Ekart goes live on ONDC Network for ecommerce logistics

This move will help Ekart expand its reach across the country to sellers and brands in the MSME and large enterprise spaces. This initiative comes at a time when the ONDC Network is focusing on scaling e-commerce logistics on its platform followin...

ETtech
Ecommerce major Flipkart's logistics arm Ekart has now gone live on the government-backed ecosystem for ecommerce Open Network for Digital Commerce (ONDC) Network.

“With this integration, Ekart brings to the table nationwide reach, deep logistics expertise, and a strong commitment to service excellence,” Mani Bhushan, chief business officer, Ekart, said in a press release. “Together with ONDC Network, we look forward to empowering businesses, MSMEs with greater access, efficiency, and growth opportunities.”

Through this integration, Ekart will expand its pan-India presence to reach sellers and brands ranging from MSMEs to large enterprises.


“Ekart’s scale and operational depth bring vital logistics capacity to the ONDC Network, reinforcing our commitment to building an open, interoperable infrastructure that empowers sellers and merchants to grow without logistical constraints,” Vibhor Jain, acting CEO and COO at ONDC, said in the statement.

This development comes at a time when the ONDC Network is focusing on rapidly scaling e-commerce logistics on its platform following a drop in retail orders.

In February this year, ONDC’s retail orders (comprising e-commerce, grocery and food delivery) dropped to 4.6 million from a peak of 6.5 million in October last year.
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The drop in orders was seen after the incentive payouts by the network to its participants were reduced. Participants such as Magicpin, Paytm, Ola Consumer and other smaller players use these funds to offer discounts to their customers, which helps them onboard users.

The platform initially provided financial incentives to onboard sellers, drive transactions, and fund customer discounts and offers. However, gradually this assistance reduced from Rs 3 crore in July last year to Rs 30 lakh in March this year.
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