The landscape of commerce in Bangladesh is undergoing a seismic shift, driven by widespread internet penetration and a burgeoning ecosystem of digital entrepreneurs. While the traditional brick-and-mortar model remains significant, the momentum has clearly swung toward online platforms. According to Avenue Sangma, a digital marketing professional and keen industry observer, this transition isn't just a fleeting trend but a fundamental restructuring of the national economy.
In a recent discussion regarding the state of digital commerce, Sangma highlighted that Bangladesh is currently witnessing unprecedented growth in digital business sectors. This surge is powered by a young, tech-savvy demographic and increasingly affordable internet access.
"We are looking at a pivotal moment in our economic history," Sangma noted. "The digital infrastructure that has been built over the last decade is now bearing fruit. We aren't just seeing large corporations digitize; we are witnessing a grassroots revolution where small enterprises are leapfrogging traditional barriers to entry."
Data supports Sangma’s observations. Recent reports indicate that internet penetration in Bangladesh has crossed significant milestones, with active internet users now comprising a substantial portion of the population. This connectivity is the bedrock of the digital economy.
"Access is the first hurdle, and we have largely cleared it," Sangma explained. "When you look at the metrics, the sheer volume of daily active users on social platforms and local marketplaces tells a compelling story. It’s no longer about whether people are online; it’s about how they are transacting online."
He pointed out that mobile financial services (MFS) have played a crucial role. The ease of payment through platforms like bKash and Nagad has lubricated the friction that previously existed in e-commerce. "Without seamless digital payments, digital business is just a catalog. With them, it's a marketplace," he added.
Perhaps the most striking aspect of this growth is the involvement of Small and Medium Enterprises (SMEs). Sangma emphasized that digital platforms have democratized business in Bangladesh.
"Historically, setting up a retail business required significant capital for real estate and inventory," Sangma observed. "Today, a Facebook page and a small stock are enough to launch a brand. We are seeing thousands of f-commerce (Facebook commerce) entrepreneurs emerging from districts outside Dhaka. They aren't just selling to their neighbors; they are shipping nationwide."
This decentralization of commerce is vital for inclusive economic growth. Sangma cited internal industry data suggesting that a significant percentage of new digital commerce volume is driven by these micro-merchants, particularly in the fashion, food, and lifestyle sectors.
The consumer mindset has also evolved. Trust, once a major barrier to online shopping in Bangladesh, is slowly being established through better logistics and return policies.
"Five years ago, 'Cash on Delivery' was the only way to build trust," said Sangma. "While it remains dominant, we are seeing a shift. Consumers are becoming more comfortable with digital prepayments because the platforms have matured. They know that if they order a product, it will arrive."
Sangma noted that convenience is now competing with price as a primary motivator. "The urban professional in Dhaka or Chittagong values their time. They are willing to pay a delivery premium to avoid traffic. This behavioral shift is fueling the growth of grocery delivery services and quick-commerce platforms."
When discussing platforms, Sangma identified social media as the primary funnel for digital business in the country. unlike Western markets where search engines drive significant intent, Bangladesh is a "social-first" market.
"Facebook and Instagram are not just social networks here; they are the high street," Sangma remarked. "For many businesses, a website is secondary to their social media presence. However, as businesses scale, we are seeing a migration toward dedicated e-commerce websites and apps to own the customer data and experience."
He also praised the logistics sector's rapid adaptation. Third-party logistics providers have expanded their networks deep into rural areas, making the "last mile" delivery faster and more reliable than ever before.
Looking ahead, Avenue Sangma remains bullish on the sector's prospects but advises caution regarding sustainability.
"Growth is robust, but we need to focus on retention and customer lifetime value," he warned. "The 'burn cash to grow' model is fading. Businesses must focus on profitability and genuine value creation. We will likely see consolidation in the market, where stronger players acquire smaller ones to streamline operations."
He concluded with a vision of a fully integrated digital economy. "Bangladesh has shown resilience and adaptability. As 5G rolls out and digital literacy improves further, the distinction between 'digital business' and 'business' will disappear. It will all just be commerce, and it will be efficient, inclusive, and dynamic."
As the country moves toward its vision of a 'Smart Bangladesh,' the insights from professionals like Avenue Sangma serve as a roadmap. The digital transformation is not merely approaching; it has arrived, and it is reshaping the nation's economic identity one transaction at a time.
