Even before the COVID-19 pandemic, e-commerce was already experiencing significant growth – with the industry growing at a steady rate of 4.5% globally.. This is mainly due to factors such as increased digitization, improvements in technology and infrastructure, and consumers who expect more convenience and accessibility.
The pandemic, however, has sparked a dramatic boom in e-commerce. In South Asia, where e-commerce lags behind regions like Southeast Asia, the pandemic has accelerated its adoption. Digital maturity in South Asia has accelerated, with more consumers – of all ages – turning to online shopping due to bottlenecks, and businesses must think outside the box to find new ones. sales channels and ways to retain customers.
With that in mind, Daraz – the largest e-commerce platform in Southeast Asia – has seen business on its platform continue to experience 100% year-over-year growth and is on track. to reach over $ 1 billion in sales on its platform this fiscal year. . In 2021, the company reached more than 40 million users on its platform in its five markets and more than 100,000 active SME sellers.
The opportunity of e-commerce
This growth is expected to accelerate further, especially with the growing internet penetration in the region, with more and more SMEs now seeking to integrate e-commerce into their operations and the governments of the region changing their perception of economic value. of electronic commerce.
COVID-19 has provided the ultimate test in which governments across South Asia now recognize the role of e-commerce in sustaining regional economies during the crisis. As a key player in the industry, Daraz has shown how its platform can support business continuity, ensure that essential goods and services can continue to be delivered, and improve the economic resilience of the markets in which it operates. .
True to its belief that South Asia’s digital economy is now at an inflection point, Daraz is committed to working with governments across the region to fuel the growth of e-commerce and digitization across its businesses. five markets. The objective is to increase the number of SMEs active in e-commerce and digital on the Daraz platform and, ultimately, to create more jobs thanks to its market model.
Beyond its economic impact, the Daraz platform has made commerce more accessible to communities across South Asia, in line with the company’s vision of “uplifting communities through the power of commerce.” “. It focuses on creating an environment in which entrepreneurs and SMEs can thrive by providing them not only with innovative and technology-driven logistics and payment solutions, but also learning opportunities and tools. on how to successfully run electronic businesses from scratch.
By fostering entrepreneurship across South Asia, Daraz believes this in turn will mean he can provide his customers with access to a wider range of products and services.
Charting a new course for 2022
In recent years, Daraz has accelerated its growth momentum across the region. Today, the company has unparalleled market leadership and several parts of its ecosystem – the e-commerce market, digital logistics network, financial payments and financial services – are poised to continue growing in a region with great potential.
To start the year, Daraz will undergo a complete refresh of its brand. As the brand’s appearance now evolves to be more modern, contemporary and accessible, Daraz is now ready to establish an emotional and experiential relationship with its customers as well as with salespeople.
The brand’s focus will shift to a more exploratory and personalized experience, where the focus is not just on selling products, but rather on experiences. While it brings the joy of shopping to people across the country with the wide variety of assortments on its platform, it will continuously innovate and create new avenues of entertainment and engagement for its sellers and his clients. This aligns with the company’s ambition to make e-commerce a key part of people’s daily lives, and not just when they need to buy something.
More than just a cosmetic change, the brand refresh signifies the evolution of Daraz as it prepares to realize its vision of reaching 100 million customers and businesses by 2030 and usher in a new era. e-commerce platform for South Asia.
Provide an experience through the products people buy. Achieve aspirations through a wide assortment and create.