Interview with Ben YI - Managing Director, Daraz Pakistan: ‘The real breakthrough will come from frequency’

Ben Yi, Managing Director of Daraz Pakistan, reflects on the e-commerce landscape in Pakistan and the company's growth trajectory. He notes a shift in consumer behavior, with consumers becoming more selective, value-conscious, and demanding in terms of assortment, delivery, and consistency. This evolution is not limited to urban centers but is also spreading to other parts of the country.

Over the past fourteen years, Daraz has focused on building access, earning consumer trust, and developing the necessary logistics and technology to serve Pakistan's diverse market. Looking ahead, Yi emphasizes the importance of productivity. He aims to bring more businesses into the ecosystem, particularly from outside major cities, by providing them with better demand insights, assortment, inventory planning, and fulfillment support.

Established brands will require a different kind of assistance, with Daraz developing specialized programs to help these businesses operate more efficiently and unlock incremental growth.

DEX, Daraz's logistics infrastructure, has played a significant role in the company's evolution. By serving more than 200 leading brands, DEX has become a crucial component of Pakistan's digital economy. It allows brands to focus on products, customers, and growth by utilizing shared infrastructure for fulfilment. This shift signifies Daraz's broader role in the digital economy, supporting various business models beyond its marketplace.

As e-commerce continues to grow in Pakistan, Yi sees a shift from discretionary purchases to everyday and essential needs. The healthcare sector, in particular, benefits from the convenience and trust associated with e-commerce. Daraz has launched a licensed e-pharmacy offering over 450 products from more than 20 pharmaceutical and healthcare brands.

As digital payments become more accessible and rewarding, their share of sales is expected to increase steadily, enhancing efficiency and reducing transaction friction across the ecosystem. AI is also playing an increasingly important role at Daraz, where Yi sees it making a significant impact on customers and sellers alike.