E-Commerce is defined as buying and selling of goods or services including digital products through electronic transactions conducted via the internet or other computer-mediated (online communication) networks(1). The emergence of E-Commerce has paved the way for inclusive trade and economic development. Global E-Commerce has been growing exponentially since the last two decades. E-Commerce in Pakistan is at a nascent stage, E- Commerce businesses in Pakistan such as Daraz.pk, Pakwheels.com, Olx, zameen.com etc. are already achieving significant business in Pakistan.
After the economic devastation and restrictions of Covid-19 in Pakistan, both traders and buyers turned to online business and according to the statistics of various organizations, Pakistan saw a significant increase in online business during Covid-19. The E-Commerce company Daraz has facilitated online business for more than 5,500 people. According to AFP, company officials say the company is providing an online business and financial support to 45,000 businesses across the country(2). According to the report, the epidemic has not only proved the need for online business but with the introduction of online business to the general public, the business has grown exponentially. On the other hand, as soon as the lockdown is over, people turned to the markets and preferred to buy from the market rather than online shopping and gradually the rate of the online business began to decline and according to experts, the Pakistani people have now reduced and rejected online shopping.
If we look at the reasons for rejecting online shopping, we come across some important reasons.
(1) Lack of Awareness: Since the majority of the Pakistani people are not aware of the basic rules and regulations, advantages, and disadvantages of online business, they abandoned online shopping as soon as the situation became normal.
(2) Unaccustomedness: In a short period of six to eight months, there is no consistency in any work or habit, so it will take a long time to become accustomed to online shopping.
(3) Cheating and Fraud: Cheating and fraud are predominant on social media in Pakistan, many websites and Facebook pages show something and transmit something else, due to which the public have been careful and Avoids online shopping.
(4) Cultural and traditional reasons: In Pakistan, since people are accustomed and eager to go to the markets to shop and eat in restaurants, it seems difficult for them to abandon this tradition.
(5) Cheap and thrift markets: In online business, it has been observed that these purchases are mostly suitable for the affluent people, while the public prefers to buy cheap and used items from cheap and thrift markets.
(5)Fear of data leaks:During the epidemic, the number of cyber attacks worldwide increased by 23%. Lack of cyber security could affect institutions and important personalities and their capital is also in danger(3).
As far as my experience is concerned, as a trader, I have not been able to reap significant benefits from the online business for some reasons, including the lack of regular marketing, when it comes to shopping, Online shopping involves the experience of being deceived and all claims are worthless after online shopping.
In my personal opinion, it takes a lot of time for E-Commerce to flourish in Pakistan. For this, it is necessary to enforce global laws, create awareness among the people, protect them from fraud and deception, and create favorable conditions for Traders and Buyers. Somewhere along the way, we can promote online business in the country.
References:
(1).(E-Commerce policy framework of Pakistan August 2019 ,page no 6)
(2).dailypakistan.pk
(3).VoiceofSindh.com