Flipkart Chooses Standalone App Over ONDC for Food Delivery

Flipkart has decided to enter food delivery through a standalone app rather than launch the service as a buyer-side application on the government-backed Open Network for Digital Commerce (ONDC), according to multiple sources aware of the development, marking a strategic shift as the Walmart-owned company looks to build a high-frequency consumer business ahead of its planned domestic listing. The decision settles a question that had remained open for months. When Flipkart’s food delivery plans were first reported in February, the company was evaluating two options: building an independent app or leveraging ONDC’s network to enter the category more quickly. By opting for a standalone platform, Flipkart is choosing greater ownership of the business, including customer experience, merchant relationships and data, over the faster market access that ONDC could have provided. The move, however, is expected to push back the launch timeline. A pilot that was initially targeted for Bengaluru around May-June has not taken off, sources said. Building an independent marketplace requires onboarding restaurants, developing technology infrastructure and creating a delivery ecosystem from scratch, unlike ONDC where sellers are already connected to the network. Despite the delay, Flipkart has continued to hire aggressively across functions for the new business, signalling that the initiative remains a strategic priority, people familiar with the matter said. The company had explored entering food delivery through ONDC nearly two years ago, similar to attempts by Ola and Paytm, but those discussions did not progress. Since then, ONDC’s food delivery ambitions have lost momentum after incentives to network participants were scaled back in late 2024, resulting in a steady decline in retail order volumes through 2025. Industry executives said Flipkart’s decision also reflects the limitations of the current ONDC food ecosystem, which depends heavily on magicpin for restaurant integrations and order fulfillment across most buyer applications. That concentration has exposed operational risks. Rapido’s food delivery app Ownly, which launched its Bengaluru pilot through a partnership with magicpin, saw leading quick-service restaurant chains such as KFC and McDonald’s disappear from the platform in May after technical integration issues, as first reported by Fe. Those brands remain unavailable on the app. Flipkart’s entry would intensify competition in a market dominated by Zomato and Swiggy, which together account for the overwhelming majority of the food delivery business. According to Jefferies, the market is currently estimated at around $9 billion and is expected to nearly triple to about $25 billion by FY30. The expansion into food delivery also fits into Flipkart’s broader strategy of strengthening its consumer ecosystem before its expected IPO in late 2026 or early 2027. High-frequency categories such as food delivery offer regular customer engagement, complementing the company’s e-commerce business. Flipkart is also preparing to launch a standalone app for its quick commerce business, Flipkart Minutes. Queries sent to Flipkart and ONDC did not elicit a response till the time of going to the press.