The government-backed Open Network for Digital Commerce (ONDC) has secured approximately 3% of Swiggy and Zomato’s food-order volumes, according to sources. ONDC now facilitates around 60,000 orders daily in the food sector, capturing 3% of the individual order volumes of Swiggy and Zomato, each of which processes about 2 million orders per day. ONDC’s total daily order volume has reached approximately 400,000, including mobility bookings.
An internal analysis by ONDC revealed this data, underscoring the network’s growing influence. ONDC did not respond to requests for comments, and there was no immediate response from Swiggy and Zomato.
“We conducted an analysis to evaluate ONDC’s current standing compared to major platforms,” said one source. “On July 7, 2024, ONDC set a record with 38,000 orders per day in Bengaluru’s food sector, representing 17% of the daily order volumes of Swiggy and Zomato individually in the city, where they each received 220,000 orders.”
Earlier reports indicated that Flipkart might soon enter the food and beverages (F&B) category on ONDC, allowing users to order from various restaurants and fast-food outlets like Dominos and McDonald’s via the Flipkart app. Flipkart is reportedly in active discussions with ONDC for this integration.
Launched in January last year, ONDC aims to challenge the dominance of e-commerce giants Amazon and Flipkart. ONDC is also negotiating with the National Restaurants Association of India (NRAI) for seamless last-mile connectivity for food delivery, order tracking, and discoverability.
From February last year to March this year, ONDC processed over 5.78 million food and beverage orders. According to an Equirus Securities India Equity Research report, ONDC recorded 10 million transactions in June, comprising 6.1 million non-mobility and 3.9 million mobility transactions. The network has been growing by 1 million transactions per month in the last two months.
Retail-driven growth has significantly contributed to this increase, with non-mobility orders surpassing 6 million transactions in June compared to 3.6 million in March. The report also noted that ONDC has reduced order volume-linked financial incentives for network participants by up to 75% from the second quarter of this financial year.