11.11 set to drive smart spending as Pakistanis seek value amid economic pressures

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2024-11-07T15:02:46+05:00 Web Desk

11.11 – widely recognized as 'gyarah gyarah' in Pakistan – has become synonymous with consumers eagerly planning their purchases well in advance, searching online for the best deals on their wish lists, or simply indulging in impulsive buys driven by attractive discounts.

Originally conceived in China, 11.11 was introduced to Pakistan by e-commerce leader Daraz in 2018, and it quickly evolved into a major event in the local consumer spending calendar.

Today, it influences not only online spending but also offline retail, with many businesses capitalizing on the shopping frenzy. Nevertheless, 11.11 remains predominantly an e-commerce phenomenon, and with Pakistan’s online shopping landscape expanding rapidly—boosted by greater internet access, widespread smartphone usage, fintech industry and enhanced payment solutions—the festival continues to grow in prominence and excitement each year.

The outlook for this year’s 11.11 remains exciting, but with noticeable shifts in consumer behaviour. Rising inflation and utility costs are driving up product prices, leading to more thoughtful purchasing decisions. Recent economic challenges have also altered buying habits, with consumers opting for smarter purchases and often choosing more affordable alternatives to their preferred brands. 

In such an environment, success for platforms and sellers hinges on thorough preparation—strong communication, a well-curated assortment of products and promotional strategies are essential to thriving in a major shopping event.

According to Moiz Siddiqui, Director Commercial, Daraz Pakistan, five key categories are expected to dominate consumer spending across all shopping channels: Fashion, Health & Beauty, FMCG and Electronics. ‘Despite a slight decline in inflation, many consumers are still feeling the pinch from high essential costs.

For this year’s Daraz 11.11, we are committed to offering exclusive deals and discounts going up to 80% off, designed to help consumers overcome these inflationary pressures. We have invested substantially to ensure we deliver the lowest prices of the year, making shopping more accessible and rewarding.'

Moiz highlighted that consumers plan to increase their spending during this year's 11.11 event as they seek better value for money, with the growth of online shopping playing a key role. ‘This shift creates significant opportunities for sellers to expand their market share and scale efficiently. Understanding your customers is crucial in this environment. Free Delivery has been one of our most popular offerings throughout the year, which is why, for the first time, we are extending it across our entire platform during 11.11. Gamification is another powerful tool to engage consumers, and our new Flash Sale channel, featuring highly sought-after products with massive price slashes for limited windows, will further enhance the shopping experience.’

As per Nisar Moosa, Chief Operating Officer, Retailer Pakistani ‘The last two months of the year are an opportunity for agile, forward-thinking sellers to grow. They need to move fast to seize opportunities, with a particularly intense focus on streamlining their assortment at the right price to offer promotions that increase online traffic and basket size of buyers.’

The macroeconomic environment is in a better place than it was in the same period last year, with inflation easing in Pakistan. Despite this, experts agree consumers generally remain cautious. Retailers will still need to work hard to demonstrate value and incentivise cautious shoppers to spend their hard-earned cash.

‘Managing monthly expenses has become increasingly difficult, with most of my paycheck going toward essential needs, leaving little room for discretionary purchases or savings. As 11.11 approaches, I'm hopeful that I will finally be able to upgrade key home appliances, like our air conditioner and refrigerator—items I've been saving for but have had to postpone due to their rising prices,’ said Ahmed Matin, a regular online shopper.

‘One of my go-to destinations for all the trendy finds I come across on Reels and Pinterest is Daraz – they’ve got the cutest items at the most affordable prices especially when I take advantage of deals such as Any 3. It's honestly my guilty pleasure! I can't wait for 11.11 to finally grab a few things from my wishlist, like hair accessories, coffee mugs, and some organizers to give my room that Pinterest-perfect vibe,’ shared Humaira Iqbal.

‘We have witnessed 11.11 being extended to almost the whole month of November, which means that the customer demand during this season has only grown from strength to strength during this period. This also goes on to show how technology has transformed the buying and selling habits of Pakistanis.

Through this mega event, platforms like Daraz have helped thousands of sellers from across the country display their products to the right consumers, while consumers have better access to the kind of products they want at the right price,’ says Farhan Anis, Vice President, E-commerce Gateway. 

‘This year 11.11 can allow sellers and brands to experiment further with value-driven promotions’, he predicts. ‘This can include bundled offers, exclusive launches and leveraging the massive traffic platform like Daraz brings in to develop brand loyalty. There may also be an emphasis on cross-selling, driving additional sales through products that complement the original item of purchase,” he says.

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