In a spectacular display of digital commerce prowess, the Open Network for Digital Commerce (ONDC) reported a staggering 12 lakh transactions during the Diwali week, from November 6 to November 13, according to data accessed by Inc42.
This surge in activity far exceeded the ONDC’s earlier target of 1 lakh daily transactions, showcasing the platform’s robust performance during the festive season.
The orders were not limited to specific categories, as they spanned across 600 Indian cities, covering a diverse range of verticals such as Food & Beverage, grocery, electronics, fashion, home & kitchen, mobility, and health & wellness.
On October 8, a day that coincided with a crucial World Cup match between India and Australia, ONDC reached an all-time high with 53,000 retail orders processed in a single day.
The festive season and the ongoing Cricket World Cup played pivotal roles in driving ONDC’s transaction growth. T. Koshy, MD & CEO of ONDC, noted the evolving consumer behavior, stating, “Our record transactions indicate a changing consumer behavior wherein shoppers are eager to explore options to secure the best deals and discounts.”
The monthly transaction data reveals an impressive 500X increase, soaring from 12,281 transactions in January to over 6,08,307 in September, underlining the platform’s steady growth throughout the year.
Incentives played a crucial role in stimulating transaction growth, with ONDC offering rewards to buyer-side applications like Paytm, Pincode (owned by PhonePe), Magicpin, and Ola. Sellers were also beneficiaries of revised incentives and bonuses, with substantial bonuses of up to INR 35 lakh per week being offered to buyer-side platforms.
Beyond the ONDC success story, major e-commerce players like Amazon India and Flipkart also witnessed substantial growth during the festive season.
Amazon reported over 9.5 crore customer visits on the early access day, while Flipkart logged 9.1 crore user visits in the first 48 hours of The Big Billion Days sale.
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Smartphone sales experienced a noteworthy uptick, rising 6-8% YoY during the festive season, driven by increased demand for 5G connectivity and replacement needs.
General trade market share also saw a significant boost, rising 35-40% YoY.
In a bid to tap into remote markets, ONDC is actively onboarding sellers across the country. The platform’s strategy includes paying B2B seller apps up to INR 1,000 for each new buyer, with sellers eligible for this incentive for up to 50 new buyers per month.
As the digital commerce landscape continues to evolve, ONDC’s remarkable performance during the Diwali week underscores its growing significance in India’s online shopping ecosystem.
