Home Technology How much would it cost to develop an ONDC?

How much would it cost to develop an ONDC?

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On April 29, 2022, the Government of India set in motion a series of events expected to have a significant impact on the Indian e-commerce business.

The Open Network for Digital Commerce (ONDC) was piloted in five Indian cities: Delhi NCR, Bhopal, Bengaluru, Shillong, and Coimbatore.

The Indian e-commerce industry is worth approximately $40 billion. The industry is still in its infancy. However, Indian digital consumerism is exploding, and the sector is expected to reach $200 billion by 2027, according to government projections.

Microsoft became the first corporate behemoth to join the Open Network for Digital Commerce (ONDC). It is a government-backed program aiming to provide small businesses across India with access to a decentralized e-commerce network.

With the debut of a shopping app allowing Indians to shop with their social circle, the tech giant plans to introduce social e-commerce to the Indian market. 

Multinational firms saw promise in these figures and began significantly investing in India.

It suggests that the market currently has a monopolistic situation in which a few significant firms are pushing out smaller establishments.

To that purpose, it intends to use the network to determine the optimal pricing among merchants and sellers.

ONDC is heralded as the next UPI (Unified Payments Interface) because the government anticipates it will democratize e-commerce and give small sellers access to processes and technology that only giants like Flipkart and Amazon currently have.

How does it work?

Aside from buyers and sellers, an enterprise that wishes to participate in ONDC must fulfill one or more of the following roles:

  • Connecting buyers to the network

Entail developing applications or websites that customers may use to browse and search for products available on the ONDC network. Only Paytm currently provides a buyer-side interface.

  • Connecting merchants to the network

Entail developing applications that enable sellers to connect to the ONDC network, list their products for sale, and take orders. These facilitators are also responsible for pitching ONDC to businesses.

  • Gateway

Applications that, based on search parameters, disseminate the search request received from buyer-side apps to seller-side apps listed on the ONDC registry.

Technology services include the software and technological add-ons for the other three positions.

Rather than consolidating control among a few competitors, this method will allow consumers and sellers to choose which apps they wish to use to access a single network. It will also minimize government participation.

ONDC is not limited to the retail industry. It is designed to make any digital transaction easy between a buyer and seller of goods or services. 

It includes wholesale, mobility, food delivery, logistics, travel, and urban services. It will also include transactions between businesses.

Benefits of the Open Network for Digital Commerce (ONDC): 

  • The ONDC is keen to provide access to the digital market for the country’s Micro, Small, and Medium Enterprises (MSMEs) and small traders and to level the playing field for e-commerce operators.
  • It will aid new entrants by providing discoverability, interoperability, and inclusiveness.
  • A competitive and innovative ecosystem: Current e-commerce platforms are segmented and tightly managed.
  • ONDC provides suppliers and customers with more influence by breaking the monopoly of huge platforms. It drives innovation and changes areas such as retail, food, and mobility.
  • Customers’ freedom of choice will expand since they will be able to find any seller, item, or service on a common platform.
  • Consumers will be able to match demand with the nearest available supply.
  • Consumers will be able to match demand with the nearest available supply. Customers will be able to choose which local businesses they want to patronize.
  • Similar to the Unified Payments Interface, it will develop open-source protocols for vendor matching, price discovery, and categorization (UPI).

With ONDC being the new buzzing topic, you can take advantage of the opportunity and build a platform similar to ONDC. In the plethora of opportunities, you can avail of the service from AiOC. AiOC is one of the top service providers in the market for building your own customizable platform.

Create the ONDC platform with AiOC

All-in-One-Cluster has years of experience developing clone goods that assist clients in reaching the peak of their industries.

They work closely with clients to clearly understand their business concepts and identify the best plan for the business.

Professionals from all-in-one-cluster can implement the best-suited ONDC clone in your firm.

The important components in the operation of ONDC

  • Link buyers to the network

Customers should be encouraged to use your interface to make purchases from any ONDC-registered vendor.

  • Join the network of vendors.

A network application that allows shops and sellers to upload their product and service catalogs and conduct business with customers.

  • Process of Work at ONDC

The network application will broadcast the search request received from buyer-side applications to all seller-side apps based on factors such as geography or domain.

  • Services related to technology

Provide the other three jobs with software and other technical add-ons.

All-in-One Cluster’s technology was used to construct the ONDC App.

  • Node JS
  • MY SQL
  • Python
  • JS React

When you approach a service provider like AiOC to build the platform, the cost differs. The cost differs generally from one service provider to others and the amount of customization that you intend to make in the platform you build.

There is no specific set of numbers to mention here. But you can always get an estimate by contacting the service provider. You can contact AiOC to build the ONDC platform and confirm the cost of the same.

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