eCommerce market in Pakistan

Pakistan is the 51st largest market for eCommerce with a predicted revenue of US$2,851.6 million by 2024, placing it ahead of Nigeria. Revenue is expected to show a compound annual growth rate (CAGR 2024-2028) of 13.9%, resulting in a projected market volume of US$4,796.9 million by 2028. With an expected increase of 14.6% in 2024, the Pakistani eCommerce market contributed to the worldwide growth rate of 10.4% in 2024. Like in Pakistan, global eCommerce sales are expected to increase over the next years. Seven markets are considered by ECDB within the Pakistani eCommerce market. Electronics is the largest market and accounts for 23.1% of the Pakistani eCommerce revenue. It is followed by Hobby & Leisure with 22.0%, Fashion with 18.3%, Furniture & Homeware with 11.8%, Grocery with 8.6%, Care Products with 8.5%, and DIY with the remaining 7.8%.

The online share refers to the proportion of the retail volume that is transacted via the Internet. It includes purchases via desktop PC, tablet or smartphone, both via website or app. Only retail of physical goods is taken into account. In the Pakistani retail market, the online share is 3.0% and will increase by an average of 1.3% to 3.1% by 2028.

The biggest player in the Pakistani eCommerce market is bagallery.com. The store had a revenue of US$37.6 million in 2023. Store rankings include every store that generates revenue in Pakistan. These stores can either have a national focus and only sell in their main country or operate on a global scale. For this evaluation, only revenue created in Pakistan was considered.

The Pakistani eCommerce market in 2023 in terms of offered payment methods is fragmented and dominated by a few providers with Cash on delivery (Cash on delivery) covering the largest share with 93.9% of all online stores checked. Other offered payment methods in the Pakistani eCommerce market in 2023 are VISA (Cards) with 67.8%, Mastercard (Cards) with 64.3%, and Bank transfer/cash in advance (Bank transfer) with 58.3%. With 43.5% Invoice (unknown) has already a significantly smaller coverage compared to Cash on delivery (Cash on delivery).