Ola Mobility, a ridesharing unicorn led by Bhavish Aggarwal, is eyeing a diversification of its ecommerce offerings through collaboration with the Open Network for Digital Commerce (ONDC).
The company is in the process of integrating a feature into its app that will allow users to purchase groceries, fashion items, and apparel, according to a report from ET.
Through an ONDC integration, the Ola app will gain access to a wide array of grocers, fashion, and apparel brands already present in cities on the network, as per the report. Additionally, the company has enlisted Magicpin as its technology service provider.
It’s worth mentioning that Ola initially collaborated with the network during a pilot of its food delivery platform in September 2023. Initially limited to its employees, the company’s foray into food technology is now accessible to the public. In January, ONDC announced that Ola is now live on the network in the food category as a buyer app.
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A few months later, the company strengthened its relationship with ONDC by teaming up with the network to provide last-mile logistics services for various categories, encompassing food delivery, grocery shopping, and pharmaceuticals.
Ola’s venture into grocery and fashion is anticipated to bolster its logistics operations on ONDC. With this expansion, Ola will be entering the arena alongside competitors such as Pai Platforms (Paytm Ecommerce), Swiggy’s Instamart, Blinkit, and others. Meanwhile, in the fashion ecommerce sector, there are startups like 82°E, Beyoung, Snitch, and others.
Uber, Ola’s main rival in the ride-hailing industry, has also recently entered the ONDC arena. In February, the company signed an agreement with the network to explore integration options, aiming to broaden its spectrum of mobility services.
The startup’s plans for horizontal expansion coincide with its decision to close certain segments of its ride-hailing operations. Earlier this month, the company revealed its intention to cease operations in the UK, New Zealand, and Australia. Ola stated that it aims to concentrate on India, recognizing significant expansion opportunities within the country.
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