Aleeha/ Zonaiq/ Aftab Bhatti/ Ali Amman
Daraz has emerged as a major disruptor in the retail landscape across the country, truly making waves. Starting as a modest startup in 2012, Daraz has transformed into the go-to platform where people seek to purchase everything, reshaping shopping habits and the future of retail. This platform is at the forefront of the digital revolution in Pakistan, offering everything from electronics to groceries with just a click. With over 125 million internet users, online shopping has become a part of daily life in the country.
The COVID-19 pandemic accelerated this shift, driving millions to embrace digital platforms. Thanks to its user-friendly interface and vast product range, Daraz has solidified its position as a market leader, serving both urban and rural customers. A resident of Karachi summed it up well: “I never trusted online shopping before the pandemic, but now I buy everything from Daraz.”
Daraz has skillfully combined various elements to reach its peak success, with its sales campaigns on 11.11 playing a significant role in its growth. Similar to Alibaba’s Singles’ Day, it has become the largest online shopping festival in Pakistan. In 2023, the event attracted over 63 million customers, achieving record sales within just 24 hours.
“The infographic showcasing Daraz’s achievements during the 11.11 sale event highlights the platform’s growth and outreach (Image courtesy of Daraz).”
Nonetheless, the platform faces tough competition from both local and international players. Local competitors like PriceOye and Shophive are quickly making their mark, while international giants Temu and Amazon have recently entered the Pakistani market. Additionally, social media platforms such as Instagram, Facebook, and TikTok are facilitating a direct-to-consumer model, providing sellers with alternative avenues to connect with potential buyers. This diverse competition presents a challenge for Daraz, compelling it to innovate and enhance its offerings to maintain its lead.
There is a significant focus on a Customer Reviews strategy. When customers leave positive reviews, it enhances sellers’ credibility and boosts sales, while constructive negative feedback helps address any potential issues early on through the platform. To foster trust and transparency, Daraz implements strict quality control measures, such as “Daraz Mall” for verified sellers and rigorous vendor accountability practices.
Logistics is another strong suit for Daraz. The Daraz Express promises timely deliveries, even to remote areas, which distinguishes it from other logistics providers. This robust infrastructure has shaped Daraz’s identity as an economic enabler, equipping local sellers with the tools and training needed to expand nationally.
Looking ahead, Daraz’s future plans include sustainability initiatives that resonate with echo-conscious consumers. These initiatives feature green packaging and carbon-neutral deliveries. With a focus on innovation, flexibility, and a commitment to customer satisfaction, Daraz is well-positioned to maintain its leadership in the e-commerce revolution in Pakistan.
The Student is 7th semester at the University of Central Punjab, pursuing a Bachelor’s in Accounting and Finance.
