Ask any Indian restaurant owner about online ordering and the conversation quickly turns to commissions. That is exactly why ONDC for restaurants has caught so much attention. It promises a more open way to sell food online, potentially at a lower cost than the familiar aggregators. Here is a plain-language explanation of what it is, how it works and whether it is worth your time yet.
What ONDC actually is
ONDC, the Open Network for Digital Commerce, is a government-backed initiative to make online commerce work more like an open network than a walled garden. Instead of one company controlling both the app customers use and the restaurants listed on it, ONDC separates these roles. Different apps can help customers discover and order, while different platforms help restaurants sell, and the network connects the two.
In practice, a customer might order your food through one of several buyer-side apps on the network, and that order reaches you through whichever seller-side platform you have signed up with. No single company owns the whole journey end to end.
How it differs from Swiggy and Zomato
On a traditional aggregator, one company owns the customer app, the listings, the ranking and the delivery, and charges a commission for the bundle. With ONDC for restaurants, those pieces are unbundled across the network. The intended results are more choice of apps, more price transparency and, potentially, lower overall costs, since you are not tied to a single platform’s commission structure.
- Open network: Multiple buyer and seller apps interoperate rather than one closed platform.
- Potentially lower cost: Fees can be lower than typical aggregator commission, which generally ranges from about 18-30% and varies by contract, so verify current terms with your seller app.
- More reach over time: As more buyer apps join, your listing can appear in more places without separate contracts.
Why it matters for your restaurant
The appeal is straightforward. Aggregator commissions are the biggest recurring cost of online ordering for most restaurants. Any credible channel that could lower that cost, or simply add competition, is worth understanding. ONDC also aligns well with owning your customer relationship, since it is designed around open participation rather than lock-in.
The realities to keep in mind
ONDC is still maturing for food, and adoption, order volumes and the experience vary by city and category. Treat it as a promising additional channel to test, not a replacement for aggregators or your own storefront on day one. A few practical points:
- Order volumes may be lower than established aggregators while the network grows.
- You still need to manage delivery, packaging and support to the same standard.
- Terms, fees and available apps are evolving, so confirm current details before committing.
How to get started sensibly
You join ONDC through a seller-side platform rather than directly. The smoothest experience is when that channel connects to the systems you already run, so an ONDC order behaves like any other order in your kitchen and reports. When your restaurant POS software can route online orders to the same kitchen display and into the same GST and sales reports, adding a new channel does not add chaos. For delivery-led brands, keeping menus and stock consistent across every channel through cloud kitchen management avoids duplicate work.
Where ONDC fits in your channel mix
Think of your online presence as a portfolio: aggregators for discovery, your own storefront for loyal customers, and ONDC as an emerging channel that could lower costs as it matures. Bring repeat customers closer with a restaurant CRM and loyalty programme so you are never dependent on any single platform. Watched this way, ONDC for restaurants is less a leap of faith and more a low-risk experiment worth running as the network grows.
Frequently asked questions
Is ONDC cheaper than Swiggy and Zomato?
It can be, because fees are unbundled and the network is competitive. However, actual costs depend on the seller app and current terms, which are still evolving, so verify the specifics before assuming savings.
Do I sign up for ONDC directly?
No. Restaurants join through a seller-side platform on the network rather than ONDC itself. Choosing one that integrates with your existing billing and kitchen systems keeps operations simple.
Should I leave aggregators for ONDC?
Not yet. ONDC is still growing for food, and order volumes vary by city. Treat it as an additional channel to test alongside aggregators and your own storefront, not a replacement.
