ONDC Platform for B2B Sellers: How Wholesalers and Distributors Can Use It to Grow Their Business

B2B e-commerce is the largest segment of digital commerce worldwide, yet it often receives less attention than consumer-focused online retail.

According to industry estimates, the global B2B e-commerce market is valued at over $20 trillion, making it nearly five times larger than the global B2C e-commerce market, which is estimated at around $5 trillion. In fact, 80–85% of the world's e-commerce transactions by value are B2B transactions, highlighting the enormous opportunity for wholesalers, distributors, manufacturers, and suppliers.

India is following a similar trend.

India's overall e-commerce market is expected to grow from approximately $125 billion in 2024 to more than $345 billion by 2030. Within this broader market, B2B e-commerce is emerging as one of the fastest-growing segments. Industry reports estimate that India's B2B e-commerce opportunity could exceed $200 billion by 2030, driven by digital adoption among over 6.3 crore MSMEs, retailers, distributors, and manufacturers.

Despite this opportunity, a significant portion of India's wholesale trade still depends on traditional business methods such as phone calls, sales representatives, paper catalogs, and local dealer networks. While these approaches continue to work, they often limit growth, increase operating costs, and make it difficult to reach buyers beyond existing markets.

Today's buyers expect:

  • Digital product catalogs
  • Transparent pricing
  • Real-time inventory visibility
  • Faster order processing
  • Reliable delivery experiences

To address these evolving needs, the Government of India launched the Open Network for Digital Commerce (ONDC).

Since its launch in 2022, ONDC has expanded rapidly across India and is helping create a more open digital commerce ecosystem. While most discussions focus on retail sellers, ONDC also presents a significant opportunity for wholesalers, distributors, manufacturers, and B2B suppliers.

In this guide, we'll explore how B2B sellers can leverage ONDC to expand their reach, generate more orders, and build a scalable digital business.

What Is ONDC?

The Open Network for Digital Commerce (ONDC) is a Government of India-backed initiative designed to democratize digital commerce.

Unlike traditional marketplaces that operate as closed ecosystems, ONDC creates an open network where buyers and sellers can connect through multiple participating applications.

This means businesses are no longer dependent on a single marketplace for visibility and sales.

ONDC started its pilot operations in April 2022 and has since expanded to hundreds of cities across India. The network is creating a new model for digital commerce where businesses can access a larger customer base while maintaining greater control over their operations.

For wholesalers and distributors, ONDC provides access to retailers, businesses, institutions, restaurants, and buyers across India.

B2B Commerce by the Numbers

The scale of the B2B opportunity becomes clear when we look at the numbers:

Metric Value
Global B2B E-commerce Market $20+ Trillion
Global B2C E-commerce Market $5+ Trillion
Share of Global E-commerce from B2B 80–85%
India's E-commerce Market (2024) ~$125 Billion
India's Projected E-commerce Market (2030) ~$345 Billion
India's B2B E-commerce Potential (2030) $200+ Billion
Number of MSMEs in India 6.3+ Crore
India's Retail Market $1 Trillion+
ONDC Cities Covered 600+
ONDC Ecosystem Participants 7 Lakh+
Monthly ONDC Transactions Millions of Transactions

These numbers highlight why businesses are increasingly exploring digital commerce channels and ONDC.

Why ONDC Matters for B2B Sellers

Many wholesalers and distributors face common business challenges:

  • Limited geographic reach
  • High customer acquisition costs
  • Dependence on field sales teams
  • Manual order management
  • Lack of digital presence
  • Difficulty scaling operations

ONDC helps address these challenges by providing access to a wider digital marketplace without requiring large investments in technology infrastructure.

Businesses can become discoverable across multiple buyer applications and connect with customers beyond their traditional network.

How Wholesalers Can Use ONDC

1. Expand Beyond Local Markets

Many wholesalers operate within a specific city, district, or state.

Through ONDC, businesses can showcase products to buyers across multiple regions.

Benefits include:

  • Access to new markets
  • Increased order opportunities
  • Reduced dependency on local demand
  • Improved business scalability

Instead of relying solely on physical visits and existing dealer networks, wholesalers can generate inquiries and orders digitally.

2. Digitize Product Catalogs

Modern buyers prefer digital purchasing experiences.

ONDC enables wholesalers to:

  • Upload product catalogs
  • Add product descriptions
  • Display pricing information
  • Update inventory
  • Manage product availability

A digital catalog makes it easier for buyers to discover products and place orders.

3. Reach More Retailers

Retailers are increasingly purchasing through digital channels.

Through ONDC, wholesalers can connect with:

  • Kirana stores
  • Retail chains
  • Restaurants
  • Cafes
  • Corporate buyers
  • Institutional customers

This creates additional revenue opportunities without significantly increasing sales team costs.

4. Simplify Order Management

Manual order processing often creates operational inefficiencies.

Digital order management through ONDC helps businesses:

  • Track incoming orders
  • Monitor fulfillment status
  • Improve inventory planning
  • Reduce human errors
  • Improve customer satisfaction

The result is a more efficient business operation.

How Distributors Can Benefit from ONDC

Wider Market Access

Distributors spend significant resources acquiring new customers.

ONDC helps distributors become visible to a larger network of buyers, allowing them to discover new markets and expand business relationships.

Better Demand Forecasting

Digital transactions generate valuable business data.

Distributors can analyze:

  • Product demand trends
  • Fast-moving products
  • Seasonal demand patterns
  • Regional purchasing behavior

These insights support better procurement and inventory decisions.

Reduced Customer Acquisition Costs

Traditional customer acquisition often involves:

  • Travel expenses
  • Sales representatives
  • Trade exhibitions
  • Marketing campaigns

ONDC provides digital access to interested buyers and can significantly improve sales efficiency.

Key Benefits of ONDC for B2B Businesses

Increased Visibility

Businesses become discoverable across multiple buyer applications instead of relying on a single marketplace.

Lower Platform Dependency

Businesses gain greater control over customer relationships and operations.

Digital Business Growth

ONDC helps wholesalers and distributors transition from traditional selling methods to scalable digital commerce.

Improved Operational Efficiency

Automation reduces manual effort across catalog management, order processing, and inventory tracking.

Better Customer Experience

Buyers benefit from:

  • Faster ordering
  • Product transparency
  • Digital catalogs
  • Easier communication
  • Better delivery visibility

This improves customer satisfaction and retention.

Best Practices for Wholesalers and Distributors on ONDC

Maintain Accurate Product Information

Include:

  • Product specifications
  • Pricing
  • Images
  • Stock availability

Accurate information improves buyer confidence.

Keep Inventory Updated

Real-time inventory updates reduce cancellations and fulfillment issues.

Focus on Competitive Pricing

B2B buyers compare multiple suppliers before purchasing.

Competitive pricing improves visibility and conversion rates.

Deliver Consistently

Reliable fulfillment builds trust and encourages repeat business.

Monitor Analytics

Track:

  • Product demand
  • Order volume
  • Conversion rates
  • Customer retention
  • Regional performance

Use these insights to optimize business operations.

The Future of B2B Commerce with ONDC

India's digital commerce ecosystem is entering a new phase of growth.

As more retailers, enterprises, institutions, and suppliers join ONDC, wholesalers and distributors who adopt digital commerce early will be better positioned for future growth.

The future of B2B commerce will be driven by:

  • Open commerce networks
  • Faster fulfillment
  • Digital procurement
  • Multi-channel selling
  • Data-driven decision making
  • Technology-enabled operations

ONDC is expected to play a significant role in shaping this future.

Why Platforms Like Costbo Make ONDC Adoption Easier

While ONDC offers tremendous opportunities, many traditional businesses find onboarding and managing digital commerce operations challenging.

This is where Costbo helps.

Costbo is an advanced ONDC Seller Platform designed to help wholesalers, distributors, manufacturers, retailers, and D2C brands participate in digital commerce without technical complexity.

With Costbo, businesses can:

  • Connect to ONDC quickly
  • Manage multiple warehouses and stores
  • Integrate distributor networks
  • Enable hyperlocal and pan-India fulfillment
  • Offer delivery from 15 minutes to same day
  • Integrate ONDC directly with their website
  • Reach over 50 crore consumers through ONDC buyer applications
  • Manage thousands of orders per minute
  • Access Android and iOS applications for operational management

Costbo combines ONDC connectivity, quick commerce, website commerce, logistics management, and inventory control into a single platform.

For businesses looking to scale across multiple cities and channels, Costbo provides the infrastructure needed to grow efficiently.

Conclusion

The ONDC platform presents a significant opportunity for wholesalers, distributors, and manufacturers looking to modernize their operations and expand beyond traditional sales channels.

By enabling businesses to reach a wider buyer network, digitize catalogs, streamline order management, and improve operational efficiency, ONDC is helping transform B2B commerce in India.

As India's B2B e-commerce market moves toward a projected $200 billion opportunity, businesses that adopt digital commerce early are likely to gain a competitive advantage.

For companies seeking a faster and easier path to ONDC adoption, Costbo provides a complete ONDC Seller Platform with quick commerce, website integration, multi-warehouse management, distributor network integrations, and nationwide fulfillment capabilities.

The combination of ONDC and Costbo can help businesses increase visibility, expand market reach, and build a scalable digital commerce operation for the future.

FAQs

1. Can wholesalers sell on ONDC?

Yes. ONDC supports wholesalers, distributors, manufacturers, and suppliers who want to sell products digitally.

2. Is ONDC only for retail sellers?

No. ONDC supports both B2C and B2B commerce models.

3. What products can wholesalers sell through ONDC?

Businesses can sell FMCG products, groceries, electronics, apparel, industrial products, home goods, and many other categories subject to compliance requirements.

4. How does ONDC help distributors?

ONDC expands market reach, increases visibility, improves buyer discovery, and simplifies digital order management.

5. Can manufacturers sell directly on ONDC?

Yes. Manufacturers can use ONDC to reach retailers, distributors, institutions, and business buyers.

6. Do I need a website to sell on ONDC?

No. However, integrating a website with ONDC can provide additional sales opportunities.

7. Can ONDC support Pan-India sales?

Yes. ONDC enables businesses to serve customers across multiple cities and states.

8. How can businesses manage inventory across multiple warehouses?

Platforms like Costbo provide centralized inventory and warehouse management tools.

9. What are the benefits of using an ONDC Seller Platform?

An ONDC Seller Platform simplifies onboarding, catalog management, inventory synchronization, logistics, and order processing.

10. Why should wholesalers choose Costbo?

Costbo provides ONDC integration, quick commerce capabilities, website integration, multi-warehouse management, distributor network integration, and logistics support through a single platform.

References

  1. ONDC Official Website
    https://ondc.org
  2. ONDC Network Statistics
    https://network.ondc.org
  3. DPIIT (Department for Promotion of Industry and Internal Trade)
    https://dpiit.gov.in
  4. Invest India
    https://www.investindia.gov.in
  5. India Brand Equity Foundation (IBEF)
    https://www.ibef.org
  6. Statista – Global & India B2B E-commerce Data
    https://www.statista.com
  7. Grand View Research – B2B E-commerce Market Report
    https://www.grandviewresearch.com
  8. Mordor Intelligence – India E-commerce Market Report
    https://www.mordorintelligence.com
  9. Ministry of Commerce & Industry
    https://commerce.gov.in
  10. World Economic Forum – Future of Digital Commerce
    https://www.weforum.org

Blog

Related post

Sounds like COSTBO might be the right choice for your business?

Get started by registering your business today! If you have any questions, we're here to help. Our team will reach out to you with detailed information about our offerings, product features, and a demo