ISLAMABAD: With a retail market size of around $125 billion Pakistan offers huge opportunities for investment. In recent years, the country witnessed a mushroom growth of branded retail outlets but many of them were launched by the manufacturers to earn maximum profits.
Unlike Walmart, Amazon, Costco or Schwarz Group, which fully cater to the needs of the consumers, in Pakistan there are a very few branded retail outlets who expanded their businesses.
Launched in mid-70s in the twin cities of Rawalpindi and Islamabad by Zafar Bakhtawari, D Watson chain of departmental stores is one such name. From a humble beginning of a medical store, now D Watson has earned a reputation of being one of the most trusted and dependable suppliers of medical equipment, cosmetics, etc., in Pakistan.
At present, D Watson has 22 outlets across the country, including six in Islamabad and four in Rawalpindi.
A bright student, Bakhtawari belonged to a middle-class family from Chakwal. He did his Masters in Urdu Literature and appeared successfully in the Public Service Commission examination. Despite getting a job as a lecturer in the Government College, Lahore, he decided to start his own business.
Following are the excerpts from a chit chat with Zafar Bakhtawari.
Why did you choose the name of D Watson for your brand?
World renowned eye specialist Dr Watson treated me when I had developed some problem in my eyesight during my graduation and that is why when I started my medicinal business in 1976 on Murree Road, I decided to name it after him.
What problems did you face in starting your business?
What we achieved till now is because of sheer hard work, commitment and loyalty towards our customers. Maybe there are retail outlets of foreign and multinational companies but we are the first indigenous retailer, which has so many branches in the country. One has to understand that it is very difficult to establish a brand name in Pakistan. In my opinion, customers’ trust is key to establish a successful business.
People in Afghanistan and the UAE want me to open branches in their countries but due to several reasons, we are not ready to take this risk. Until and unless we develop goodwill in the world, selling Pakistani brands in the international market will remain a challenge.
Don’t you think the sale of imported medicines discourages local manufacturers?
I am also a patriotic Pakistani and I want to promote Pakistani products. But the problem is with the psyche of our customers who prefer imported products, even in the case of Paracetamol tablets. At the same time, I must add that if the local manufacturers produce quality products and win the trust of the customers then we or any other reputable retail outlet can’t refuse them.
Over here I must give credit to the PTI government, which has taken measures to revive the local industry and reduce the import bill. It has imposed heavy import duty on cosmetics, shampoos, soaps and other luxury items. By doing so, the imported goods would become more expensive and the local manufacturers would be benefitted.
Do you have any plan to open more branches or give franchises to other investors?
It is very easy for us to make billions of rupees by selling franchises but by doing this our reputation will be compromised, which we built in over four decades. This is our family business. My sons, two brothers and their children are all associated with the same business. We have planned to open 10 more outlets within a year in various other cities.
What is your opinion about the investment climate in Pakistan?
To be very honest, in the last 74 years, very little has been done to attract foreign investment. The economy of Pakistan has never remained the priority of the state and that is why we lag behind with even our neighbouring countries such as India and Bangladesh. Until and unless we improve the security situation and reduce the cost of doing business, attracting investment will remain a wishful thinking.
