Introduction
On September 25, 2024, Zoho, a prominent player in the Software-as-a-Service (SaaS) sector, announced the launch of its new seller-side platform called Vikra, built on the Open Network for Digital Commerce (ONDC). This initiative aims to diversify the e-commerce landscape in India, challenging the dominance of established giants like Amazon and Flipkart. Vikra offers a comprehensive solution for sellers, enabling them to effortlessly set up their online stores and begin selling products through the ONDC framework.
What is Vikra?
Vikra is designed to empower sellers by streamlining their digital operations. According to Sivaramakrishnan, Zoho’s Global Head of Finance and Operations, this platform offers a holistic approach to managing online businesses. From onboarding to order fulfillment, shipping, and analytics, Vikra covers all essential aspects of e-commerce, making it an attractive option for retailers looking to expand their reach.
Key Features of Zoho’s Vikra
- Easy Store Setup: Sellers can quickly establish their online presence on the ONDC network.
- Comprehensive Business Management: Manage all facets of your business, including product cataloging and customer engagement.
- Integration with Popular Apps: Sellers’ products can be listed on buyer-side applications such as Paytm, Ola, and Snapdeal.
- Real-time Notifications: Communicate instantly with customers through WhatsApp.
- Data-Driven Insights: Access crucial business data to inform decision-making.
- App Integration: Utilize additional Zoho applications like Zoho Books, Zoho Inventory, and Zoho Commerce.
Cost Structure
Sellers looking to utilize Vikra will only incur a modest fee of 1% of their total transaction amount. This competitive pricing model is designed to foster widespread adoption and encourage sellers, especially small and medium enterprises, to innovate and expand their digital footprint.
ONDC and its Potential
The ONDC initiative, spearheaded by the Indian government, aims to democratize the e-commerce sector by increasing the penetration of online commerce from current levels to 25% over the next two years. According to government projections, the gross merchandise value of the platform could skyrocket to $48 billion. Recent transaction trends on the ONDC have shown robust growth, although August witnessed a more modest 5% month-over-month increase, largely attributed to tightened cash incentives in mature categories such as food and grocery.
Recent Transaction Insights
| Month | Transaction Growth (%) | Total Transactions | Popular Categories |
|---|---|---|---|
| July | 21% | 1.26 crore | Mobility, Food, Grocery |
| August | 5% | 47.4 lakh | Mobility (Uber, Ola) |
Conclusion
Zoho’s Vikra is positioned to be a game-changer in the evolving landscape of Indian e-commerce. By providing a robust toolset for sellers and facilitating their presence on a growing digital network, it not only enhances competition but also promises to enrich the shopping experience for consumers across the board. As ONDC continues to gain traction, platforms like Vikra will play a critical role in shaping the future of digital commerce in India.
