Why Zomato will not be affected by popularity of food delivery app ONDC?

There is a lot of noise related to the recent entrant the Open Network for Digital Commerce application in the e-commerce industry. From price wars, and intensifying competitions to overtaking biggies like Zomato and Swiggy in the food delivery business, ONDC is seen as the new golden fish in the market. Although ONDC was founded on December 31, 2021, it gained popularity when the app started to process 25,000 orders per day across food, grocery, and retail, a significant ramp-up from nil earlier in the year. Read here: Ahead ONDC rollout, PayNearby launches meta commerce platform: How it works Adjusting for these, the brokerage's note added, "Zomato's discovery commission as % of NSV works out to just 9-10%, which is broadly comparable to the current commissions of seller apps on ONDC." Read here: New food delivery platform ONDC offers food cheaper than Swiggy, Zomato; check details Hence, it has recommended a buy on Zomato's share price.