The Potential Of Online Businesses In Pakistan
According to Google’s whitepapers, Pakistan is on its way to becoming one of the biggest digital economies in the world. In November 2018, Google published a paper in “Think with Google” suggesting that brands should invest more on their market strategies in the country as Pakistan will soon be a digital first economy. The paper said, “With an economy powered by small- and medium-sized enterprises (SMEs) and a rapidly growing population of mobile users, the country is on track to produce one of the largest digital audiences in the world.”
The article further indicated that our population will soon become the fifth largest population in the world, and that too with a great majority being the youth inclined towards pursuing entrepreneurial careers. With 40% of the households living in cities and with around 60 million smartphone users, investment in digital campaigns can bring extraordinary results for Pakistani businesses.
Recently, there has been a huge increase in the internet traffic coming from Pakistan. Studies show that internet penetration has grown by 68% in the last three years. Many brands and marketers have been using the internet to boost their social media presence and increase brand awareness but now in 2020 as the people are becoming more empowered and leaning towards technology, marketers need to rethink their strategies and find innovative ways to engage the online consumers in the country, not just increase brand awareness but also their sales. Ever since the lockdowns in the country, the internet traffic has increased even more due to the many physical stores and outlets being closed. People have started to put their trust in many online outlets and e-commerce stores; this has opened doors for many other brands and businesses to take advantage of the opportunity and give their brand a boost by giving their customers more than just promotions.
However, the current scenarios in the country are starting to cause alarming situations for businesses, and especially small businesses, as it is becoming harder for them to survive in this competitive market. The heavy load of taxes and other costs on the businesses were already giving them a tough time and with the current situation, it can become more challenging. The sales have gone down enormously for almost all industries across the world. Businesses are facing shortages of supplies especially the ones that relied on imports. The devaluation of Pakistani rupee is also worsening the situation for businesses as the prices of the products and raw materials have increased.