Starting an online business in Pakistan has never been more promising. With a population of over 240 million people, increasing internet penetration, and a rapidly growing youth demographic, Pakistan is on the peak of an e-commerce revolution. Platforms like Daraz, Shopify, and even Instagram shops have opened opportunities for entrepreneurs to sell products online with relatively low investment.
Why E-commerce in Pakistan is Growing
Before diving into the “how,” it’s important to understand the “why.” The growth of e-commerce in Pakistan is driven by several factors:
- Rising Internet Usage: As of 2025, Pakistan has over 125 million 3G/4G subscribers. This digital audience is increasingly turning to online shopping.
- Youth Demographic: With over 60% of the population under 30, Pakistan has a tech-savvy generation eager to shop online.
- Affordable Smartphones: The availability of budget smartphones has made online shopping accessible to people across the country.
- COVID-19 Impact: The pandemic accelerated the shift toward digital purchases, encouraging both businesses and consumers to adopt e-commerce platforms.
According to a State Bank of Pakistan report, e-commerce transactions have grown by over 75% in the past few years, showing that the market for online business is only expanding.
Step-by-Step Guide: How to Start an Online Store in Pakistan
Step 1: Identify Your Niche
Choosing the right niche is the foundation of your e-commerce startup. Instead of trying to sell everything, focus on a category that you are passionate about and has demand in the Pakistani market.
Examples of profitable niches:
- Fashion and apparel (especially women’s clothing)
- Electronics and gadgets
- Health and beauty products
- Baby products and toys
- Home décor
Tip: Use tools like Google Trends or simply analyze what’s selling on Daraz and Instagram shops to identify high-demand categories.
Step 2: Conduct Market Research
Understanding your target audience is crucial. Ask yourself:
- Who is my ideal customer?
- What problems am I solving for them?
- What platforms do they use for shopping?
You can conduct surveys, analyze competitors, or join Facebook groups related to e-commerce in Pakistan to gather insights.
Case Example: A Lahore-based startup selling modest fashion apparel gained traction after realizing a gap in trendy yet affordable hijab wear. They identified this niche through online communities and customer feedback.
Step 3: Register Your Business
While many entrepreneurs in Pakistan start informally, registering your business has long-term benefits, such as building trust with customers and gaining access to payment gateways.
You can register as a Sole Proprietor or Private Limited Company with SECP (Securities and Exchange Commission of Pakistan). You may also need an NTN (National Tax Number) for taxation purposes.
Step 4: Build Your Online Store
There are multiple ways to start your online store in Pakistan:
- Use an E-commerce Platform:
- Shopify: Easy to set up, global platform with monthly charges.
- WooCommerce (WordPress): Flexible, affordable, and customizable.
- Daraz Seller Central: Pakistan’s largest e-commerce marketplace with millions of users.
- Shopify: Easy to set up, global platform with monthly charges.
- Social Media Shops:
- Instagram and Facebook Shops are becoming popular for fashion, cosmetics, and lifestyle brands.
- Instagram and Facebook Shops are becoming popular for fashion, cosmetics, and lifestyle brands.
- Custom Website:
- If you want full control, hire a developer to build a tailored e-commerce website.
- If you want full control, hire a developer to build a tailored e-commerce website.
Pro Tip: Start small with Instagram or Daraz, then expand to your own website as your customer base grows.
Step 5: Set Up Payments and Logistics
One of the most important aspects of running an online business in Pakistan is ensuring smooth payment and delivery options.
- Payments:
- Cash on Delivery (COD) is the most popular payment method.
- JazzCash, Easypaisa, and bank transfers are also widely used.
- For international customers, you may need PayPal (through third-party solutions) or Stripe.
- Cash on Delivery (COD) is the most popular payment method.
- Logistics:
- Partner with reliable courier companies like TCS, Leopard Courier, Call Courier, or M&P.
- Many couriers offer special packages for e-commerce businesses.
- Partner with reliable courier companies like TCS, Leopard Courier, Call Courier, or M&P.
Step 6: Market Your Online Business
Marketing is where many e-commerce businesses in Pakistan succeed—or fail. You can have the best products, but without marketing, you won’t get sales.
Effective marketing strategies include:
- Social Media Marketing: Instagram and Facebook are essential. Regularly post engaging content and use paid ads.
- Search Engine Optimization (SEO): Optimize your website to appear on Google searches for products.
- Influencer Marketing: Collaborating with micro-influencers can boost visibility.
- Email Marketing: Collect customer emails and send promotions or new arrivals.
- WhatsApp Marketing: Many Pakistani businesses use WhatsApp groups and broadcasts to reach loyal customers.
Real-World Example: A small beauty brand in Karachi used TikTok influencers to promote their skincare line. Within three months, their sales doubled due to short-form video marketing.
Step 7: Focus on Customer Experience
Customer experience is everything in e-commerce. Deliver what you promise, respond to queries quickly, and make returns hassle-free.
Happy customers = repeat buyers + free word-of-mouth marketing.
Tip: Offer loyalty discounts or bundle deals to keep customers coming back.
Common Challenges in Starting an E-commerce Business in Pakistan
- COD Dependency: Many customers prefer Cash on Delivery, which can lead to return and cancellation issues.
- Trust Issues: Due to scams, customers are cautious. Build trust with transparent policies and reviews.
- High Competition: Many niches are saturated. The key is to differentiate yourself with unique products or better customer service.
- Logistics Issues: Delayed deliveries in rural areas can hurt customer satisfaction.
Opportunities in the Pakistani E-commerce Market
Despite challenges, the opportunities far outweigh the risks:
- Untapped Niches: From organic food to handmade crafts, there are countless opportunities.
- Cross-Border Selling: Pakistani sellers can use Amazon and eBay to sell internationally.
- Digital Payments Growth: With fintech growth, online transactions are becoming easier.
- Freelancers Entering E-commerce: Many Pakistani freelancers are using their digital skills to launch online businesses.
Conclusion
Starting an e-commerce business in Pakistan requires research, planning, and dedication, but it is more achievable than ever before. From identifying a niche and building your store to marketing your products effectively, this guide has provided a step-by-step roadmap for aspiring entrepreneurs. The opportunities in the Pakistani online business market are immense, and with the right strategy, your e-commerce startup can thrive in this digital age.
If you’re ready to take the next step, consider launching your store with Shopify — one of the most powerful and user-friendly platforms for online selling. Whether you need a basic setup or a fully customized store, professional Shopify website development can help you create a polished, high-converting e-commerce website tailored to the Pakistani market.
