The Cab Aggregator app is planning to join the ONDC with a Food Delivery model.
Key Highlights
- ‘Ola ONDC Food’ to be added in the app.
- Functionality in the testing phase.
After venturing into manufacturing e-scooters, now Ola joins ONDC– Open Network for Digital Commerce, for food deliveries.
The cab aggregator is cited to be in its testing phase with the functionality of ‘Ola ONDC Food’ being now available in its app for select users.
The move to join the government-backed network comes after its earlier attempts to join the food delivery market were not successful in the past.
With Q-commerce, or Quick-commerce on the rise, Ola too tried to capitalise upon the trend to test a delivery-service-based model with Ola Dash, launched in late 2021. Initially focused upon the metro cities, the product didn’t pick pace and had to shut down soon after.
As Ola joins ONDC for food delivery, could it taste success?
Ola’s decision to join the ONDC comes to the limelight a few days after the network shared its feat of onboarding more than 50,000 restaurants pan-India.
This would allow the aggregator to expand its operations at minimal cost. Given the nature of the model, it would bring Ola in direct competition with the Food Delivery giants- Zomato and Swiggy, none of which are part of the network yet.
However, the probability of Ola’s food delivery business on ONDC would be contingent upon order fulfilment through the network, which currently does not pose a threat to Zomato or Swiggy due to their loyalty programs and unique offers.
The app interface would then play a significant part in determining the success of Ola’s new venture. The ease of ordering through its app could bode well for the aggregator if it matches promotional offers with its competitors.
The move also comes amidst the larger reshuffle in the organisational structure of Ola, with the company bringing in a new CEO for its cabs business.
