The Role of Mobile Shops in the Retail Industry of Pakistan

The Role of Mobile Shops in the Retail Industry of Pakistan

Mobile Shops in the Retail Industry of Pakistan

With the advent of Science and Technology, the telecommunication industry of Pakistan has experienced a boom. You press enter and the world is in front of you. As you walk on the streets of Lahore or any other city of Pakistan, you will see that every other person is glued to mobile texting and chatting, exchanging notes on Whatsapp or even paying electricity bills through smartphones.

With more and more people connecting via cell phones and other mobile devices, cellular phone shops have become a highly successful and profitable business in Pakistan. They offer a huge range of services and plans for mobile carriers around the nation. The mobile phone business provide numerous services for many different brands and types of cell phones and wireless carriers. Some Mobile Shops repair or refurbish cell phones. These Mobile Shops for cell phones can be set up in shopping malls and other high traffic zones to increase contact and eventually profits. And others sell accessories and new wireless plans for a specific wireless carrier.

The mobile market in Pakistan has experienced a major growth over the past decade, however a significant share of the population is not connected to mobile services. The mobile market in Pakistan has expanded rapidly over the past decade, with the number of unique subscribers increasing by 37.4 million (85.1%) between 2008 and 2018. Mobile sector expansion in Pakistan has been driven by significant capital expenditure by mobile operators, who, on average, have made annual capital investments equivalent to around 25% of their revenue during the last decade. The report further states that total mobile sector revenues were $3.4 billion in 2017, equivalent to 1.1% of Pakistani gross domestic product (GDP), while the sector contributed approximately $1.8 billion of direct economic value to Pakistan in 2017 (0.6% of GDP). This contribution to GDP is relatively low compared to international benchmarks, suggesting considerable scope for expansion. The majority of the population (59.7% of the population, or 120 million people) is still unconnected to a mobile network. Unique subscriber mobile penetration in Pakistan stood at 40.3% in Q3 2018, which is the lowest level in South Asia. Further significant investment is required to drive the expansion of the mobile market and to improve the affordability of services for consumers.

Mobile Shops in the Retail Industry of Pakistan

The growing competition, availability of 3G and 4G networks, affordable prices of smartphones and the need to have ‘my own phone’ have submerged the Pakistani audience in a turmoil which is continuing further. Thanks to the magnanimous role played by the mobile broad band industry, the launch of 3G and 4G networks in Pakistan are believed to have connected more than 1 million users to high speed internet every month.

Various market surveys suggest that to make a mobile phone profitable business in Pakistan, you need to work on two main factors. Your research about your business location and products. The location should provide walk-in customer opportunity at a particular place. At least 50+ clients should visit your phone shop. Be very selective about choosing a product, so do your research and keep a check on products available in market. An average mobile phone shop owner can earn between Rupees 70,000 to Rs.1, 80,000 per month.  Your key to success lies in maintaining your loyal customers. There are many mobile phone retailers who have not put huge investment but their business is functioning well because of long term friendly associations with clients.  Their warm hearted and welcoming behavior for the customers have helped them beaten up their competitors. They listen to the complaints of customers on priority basis. For instance if a customer complains that he/she has not received an ‘easyload’ consisting of meager amount, the owner tries to resolve it instantly. Similarly those shops which offer money transfer services like Easypaisa, new mobiles, mobile accessories and used cells earn more profits than any other mobile shop. The mobile owners also facilitate customers through easyload, SIM cutter tools, screen cleaning tools, mobile account deposit and small screen protectors which are very economical and attract customers to a shop.

Generally, an investment of 5 lac is required to open a well-sourced and affordable mobile shop in Pakistan. For a startup retailer you need to do planned research in the local market to stay selective in products while buying. Additional significant investment is necessary to drive the extension of the mobile market and to improve the affordability of services for consumers. In particular, an emphasis on expanding network coverage, and investments in the quality of data services, could speed up the growth of the sector in Pakistan.

Role of Mobile Shops in the Retail Industry of Pakistan

To conclude, the concept of ‘mobile shops’ has become more digitalized with the passage of time. As mentioned above, it has become a platform which caters to your every need related to mobile. Whether you want to get your phone fixed, buy a new one or wish money to be transferred, these franchise and mobile shops serve you with a smile. You don’t need to go elsewhere to get your required print outs or notes photocopied. These outlets are there to sort out your digital worries and aim to give you professional success which you truly deserve.

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