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Tuesday, 16 March 2021

How to Make Money Online with Ecommerce Pakistan: A Step-by-Step Guide for Beginners

 How to Make Money Online with Ecommerce Pakistan: A Step-by-Step Guide for Beginners

    E-commerce: As bourgeois this term may sound, the important deal is simply as proletariat as we are. What we see on its surface is big shots like Amazon, or just in case of Pakistan, Daraz and its likes, but what we fail to ascertain is many thousands of laymen who work day and night to form the e-commerce dream come true.

    Making money with e-commerce in Pakistan

    is every internet entrepreneur’s dream and it's for 2 good reasons:

    First of all, those that have tried know this that products sell quite services. they're easier to sell and therefore the e-commerce model doesn't take the maximum amount hard-work as a service-based model will take.
    Secondly, in terms of competition, e-commerce remains not as saturated as services. If you don’t believe me, attend Fiverr and see the amount of individuals trying their luck at logo design then attend any sub-category on Amazon and see the amount of sellers.
    There should be little question that e-commerce is a perfect sort of business, during which the most trick of the trade remains an equivalent . Pick an item at a wholesale rate and sell it at the retail price. Which retail price? Well, you select .

    As a seller, not too way back , I had to look for a couple of items online and that i noticed that wholesale isn't same just in case of each seller. Take this fruit pacifier for an example, i attempted to seek out it at cheap rates and that i found that each wholesaler had their own rates.

    This gives you the pliability that you simply want as a business person, and every one you've got to try to to is to plan a good percentage of profit and sell that wholesale item at a retail rate.

    The biggest misconception about e-commerce that Pakistani youth tends to fall for is to think about it an upscale man’s cup of tea. No! You don’t got to have deep pockets to run a products-based online business.

    Without further ado, i will be able to show you not only how Pakistani e-commerce business works, but how you'll choose a far off audience and build an e-commerce business around it.

    E-commerce in Pakistan

    Pakistan remains a replacement entrant in e-commerce world and therefore the size of Pakistan’s e-commerce economy is way from its threshold. How can we know? allow us to compare Pakistani e-commerce stats to the Indian ones.

    Pakistan and India: two neighboring countries with too many similarities are the foremost promising entrants in online retail business; thanks to these similarities a comparison is very relevant.

    While Pakistan’s total population is 1/5th of India’s total population, the e-commerce stats aren't proportionate to the present ratio. Back in 2017, total e-commerce sales that Indian online retail stores made were roughly $25 billion.

    In the same year, Pakistan’s total e-commerce sales were only $600 million. Now keeping the 1 – 5 ratio in mind, it's safe to assume that actual threshold of Pakistan’ e-commerce market is roughly $4 billion.

    Considering that we are late entrants in e-commerce, the stats aren't so worrisome. Having said that, it's important to recollect that as per SBP report, Pakistan’s e-commerce market has not reached quite $600 million (in 2017). this suggests that over $3 billion remains there on the table and every one you've got to try to to is get them.

    Judging by the pace of the e-commerce economy, it's said that by 2020 the entire size of Pakistani e-commerce market will cross the psychological barrier of $1 billion. The SBP reports shed light on the stats from 2017, which show that in FY 2017 our total e-commerce transactions (prepayment) were 1.2 million and 571 local e-commerce merchants made PKR 9.8 billion only out of the local prepayment sales.

    This figure doesn't include the revenue that our merchants generated from internationally made prepayment online sales. This also doesn't include the revenues that our merchants generated from post-payment or COD sales.

    Pakistan’s Biggest E-commerce Stores
    Before we get to speak about the most important names in Pakistan’s e-commerce market, we've to define the kinds of e-commerce stores that employment from Facebook to www and make many sales monthly .

    Here may be a list of various categories of e-commerce stores:

    Big Shot Multi-Retailers – These are the large shots of Pakistani e-commerce industry: the multi-retailers who list items from a good array of categories. These are stores like Daraz, Yavo, Kaymu, and Symbios etc.
    Medium-Size Multi Retailers – These stores aren't as big as Daraz or its likes, but they need their own established online stores with multi-categories of products. These stores try hard to form it to the summit and this category includes stores like GoTo and etc.
    Small-Size Multi Retailers – These stores aren't as big as medium range online stores, including the large shots. They specialise in one niche and check out to leverage their specialty to drive sales. The examples are stores like and etc.
    Facebook Retailers – this is often the last category of the Pakistani e-commerce stores. These retailers have alright established Facebook stores or groups and therefore the examples are Facebook business pages (shops) like Haniakidsclothing or Lahore Buy & Sell etc.
    Now that we are through with the categories of online retail businesses in Pakistan, allow us to have a glance at biggest Pakistani retail stores. Many of them follow an Amazon business model where the packaging and shipment of your products are going to be handled by them.

    In short: If you can't will a store as big as out of your brain, you'll start selling with them and let the most important online mercantile establishment lookout of non-productive errands.

    Here’s the list of those e-commerce giants:
    Now we are getting to have a glance at the highest three stores, discuss them at length, and see the audience that they affect and the way to leverage these big platforms in our favor.

                                      was founded back in 2012 by Germany based Rocket Internet: an online incubation and speculator company. Two Pakistanis Muneeb Maayr and Farees Shah are referred to as the co-founders of this initiative and therefore the website lists items from cottage industries also as 126+ popular brands.


     As a multi-retailer store, Daraz lists tons of products from different categories; however, their main focus is on male, female and youngsters apparel and fashion. This you'll tell by the amount of listings and therefore the number of purchases also as reviews. Thus their audience is usually young men and ladies .


      From 2012 when Daraz took advantage of pretty nominal competition. And now, Daraz has gone from millions to billions of PKR in their monthly sales. only for the record, on last Big Friday sake, Daraz made PKR 3 billion on one day.
    Business Model

    Daraz lets small retail stores and sellers list their items in their store which too freed from cost until that listing actually matures into a purchase . Once the item is packed, Daraz takes care of the delivery. Also, they provide a fulfillment model almost like Amazon; keep your inventory at Daraz’s warehouse and let Daraz lookout of packaging and shipping. is one among the foremost popular and fast-growing e-commerce stores in Pakistan. Yayvo may be a venture of E-Com which is an independent company and which belongs to the courier giant TCS. this provides Yavo an enormous benefit because its shipments are handled by TCS. a bit like the other big e-commerce store, they even have multiple categories.


     As per stats previously released by Kaymu (merged with Daraz), 70% of online customers are young males. this suggests that the audience of Kaymu is additionally largely consisted of young men.
     In an interview with Dawn, back in 2017, Yayvo’s CEO mentioned that company completed its 2015 to 2016 revenue target in only 4 months. After quite a year, this rate of growth must have increased.

    Business Model 

     a bit like any multi-retailer, their listing includes products from many various categories. From electronics to gadgets and from clothing to home appliances they sell everything. However, unlike Daraz they're not too hospitable individual sellers. They mostly let brands, manufacturers, and distributors sell the products on their portal, although there are always exceptions.


    Shophive, as most wouldn't know, is really one among the oldest online retailers in Pakistan. Although they need lost their status to shops that joined the e-commerce industry later, they still receive as many as 483,330+ visitors per month. Although Shophive may be a multi-retailer store, its main focus is on high-end gadgets, cell phones, tablets, and laptops etc.


     The gadget junkie young men and ladies are the most audience of this store. The store, since the day of its inception, has been a gadget and electronics store, and while this limits their appeal, it also makes them appear more authentic in gadgets and electronics niche.
     Their growth has been exponential since the start , but because they never seriously expanded their operations to other categories, that they had to offer up their rank to new websites like Daraz and Yayvo etc.

    Business Model 

    Their business model is analogous to Yayvo and that they mostly allow a seller who is either an area or a world brand. they are doing not offer any shipping or fulfillment services that other two websites offer. Also, their model isn't adaptable to multiple listings which is why they're not the amount 1 e-commerce site in Pakistan.
    How to found out Your Own E-commerce Store in Pakistan?
    Easier said than done. All folks know that products sell better than services, but only a couple of folks talk about the headache that a products-based business actually is.

    In case of services, you simply need to affect your customer, and if you’re reselling services, you've got to affect the lowly Fiverr ninja also .

    However, just in case of e-commerce, you've got to affect the customer, you've got to affect the wholesaler, you've got to affect your e-commerce courier service provider and yes, if you retain inventory, you've got to stay track of them too, together with your local post office.

    There are two e-commerce models for you to undertake your hands at. Each of them has their own merits and demerits, and within the end, it all boils right down to what proportion effort you set into your business.

    Selecting the Niche

    Assuming that you simply aren't looking good to travel crazy with a multiple-retailer website like Daraz, the choices that you simply are left with is to start out an e-commerce business on Facebook or establish alittle www store.

    Selecting the niche is extremely important just in case you are doing not have alittle team to require care of various sorts of products. So how are you able to find your niche?

    Here are a couple of important tips to assist you with finding a distinct segment and therefore the products from your local market:

    Find Products Near You 

     I remember this African woman who sells soaps on Amazon and her business is basically doing alright because what she did was a sensible entrepreneurial thing.

    Her country was rich in some kind of herbs that are utilized in herbal soaps. thanks to abundance, that specific herb was available at rock bottom rates, while in Western countries the value of an equivalent herb was considerably higher. All she did was make a soap mainly supported that herb, thus cut her production costs and made specialized recurring income out of this business.

    Try to find some staple around you that you simply can observe products from, or simply find products at wholesale rates and sell them at the retail rate. What you ought to search for may be a certain demand for the things that you simply can find near you and people too at cheap, wholesale rate.

    Get those items at a wholesale rate and sell them at the retail rate in areas where those products are hard to seek out or highly priced.

    For example, a budding entrepreneur in Multan: Mehran Fida, turned his ancestral farms into a corporation named Multan Farms and before later he was making Rs. 200,000 per week.

    His product? Multani Sohan Halwa and Multani ‘mitti’ (mud)! See? If someone can sell something like mud and observe money out of it, you'll also find a product that's native to your locale and sell it to people everywhere Pakistan.

    Sell an answer to a drag 

     There are tons of problems around you; you've got to seek out a drag that's marketable then find an answer and maximize it.

    However, marketing research is usually good before you jump to something. you've got to ascertain if you'll get the things at wholesale rates or you’ll need to get raw products and make value-added items by yourself.

    You also need to manage a wholesale – retail price ratio; that's you want to sell a product at 2x the first or production price so as to hide your expenses in terms of selling , equipment, place, and employees etc.

    How to Identify Demand – the foremost important thing is to ascertain if there's demand for something. Suppose your audience is people in big cities of Punjab, you'll need to check trends.

    This will take us back to the trends section that we've covered, but just to point out you ways Google trends can assist you find something of interest for people of Faisalabad, here may be a snapshot of the results once I chose country Pakistan, applied the keyword ‘Faisalabad’ and scrolled right down to Related Topics and Related Queries.


    While WooCommerce is completely free and open-source, tons of individuals choose Shopify as their e-commerce solution and therefore the excellent news is that it's even as easy to integrate with WordPress as WooCommerce is.
    The best part about Shopify is that it comes with tons of options that are only limited to Shopify software. for instance , Shopify comes with its own payment solutions, its own set of tools to arrange the PoS, allows you to choose the products from wonderful apps like Oberlo, place the orders and track them with its own unique tracking system.

    As you'll see, it's not like WooCommerce and since it offers numerous options, it's a paid software. a bit like WooCommerce, it also can be integrated with WordPress and has many online guides plus YouTube videos.

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