FOM Project Report

Organization: Daraz.pk

Members:
Ruhan Khalid 23k-5512
Rauf Awan 23k-5513
Khadim-e-Hasnain 23k-5549
Saad Rafique 23k-5507
 Introduction:
Daraz is a leading e-commerce platform that has been serving the South Asian
region since 2015. It is a one-stop-shop for all your shopping needs, offering a
wide range of products from clothing and accessories to electronics and home
appliances. With operations in Pakistan, Bangladesh, Sri Lanka, and Nepal, Daraz
has become a household name in the region.
OWNER: ALI BABA GROUP.
HISTORY: Daraz.pk is an e-commerce platform that was founded in 2012 as an
online fashion retailer in Pakistan by Muneeb Maayr and Farees Shah 1. In 2015,
the company broadened its offering across other product categories and shifted
into new markets across South Asia 2. Today, Daraz.pk is South Asia’s leading e-
commerce marketplace operating across Bangladesh, Pakistan, Sri Lanka, and
Nepal 2. In 2018, Alibaba acquired Daraz.pk. . In 2020, Daraz.pk launched Daraz
Mall, and its logistics technology was transformed 2.

Mission Statement:
Daraz.pk has a mission to make it easy to do business anywhere in the era of the
digital economy. The company aims to achieve this by uplifting communities
through the power of commerce.

Organizational Culture:
Daraz.pk’s organizational culture is centered around its purpose, vision, and
values 1. Daraz.pk has been certified as a Great Place to Work in Sri Lanka 2.
According to the certification, the entire organization cares about their shared
purpose and vision, while the management team has a clear view of how to run a
smooth workflow even with the ongoing challenges in the environment. All the
employees are equally valued, and they care for each other, catering to the clients
with the maximum amount of help and guidance 2.

Revenue:
According to Owler, Daraz.pk’s estimated annual revenue is between
$25-100M.
 (Owler is a business intelligence platform that provides company and industry
insights to help businesses make smarter decisions 1.)
Leadership Style:
The decision-making culture of Daraz is likely influenced by the
leadership style of the top executives and management team. If the
leadership encourages a participatory and collaborative approach,
decision-making may involve input from various levels of the
organization.
Audience:
According to SimilarWeb, Daraz.pk’s audience is predominantly male, with
73.63% of visitors being male and 26.37% being female 1. The largest age group
of visitors are between 25-34 years old.

SWOT Analysis:
1) Strengths:
 Daraz is a well-known e-commerce platform in the South Asian region 1.
 It offers a wide range of products from clothing and accessories to
electronics and home appliances 1.
 Daraz provides a personalized shopping experience that inspires people’s
uniqueness 2.
 It has a quick response rate to customer queries 1.
 Daraz has a very attractive website that is easily navigable 1.
 It provides a quick delivery of products to consumers.
 Daraz lists branded products like Samsung, Toshiba, etc.

2) Weaknesses:
 Lack of trust among general people 1.
 10 percent spam rate 1.
 70% low-quality products 1.
 Employee turnover is high 1.
  Low profit margin 1.
 Operate in few categories.
 There is a window of opportunity to improve page loading speed 1.

3) Opportunities:
 Daraz can expand its operations to other regions 1.
 It can increase its product offerings to include more categories 1.
 Daraz can partner with more brands to offer exclusive products 1.

4) Threats:
 Daraz faces competition from other e-commerce platforms in the region 1.
 It may face regulatory challenges in some countries 1
 Daraz may face challenges in maintaining its reputation for quality and
reliability 1.

Core Values:
1) Make it personal: Daraz aims to create a memorable and personalized
shopping experience that inspires people’s uniqueness.
2) Continuously innovate: In pursuit of excellence, Daraz is always looking for
better, faster, and smarter ways to stay ahead.
3) Deliver on our promise: Daraz is committed to delivering on its promises and
can always be counted on.
4) Generosity of spirit: Daraz goes beyond its needs as individuals and as a
business to positively impact others.

Goals and Objectives to achieve these goals:

 Make it easy to do business anywhere in the era of the digital economy: This
means that Daraz aims to provide a platform that is accessible to everyone, regardless of
their location or background, and that makes it easy for businesses to sell their products
online. By doing so, Daraz hopes to empower entrepreneurs and small businesses and help
them grow their businesses.
 Objectives:

o Increase the number of sellers on the platform by 20% in the next quarter.
o Expand the product offerings to include more categories and subcategories.

 Market Leadership: One of the primary goals for an e-commerce platform is

to establish and maintain market leadership in the regions it operates. This
involves capturing a significant market share and staying ahead of
competitors.
Objectives:

o Increase the market share by 10% in the next year.

o Launch a marketing campaign to increase brand awareness and attract new
customers.

 Customer Satisfaction: Ensuring customer satisfaction is crucial for the

success of any e-commerce platform. This includes providing a user-
friendly interface, reliable services, timely deliveries, and responsive
customer support.
Objectives:

o Improve the delivery time by 20% in the next quarter.

o Increase the number of customer service representatives to reduce response time.

PESTEL FACTORS:
 Political: This includes factors such as government stability, taxation policies, and

trade regulations. For example, Daraz may face regulatory challenges in some
countries 1.

 Economic: This includes factors such as inflation rates, exchange rates, and economic
growth. For example, the declining economic situation in South Asian countries may

negatively affect Daraz 2.

 Social: This includes factors such as demographics, cultural trends, and consumer
behavior. For example, Daraz may need to adapt its product offerings to cater to the
changing needs and preferences of consumers 3.
 Technological: This includes factors such as innovation, automation, and research
and development. For example, Daraz may face challenges in keeping up with the

latest technology trends 3.

 Environmental: This includes factors such as climate change, natural disasters, and

environmental regulations. For example, Daraz may need to adopt more sustainable
practices to reduce its environmental impact 4.

 Legal: This includes factors such as labor laws, intellectual property laws, and
consumer protection laws. For example, Daraz may face legal challenges related to

data privacy and cybersecurity 5.

 Major Competitors:
 Ali Express
 Ishopping.pk
 Telemart
 Mega.pk
 Goto

 Conclusion:
Daraz is a one-stop-shop for all your shopping needs,
offering a wide range of products from clothing and
accessories to electronics and home appliances. It’s mission
is to uplift communities through the power of commerce.
They aim to achieve this by providing a memorable and
personalized shopping experience that inspires people’s
uniqueness.