Walmart-owned fintech major PhonePe has recently released a new ecommerce consumer app called Pincode which is built on the Open Network for Digital Commerce (ONDC) platform created by the Indian government. This new app is looking to revolutionise e-commerce shopping by promoting local shopkeepers, sellers, MSMEs and farmers. This is part of its commitment to digitally connecting each city’s consumers with local businesses they usually shop from offline.
Pincode is currently piloting in Bangalore with a variety of offerings such as grocery, food, pharma, electronics and home decor. PhonePe’s founder and CEO Sameer Nigam gave comment at the launch event in Bengaluru, emphasizing that putting the local businesses at the forefront of the shopping experience will facilitate a positive customer-merchant dynamic. The company also hopes to provide a stimulus to the entire neighboorhood’s ecosystem involved in digital commerce, while creating more opportunities to grow and drive innovation at a larger scale.
The idea of entering the ecommerce space is not new for the fintech major. In August of last year, ET reported the company marking the capital to deploy up to $15 million over 18 months for its entry in ONDC. With the introduction of Pincode, it is clear that PhonePe has taken this initiative forward and is looking to capitalize on the success by incorporating new and innovative ideas.
Since its separation from parent entity Flipkart earlier in 2020, this is definitely a major step from PhonePe – one that will make it increasingly popular amongst the consumers seeking convenience and reliability. Furthermore, Sameer Nigam’s statement during the launch indicates that the company is looking to become a local digital marketplace while staying true focus to the customers and the digital ecosystem supporting them.