"Ola will go Pan-India soon", says ONDC MD & CEO


According to T Koshy, MD and CEO of ONDC, Ola will soon expand throughout India via the government-backed Open Network for Digital Commerce (ONDC) in the food and beverage (F&B) sector. Ola has also joined the ONDC grocery segment and will soon expand to other industries. Customers can only place food and drink orders on ONDC at this time using the Ola app.

The Government of India launched the ONDC, a public initiative with the goal of changing the face of digital commerce. The goal is to establish an open, decentralized e-commerce model that will enable small vendors and businesses to compete with larger platforms.

Uber is also anticipated to introduce its bus and intercity transit services on the platform. According to the executive, Ola, which also provides logistics-as-a-service on ONDC, is anticipated to introduce a warehouse service.

A white paper titled "Driving Digital Inclusion—Open Network and New Business Models in Mobility Apps" was recently released by the platform. The study draws attention to the drawbacks of the current ride-hailing services, such as the low pay for drivers and the subpar customer service.

This document also projects an annual economic boost of between 51,000 crore and 67,000 crores for the mobility sector in India, outlining the potential economic impact of implementing open network models. It highlights that these models could result in a roughly 30% increase in driver income, or an increase in income of 1.36 lakh annually.