15 January 2020, Kathmandu
Daraz is the leading online marketplace in Nepal has been steadily making its mark in the online industry since its inception in 2012. The company was acquired by e-commerce giants Alibaba in 2018 and currently operates in Pakistan, Bangladesh, Nepal, Sri Lanka, and Myanmar. After undergoing a massive app redesign in 2018, and further developments in 2019, Daraz has seen massive growth. Since 2018, the company has witnessed a whopping 200% increase in sellers and buyers and a massive 270% increase in orders. Consequently, Daraz had several successful campaigns in 2019. The 2nd edition of Daraz 11.11 held in 2019 received 1 lakh plus orders and registered more than 3.5 Lakh users in a single day, double than to that of 2018’s 11.11.
Many new upgrades were introduced in 2019, such as pre-payment options through Debit/Credit card, better review, and rating system, including a feature that allows direct chat with the seller in real-time called instant messaging; in-app games and much more. Daraz also heavily invested in its infrastructure and resources, establishing its own logistics unit called Daraz Express (DEX), along with employing more than 300 personnel. A variety of brands like Samsung, Casio, Adidas, Titan, Xiaomi, Sonam Gears, TVs, etc. joined Daraz as well.
Daraz hosts 100,000 plus users daily and delivers more than 1.6 lakh plus packages all over Nepal every month. Daraz currently has over 3000 sellers selling millions of products to thousands of customers in Nepal. The company aims to increase its sellers and customers in 2020 by increasing its network allowing sellers from across the country to sell in Daraz and adding more delivery locations enabling more customers across the country to purchase online. The company is also in the works of introducing new payment methods such as digital wallets and more entertainment features for its consumers in 2020. Furthermore, the company is also looking to further digitize the logistical ecosystem.
Although the company has seen a meteoric rise over the years and aspires to lead Nepal into a digital era, it hasn’t been free from criticism. According to Daraz Managing Directors, LinoAhlering and Jai Kavi, the company’s aim is to provide the best service and experience to its customers, and without customer feedback, this isn’t possible. When asked about this, Mr. Ahlering said,
“Everything we do is a stress test for the next 11.11. We constantly look into ways to make the sellers, the customer experience, customer service, and the infrastructure better. We always look back to see what we can improve. This mindset led us to double our figures compared to the first 11.11. We know we are far from being perfect. We are young, and still in an early stage, and we still need to learn a lot. Customer feedback is what we rely on to improve ourselves no matter if it is positive or negative.”
