Dunzo Joins ONDC, 20,000 Merchants in 45 Days with ONDC
ONDC Power-Up Dunzo's Daily Orders Soar 3x Overnight
4 August 2023
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Kunal Tyagi
Dunzo's seller arm joins the Open Network for Digital Commerce (ONDC).
Aim to onboard over 20,000 merchants across food, grocery, pharma, and essentials in 45 days.
Witnessed three-fold increase in daily orders and plans to onboard 1,500 local merchants in a week.
Dunzo, the quick-commerce and logistics start-up, has recently made a significant announcement that could reshape India's e-commerce landscape. The company's seller arm has joined the Open Network for Digital Commerce (ONDC), with a mission to bring on board more than 20,000 merchants across various sectors, including food, grocery, pharma, and other essentials, within the next 45 days.
Through this move, local merchants joining Dunzo's business-to-business (B2B) vertical will gain direct access to the ONDC network. In just two weeks since joining the ONDC platform, the company is already experiencing remarkable success, witnessing high order volumes. The seller app is set to onboard 1,500 local merchants in the coming week alone, aiming to achieve the ambitious target of 20,000 merchants in total within the specified timeframe.
Dalvir Suri, the Co-Founder of Dunzo, expressed excitement about the impact of ONDC on their operations, revealing a three-fold increase in the number of daily orders for their merchant partners. He proudly announced, "We have already hit peak order volumes of more than 3,000 a day for groceries and other essential items through our local merchants." This rapid growth further solidifies Dunzo's position as a logistics aggregator on the ONDC network.
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This milestone achievement comes at a crucial time for Dunzo, as the company has been facing financial distress due to a liquidity crisis. To counter this situation, the company has already undertaken three rounds of layoffs this year and deferred salary payouts. However, their ambitious plan to onboard thousands of merchants signifies a strategic push towards profitability.
Since its inception in 2015, Dunzo has secured close to $500 million in funding from investors such as Reliance, Google, Lightrock, Lightbox, and Blume Ventures. In April 2023, the company successfully raised $75 million through convertible notes from Google, Reliance Retail, and other existing investors to fuel its capital raising efforts.
By participating in the ONDC network and rapidly expanding its merchant base, Dunzo is poised to revolutionize India's e-commerce sector. The company is now positioning itself to thrive amidst tough competition and operational challenges. The quick-commerce and logistics app's success story demonstrates how strategic collaborations can propel growth and transform businesses in an ever-changing market landscape.
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