Mumbai-based Grab.in was acquired
in 2019 and is now in Reliance Retail.
While Reliance Retail-backed Dunzo is already joining ONDC as one of its logistics partners, Grab’s entry marks Reliance’s official entry into the much-touted network that is positioned as a disruptor to break the dominance of e-commerce companies. Amazon India and Walmart flipcard bringing unorganized retailers online.
ET reported May 12 that Reliance, along with Flipkart and Amazon, were in talks to join ONDC.
According to co-founder Pratish Sanghvi, Grab.in will support hyper-local deliveries within the city.
The ONDC network launched a pilot project in six cities in categories such as groceries and small baked goods.
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“We are currently initiating a pilot project with ONDC and it is in its early stages. We look forward to expanding our partnership with ONDC and our goal will be to provide seamless and efficient delivery for our customers across sectors,” said Sangvi.
Reliance Retail did not respond to an email asking for comment until Sunday.
Founded in 2014, Grab.in serves restaurants, online stores, offline and online retailers, e-commerce platforms, kirana stores and pharmacies.
The integration of third-party logistics companies into ONDC will be critical to the delivery of orders placed online. Currently, ONDC leaders are busy bringing merchants, logistics partners, and other network stakeholders so that more transactions can be made across the country.
ET reported that platforms such as PhonePe are at an advanced stage of integration and this will give the network momentum.
Merchants in the ONDC network can do their own shipping or work with one of the integrated logistics providers.
Logistics service providers such as Flipkart Ekart’s logistics division have already integrated with ONDC. The Shiprocket integration was launched in June in Lucknow.
This was reported on July 20 by ET.
“Right now, the focus is on integration and making sure consumers feel good when they try it, because that’s very important. Platforms like PhonePe are completely focused on customer-side integration, so the network is gearing up to scale,” said one person with knowledge of the matter.
Although ONDC is still in its infancy, some expect it to have an impact on e-commerce similar to that the Unified Payments Interface (UPI) had on digital payments.
However, a recent report by Jefferies says that the current level of service at Amazon and Flipkart is satisfactory for most users, and ONDC’s value proposition should be strong enough for customers to switch to it. “The added convenience that UPI offered was a good reason to adopt. This may not be the case with ONDC,” the report said last month.
The platform plans to launch in 100 cities by the end of August. Its chief executive told ET on June 25 that several players plan to join ONDC on the buyer and seller side, with more than 150 applications integrated into the network soon.