Every year, 70,000 people start retail businesses. Just in front of their home, or maybe a small space in a corner, they set up the business. Small capital, not-so-flashy decoration, and no employee who will work and take a monthly wage. A one-man, thousands of works, maintaining inventory, selling products, buying inventories from the wholesale market, dealing with regular customers, and a lot of hope to earn more, give their families a better life, and maybe another retail shop for their next generation- a secured future. That’s it. They want this, not the ‘Ohh So Big’ type of dream. Common people with common desires like you, like me.
This common dream was not so common in earlier days. We are talking about the before scenes of MSMEs of Bangladesh.
Previous View of MSMEs of BD:
First, we need to segment the possessions, like there were two types of SMEs before, and it is still ongoing. Necessity-based and opportunity-based small business setup.
From my personal experience, when I was a small child, maybe 7-8 years old. We used to visit our grandparents’ house once a year. That time, I used to see one small shop with local bakery items, variants of served tea, and some regular essentials like soybean oil, lentils, salt, and others. At that time, it was the only retail shop, and every villager was dependent on that shop. Kind of a monopoly business. Kind of necessity-based retailers.
Fast forward, from 2008 to 2011, two retail shops were set up with more product lines, creating a competitive situation for the old one. Well, very recently, 2022-2024, I went to my village again and saw that 5-7 shops have been running with all the products from some top brands. Now, that is a glimpse of opportunity-based retailers. This is my view as a common person. So, how come these rapid changes in this segment are happening so fast?
The Transformation of Retail Businesses Through Supply Chain
The answer to this rapid change is the revamping of the supply chain from the ground up. What I see, you see—we all see—is not about opening a retail shop randomly in the streets or a corner of a building. It is an entire network being rebuilt from the ground up.
In the past, that lonely village shop operated in a supply chain vacuum. The shopkeeper would travel to the nearest town, sometimes 20-30 kilometers away, to procure goods from a handful of wholesalers. Product variety was limited to what could fit in a rickshaw or small truck. Payment terms were rigid—cash on delivery was the only option. Information about new products, pricing, or market trends traveled at the speed of word-of-mouth.
This created a vicious cycle: limited variety meant fewer customers, fewer customers meant lower turnover, and lower turnover meant even less bargaining power with suppliers. The result? Low-quality products, fluctuating pricing, stale inventory, and frustrated customers who had no alternatives.
Today’s retail transformation is powered by three revolutionary changes in the supply chain:
1. Distributed Distribution Networks
Gone are the days when a retailer had to travel to distant wholesale markets. Modern distributors like Priyoshop have established local hubs even in remote areas. Companies like Unilever, Nestlé, and local FMCG manufacturers are now connecting with PriyoShop. PriyoShops’ field sales representatives visit retailers directly. This “last-mile distribution” approach has reduced procurement costs by 15-20% while increasing product availability dramatically.
2. Technology-Enabled Ordering
The smartphone revolution has reached even the smallest retailers. Mobile apps and WhatsApp-based ordering systems allow shopkeepers to browse catalogs, place orders, and track deliveries without leaving their shops. Companies like PriyoShop have pioneered B2B platforms that connect retailers directly with suppliers, eliminating multiple intermediaries.
3. Flexible Credit Systems
Perhaps the most game-changing development has been the introduction of flexible credit terms. PriyoShop, the smart distribution platform, has introduced the first-ever fintech solutions for the MSMEs. More frankly, the company offers 7-30 day payment cycles, allowing retailers to stock more variety without tying up their limited capital.
This is why the retail ecosystem has developed in such a way that you can see many small shops everywhere. So, this is the present, so we must know what more opportunities are coming for retail businesses.
The Future of Retail Supply Chains in Bangladesh
Emerging Trends
Hyper-Local Fulfillment
Hyperlocal delivery is a delivery model. Mainly it focuses on delivering goods and services within a small geographic area. This approach prioritizes speed and convenience. It allows customers to receive their orders within hours or even minutes after placing them. So can this truly happen? Why not? See, PriyoShop is already delivering within 24 hours across the country. So we are hoping that it is very possible that we will be able to deliver to every retail shop within 3-6 hours.
AI-Powered Demand Forecasting
Suppliers and distributors are beginning to use artificial intelligence to predict demand at the individual retailer level, helping optimize inventory allocation and reduce wastage.
Blockchain for Trust: Blockchain is already being used in different financial institutes, banks, and money-transacting apps. Pilot programs are testing blockchain technology to ensure product authenticity and streamline payments across the supply chain. Since it is advancing the financial segment so rapidly, we can ensure that the supply chain will be using blockchain soon.
Real-Time Inventory Management: IoT sensors and simple inventory management apps will help even the smallest retailers optimize their stock levels automatically.
Omnichannel Integration: The line between online and offline retail will blur completely. Small retailers will serve as pickup points for e-commerce orders while also fulfilling local demand.
The Promise of Bright Future
The retail revolution in Bangladesh is not about installing shops here and there; it precisely empowers the economic situation at the grassroots level. When supply chains work efficiently, it opens a door of dreams, aspirations, and opportunities.
That lonely shop in my grandparents’ village is now part of a connected ecosystem spanning from multinational corporations to local distributors to individual entrepreneurs. Each link in this chain represents someone’s livelihood, someone’s dream of a better future.
As we look ahead, we clearly see that the transformation will continue and will quickly accelerate. The future of retail in Bangladesh lies not in replacing these small entrepreneurs but in empowering them with better tools, better access, and better opportunities.
After all, behind every successful supply chain is a simple human desire: to build something better for the next generation.