Islamabad, PK – 24 June 2021 – 82.20% enterprises in Pakistan are facing a cash flow shortage in the COVID-19 period. This puts a serious challenge for starting a business in Pakistan. Although Pakistan ranks at 72 among 190 countries on starting a business on the World Banks’s Ease of Doing Business Report 2020, the new dynamics demand new approach for the micro, small and medium enterprises.
This gap has been filled by the two leading enterprises in Pakistan by joining hands, with a common goal of empowering the people of Pakistan to achieve self-sufficiency through e-commerce and digital skills, Dukan.pk has partnered with Extreme Commerce to help local businesses sell online. Extreme Commerce is the largest online selling community of Pakistan with approximately 700,000 members. It has trained and helped thousands of people to sell online in the ecommerce platform and generate over $100 million in sales through Amazon, eBay, and other platforms.
The partnership will look into the possibilities to capacitate businesses for online payments as well. 72.29% enterprises in Pakistan reported cash as the major payment method. 59.74% Micro Small and Medium Enterprises in Pakistan reported bank transfer method, 24.24% used personal cheque to make payments, 22.08% online payment method, 13.85% debit or credit cards, 6.49% money orders, and 4.33% used mobile payment methods. The government plans to digitize cash on delivery (CoD) payments above PKR 10000 by the year 2022, and all CoD payments will be replaced with online payments by the year 2029.
Extreme Commerce’s Founder and CEO, Sunny Ali said, “It is heartening to see the emergence of local platforms like Dukan.pk to help sellers reach their customers. We are proud to partner with the leader in this space.” He further said, “this partnership will allow anyone with a smartphone to gain e-commerce selling skills and equip them with easy-to-use technology, enabling web store creation, online payments, and delivery management.”
There are currently over 5 Million micro and small enterprises (MSMEs) in Pakistan that are eager to join the e-commerce revolution but lack the technical know-how.
Monis Rahman, founder and CEO of Dukan.pk, while reiterating his commitment to uplift small local businesses said, “Dukan’s mission is to let anyone with a smartphone sell online in under one minute. Our partnership with Extreme Commerce will help accelerate this mission by complementing our platform with high quality e-commerce training for local sellers.”
Pakistan has an approx. 3.2 million SMEs. SMEs constitute nearly 90% of all the enterprises in Pakistan; employ 80% of the non-agricultural labor force; and their share in the annual GDP is 40%, approximately. However, unlike large enterprises in the formal sector, a small and medium enterprise is constrained by financial and other resources. This inherent characteristic of an SME makes it imperative that there should be a mechanism through which it may get support in different functions of business including technical upgradation, marketing, financial and human resource training & development.
To build a knowledge platform, that can enable new thinking and innovation for the SME Ecommerce approach, Extreme Commerce has already signed an agreement with the Small and Medium Enterprise Development Authority (SMEDA) as well. Extreme Commerce is also working with the academic and research institutions across Pakistan and beyond.
Dukan.pk is a new revolutionary and free of cost E-Commerce App. Through this each store will get its own personalized URL. There are 9 different payment methods with hassle-free stock purchase, sales report, inventory management and order history. Led by a team of industry veterans, Dukan has been able to create over 40,000 online stores, growing 350% monthly by average. It provides local sellers with a free, easy, and effective platform to set up their web stores and sell online.
Extreme Commerce is Pakistan’s first EdTech start up with a sole focus on skills development and capacity building within the ecommerce and digital arena. Founded in 2017, it is the largest community of its kind in Pakistan, with well over 735,000 members to date and with over 100+ courses and income streams to choose from. We estimate that by 2025, our community will be 1 million strong, generating well over $1 billion in inward remittance for Pakistan.