytics

ONDC offers data analytics tools that can provide invaluable insights into customer preferences, ordering habits, and emerging trends. Armed with this knowledge, restaurants can tailor their offerings to match their clientele's expectations.

Compliance and Regulation

In the era of stringent digital commerce regulations, ONDC acts as a guardian, providing a comprehensive framework for restaurants to adhere to these standards. This ensures a secure and trustworthy online presence, essential for building customer trust.

Marketing Opportunities

ONDC opens the door to various marketing and promotional opportunities. Restaurants can utilize these avenues to attract more customers, boost sales, and fortify their market presence.

Customer Reviews and Feedback

Customer feedback and reviews are precious gems for any business. Open Network for Digital Commerce empowers restaurants to gather and analyze feedback, using it as a stepping stone to enhance their services and reputation.

Reduced Dependency on Third-Party Delivery Apps

By making their mark on Open Network for Digital Commerce, restaurants can potentially diminish their reliance on third-party food delivery apps. This newfound autonomy over their digital presence and customer relationships can be a game-changer in the highly competitive food industry.

Competitive Advantage

Early adoption of ONDC can provide a substantial competitive edge. With the digital commerce landscape evolving at an unprecedented pace, those who seize this opportunity early stand to benefit most.

ONDC is establoshed itself as a transformative force, redefining the landscape for food startups and restaurants. Its multifaceted approach, from bolstering digital payments to providing valuable data analytics, promises to drive innovation and empowerment for local businesses. By joining Open Network for Digital Commerce, restaurants can catapult themselves into a new era of success and growth, securing their place in the thriving digital commerce industry.