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Digital economy turns profitable

The Express Tribune • • 1 min read

Digital economy turns profitable

The Express Tribune reports that Pakistan's digital economy is starting to show commercial results, as digital payments grow and platforms move away from discount-led expansion toward earnings. People familiar with the matter said Daraz, which has the largest market share in the country, reached group-level profitability in July. The report places this within a wider shift where durable economics now matter more than user acquisition.

Industry officials quoted in the article argue that a population above 250 million and wider internet access create reach but do not guarantee durable businesses. Platforms built on transactions must clear a tougher bar than entertainment apps, since every order depends on payments, delivery and trust. Inflation, more price-conscious shoppers, higher taxation and scarcer capital have pushed growth toward delivery economics, payment reliability and customer retention.

The article cites Airlift's shutdown and Careem's exit from ride-hailing as signs of pressure, while Foodpanda, inDrive and Yango show the market remains active. It also frames online commerce as only 2-3% of overall retail, which leaves room for platforms, sellers and fintech firms to grow. The article argues the next phase will be judged by how durably platforms operate rather than how fast they expand.

At a glance

  • Daraz reportedly reached group-level profitability in July, according to people familiar with the matter.
  • Platforms are shifting from heavy discounting toward delivery economics, payment reliability and customer retention.
  • The article uses a 2-3% online share of overall retail to show room for growth.
Sectors:Technology & Communication

Originally reported by The Express Tribune

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