The Indian government’s move to create a state-owned aggregator platform for food delivery services may impact the ability of popular players like Swiggy and Zomato to offer steep discounts to customers. The move comes as part of the government’s efforts to regulate the e-commerce industry and ensure a level playing field for all players.
The government’s new platform, the Open Network for Digital Commerce (ONDC), is designed to provide a common platform for all e-commerce players to access government data and services. It will also offer a range of services to consumers, including price comparison and consumer reviews.
While the ONDC is expected to provide more competition in the food delivery market, it may also limit the ability of existing players to offer steep discounts and other incentives to customers. This could impact the bottom line of companies like Swiggy and Zomato, who have relied heavily on such tactics to attract and retain customers.
The move by the government comes amid growing concerns over the dominance of large e-commerce players in India. These concerns have led to calls for greater regulation of the industry, with the government introducing new rules earlier this year aimed at ensuring a level playing field for all players.
While the ONDC is still in the early stages of development, it is expected to have a significant impact on the food delivery industry in India. It remains to be seen how companies like Swiggy and Zomato will respond to the new platform, and whether they will be able to maintain their competitive edge in the face of increased competition.
In conclusion, the government’s move to create a state-owned aggregator platform for food delivery services could have a major impact on the industry in India. While it is still early days, the ONDC is expected to limit the ability of existing players to offer steep discounts and other incentives to customers. This could lead to a shift in the competitive landscape, with new players entering the market and existing players forced to adapt to the new environment.
