Pakistani delivery logistics business Rider secures $2.3 million in seed funding

In a significant move for the ecommerce logistics sector in Pakistan, Rider, an ecommerce logistics startup based in Karachi, has secured a seed round of $2.3 million. The funding round was led by Global Founders Capital, Fatima Gobi Ventures, Asian Development Bank, TPL E-Ventures, and Transhold.

Founded by Salman Allana in 2019, Rider offers last-mile delivery services to ecommerce retailers through its technology platform. With over 500 drivers in its fleet, the startup covers 80 cities across Pakistan. To date, Rider has delivered 1.5 million ecommerce parcels with a success rate of 93 percent. Notable clients include the top five online retailers of Pakistan, including Khaadi and Daraz.

The latest funds will allow Salman and his team to expand Rider's offerings and presence to cover the entire Pakistan.

The Growing Ecommerce Logistics Market in Pakistan

As of the latest available data in 2025, the ecommerce logistics market in Pakistan has been growing rapidly. Estimates suggest that ecommerce logistics accounts for roughly 15-20% of the overall logistics market in Pakistan. The broader logistics market in Pakistan is valued in the billions of dollars, with ecommerce logistics emerging as one of the fastest-growing segments.

Ecommerce logistics is driven largely by major online marketplaces like Daraz, alongside a growing number of SMEs selling online. The growth rate of ecommerce logistics has been estimated at 25-30% annually over recent years, fueled by improved internet access and consumer behavior shifts post-pandemic.

Rider vs. Traditional Logistics Firms

Rider is a rising player focused specifically on ecommerce logistics and last-mile delivery in Pakistan. Compared to traditional logistics firms, Rider offers several advantages:

| Aspect | Rider | Traditional Logistics Firms | |-----------------|--------------------------------------------|------------------------------------| | Specialization | Purely ecommerce-focused, optimizing last-mile deliveries and reverse logistics | Broad logistics services including freight, warehousing, and bulk shipments | | Technology | Heavily tech-driven with mobile apps, real-time tracking, route optimization | Gradually adopting tech but generally less integrated and slower in digital transformation | | Speed & Flexibility | More agile and faster delivery timelines tailored for ecommerce needs | Often slower and less flexible, due to legacy operations and broader scope | | Customer Experience | Better end-user experience with easy tracking, SMS alerts, and customer support | Customer experience varies, often lacking transparent tracking for customers | | Network & Reach | Rapidly expanding but relatively smaller network than traditional giants | Extensive national networks covering urban and rural areas | | Pricing | Competitive pricing tailored for ecommerce sellers | Pricing can be higher due to operational overhead and broader service offerings |

Salman Allana, the Founder and CEO of Rider, previously worked as head of strategy and business development at UPS Pakistan and assistant vice president at Citi Bank. His experience in the logistics and financial sectors has been instrumental in growing Rider into a significant player in the ecommerce logistics market in Pakistan.

With the increasing demand for reliable and fast ecommerce delivery services in Pakistan, Rider is well-positioned to continue its growth and expansion. As the market matures and competition intensifies, it will be interesting to see how Rider and other ecommerce logistics startups adapt and innovate to meet the needs of ecommerce businesses and consumers in Pakistan.