The network clocked 23 per cent month-on-month growth in May, boosted by retail categories like grocery, fashion and home
In May 2024, the Open Network for Digital Commerce (ONDC) achieved a record 8.9 million transactions in retail and ride-hailing, marking a 23 per cent month-on-month increase.
In May, the retail segment of ONDC reached 5 million orders, up from 3.59 million in April. The network also set a single-day record with 200,000 retail transactions. Both grocery and food delivery categories surpassed one million orders for the first time, while home and kitchen saw 630,000 orders, fashion had 330,000 orders and other retail sub-categories totalled two million orders.
Categories like grocery, fashion, home and kitchen have seen increased shares, indicating diversification in ONDC’s retail business. With the growing contribution of other categories, the food segment accounted for around 20 per cent of total retail orders in May, down from 76 per cent a year ago when food was the only category.
The ride-hailing segment experienced modest growth, rising from 3.6 million trips in April to 3.8 million in May, yet remaining below its March peak of 4 million trips.
Delhi, Uttar Pradesh and Maharashtra continued to lead in Network orders with Uttar Pradesh nearly doubling its order numbers and Bihar reporting a 42 per cent increase.
Currently, the Network hosts around 535,000 sellers across more than 1,200 cities. 84 per cent are small sellers, contributing 56 per cent of total orders, aligning with ONDC’s mission to support small businesses.
Over the past 18 months, major companies such as Paytm, Ola, PhonePe and Shiprocket have joined the ONDC Network. The government aims to boost India’s ecommerce penetration to 25 per cent through the ONDC, targeting a gross merchandise value of $48 billion within the next few years.
