A group of young women are engrossed in their phones, captivated by the thrill of online shopping. Their screens display products from various global websites like Alibaba, Amazon, eBay, Myntra, and local platforms like B-bay-buying and selling. The rise of online shopping has created a new trend among consumers in Bhutan, providing them with an array of products to choose from, often at lower prices and greater convenience.
“I can browse different brands, compare prices, and make a purchase from the comfort of my home,” says Sonam Pema, a student. “More and more people are unwilling to go out to shop since they have a convenient alternative.” Sonam adds that online shopping is not only time-saving but also provides a wider selection of goods, resulting in higher customer satisfaction.
Dorji Penjor, a frequent online shopper, echoes Sonam’s sentiments. “It’s quicker and cheaper. I can order items from Amazon and eBay with just a few clicks, and most of the time, they are cheaper than those in the shops around Thimphu,” he says. Dorji, like many, finds online platforms to be a more attractive option, not just for convenience but also for the range of products that local stores often can’t compete with.
However, the growing trend of online shopping is casting a long shadow over local shopkeepers in Bhutan, many of whom are struggling to stay afloat. As consumers increasingly turn to their phones for shopping, the once-thriving brick-and-mortar stores are seeing a decline in foot traffic and sales.
“The biggest drawback is that you can’t try products before purchasing, but people still prefer online shopping,” says Pema Dema, a sales assistant at a local store. She expresses concerns over the reliability of online purchases, noting that what is delivered doesn’t always match expectations. “The quality is often worse than what you see online,” she adds.
Aum Sonam, a shopkeeper selling shoes near the vegetable market, is one of many who feels the pinch. “Before online shopping, I used to run a successful business, sometimes selling items at a higher price than they cost. Now, I can barely sell a single pair of shoes in a day,” she laments. Recognizing the shift in consumer behavior, she is considering opening an online store herself. “It’s a threat to us, but we have to adapt,” she says.
A survey conducted among 20 shopkeepers in Thimphu revealed that nearly all of them have felt the impact of online shopping. Half of them admitted to feeling anger and even resentment toward this new way of shopping. One shopkeeper, Ap Dorji, who sells clothes in town, explains, “People are addicted to online shopping because they can browse endlessly for clothes at cheaper prices. Now, I’m struggling to keep my business running.”
The rise of online shopping has also raised concerns about quality and customer satisfaction. Karma Wangchuk, a 23-year-old consumer, shared his disappointment with an online purchase. “I bought an LG television online, but now it’s not working. The quality wasn’t what I expected,” he says, adding that he’s stopped shopping online because of such experiences.
Aside from the impact on local businesses, some worry about the implications for the economy. A corporate employee, who wished to remain anonymous, pointed out the potential loss of revenue for the government. “I’m not sure if these online sellers pay taxes, and if they don’t, it’s a leakage of revenue,” he says, urging the government to start regulating online commerce.
While online shopping brings undeniable benefits to consumers in terms of convenience and variety, it also poses significant challenges for traditional businesses in Bhutan. Shopkeepers are now at a crossroads, with many like Aum Sonam considering digital options to stay relevant. Whether or not they succeed will depend on their ability to adapt to this rapidly changing retail landscape, where convenience and affordability reign supreme.
As Bhutan continues to embrace the digital age, the battle between online shopping and traditional retail is only just beginning. Will shopkeepers find a way to compete, or will online platforms become the dominant force in Bhutanese commerce? Only time will tell.
By Kinley Yonten
