Pakistan is among those nations of the world whose majority population comes under the umbrella of middle, lower-middle, and lower class. The majority of bread earners are just focused on meeting both ends meet, provide appropriate education to their child and enjoy few luxuries. Because of the poor education system the concept of passive income, business development, and investment are not enriched unfortunately with very few doing business of their own and the majority are job seekers or daily wagers.
With a lack of facilities and support available for capital extensive businesses or even small startups, the concept of eCommerce has gained a lot of popularity in the last 5 years. Although this business practice has been done in the past decade few people were involved with very little or limited knowledge sharing. Currently, Pakistan’s IT export total up to less than $2 billion a year. Daraz has been the mainstream platform in Pakistan with yearly revenue of $4.9 million. There has been a king of all eCommerce platforms named Amazon. The total ecommerce industry has been generating $4.28 trillion yearly worldwide with Amazon occupies almost 65% share, so it’s been that huge.
But this amazing platform has been absent from Pakistan for the last 13 years due to mistrust of Amazon authorities on Pakistan and poor buyer/seller practices in our country. But due to extreme interest shown by the people of Pakistan in the last 5 years, and also with the efforts of organized Ecommerce Ecosystems provided by company’s like Extreme Commerce and Enablers and not to forget mentioning sincere efforts by the IT ministry and Government of Pakistan, finally, Amazon has been back to Pakistan on May 6th, 2021.
What does it mean for Amazon to come to Pakistan? Well, it’s a technical and important thing to understand. Now people in Pakistan can open their Amazon ID in Pakistan with their CNIC along with company registration which previously was not possible and sellers in the past had to take the credentials of their foreign friend or relative, only they were able to sell on Amazon. Amazon coming to Pakistan will affect society in primarily three sectors.
- Amazon Seller
- Ecommerce Service Providers
As Amazon ID would be created now in Pakistan, so there will be more and more startups in the future Along with the startups, traditional manufacturing units will also shift to online eCommerce to utilize the benefits of this amazing global platform. More Businesses flourishing will lead to more sourcing services providers and we know that wholesale markets in Pakistan are still one of the best choices although people turn to China manufactured products more because of quality. More Local small-scale manufacturing within the country will lead to cheap sourcing of products and more employment opportunities. So industry will be the impetus for the establishment of other industries.
Ecommerce Service Providers
As more eCommerce stores will open, this will lead to more Service providers or Freelancers in general. Product Hunting, Product Sourcing, Listing Optimization, Digital Marketing, Customer Services are the key components of any eCommerce store. Along with these traditional services, there will be requirements of professional Graphic Designers for eye-catching display of stores logo/pictures, Web Developers would be in demand to create website forum for a particular store, an eCommerce store also needs an Advertising professional to advertise the business offers on social media platforms like Facebook, Instagram, etc. The store will also need professional Photographers to arrange attention-grabbing images of the products. Hence more and more skilled people will be required to fulfill this requirement which will lead to more employment opportunities
We have big list of millionaires even billionaires who have chosen eCommerce selling as their investment interest because of more returns on their investment. Many Investors now feel attracted to this model of online business whereby investing approximately $25000 once they can get on average monthly profit up to $3000 upon successful launch and on 2 years consistent profitability this online business can be flipped up to $100000 on market places like Empire Flipper.
As per predictions of the Chamber of Commerce, the Pakistani Ecommerce Market has exported a 35% increased of 75 Billion Rupees in the last quarter of the fiscal year 2020-21. Hence along with increasing exports, allowing Amazon seller central to operate from Pakistani ID will increase tremendous exports along with numerous employment opportunities for the 200 million population of Pakistan. It will surely lead Pakistan towards more economic independence in the future.