1. Favorable Trend of Online Shopping in Pakistan
Online Shopping in Pakistan has been soaring to new heights; with more e-commerce websites
and a higher population of people online, this is one trend that is here to stay. There are many
factors that work for online shopping and many that work against online shopping in Pakistan.
Let’s briefly go over the various socio-economic factors that work for and against Pakistan
online shopping industry.
Growth Factors:
1. Convenience: Online shopping has become huge around the world for the simple factor
that it is extremely convenient. Since individuals spend on the average 3-4 hours online,
it is only logical that people are able to shop online as well. Online shopping cuts the
travel costs and time spent travelling. Furthermore online shopping is made better with
easy returns and exchanges. This is the same situation here in Pakistan and online
shopping stores like kaymu.pk are getting popularity because such sites offer to buy
online while avoiding the hassles of crowded marketplaces.
2. 3G Auction: Pakistan is set to have its 3g auction in 2014, which will naturally be great
for ecommerce in Pakistan as well. Masses all over the world are moving towards their
smartphones and mobile devices for all their needs but Pakistan has been left behind due
to the lack of 3G network. The introduction of 3G networks has historically lead to a 2030% increase in online buying and selling transactions, as seen in India and Brazil. It is
expected that Pakistan will experience the same growth due to the introduction of this
state-of-the-art technology.
3. Payment Options: Payment mechanisms that allow transfer of funds as well as allow
people to by online in Pakistan are also starting to emerge; these work in cases where
cash on delivery isn’t the best option. For higher priced and luxury items payment
mechanisms such as PayPal are perfect for people who don’t possess credit cards or are
wary of new online websites.
Risk Factors:
1. Inefficient service: Since most online shopping websites in Pakistan are in their startup
phases, the service they provide may not be the best; delivery often takes longer than
expected and customer service is not helpful, hence leading to lesser returning customers.
2. Lack of Trust: Often goods sold online do not look like the ones showcased on the
website, lack of accurate description and visual fraud makes people hesitant to buy online
in Pakistan. Though this is not the case with all ecommerce websites operating in
Pakistan but those online stores selling products with inaccurate descriptions and false
promises are causing masses to lose their trust on overall online shopping sector in
Pakistan.