Airlift’s pandemic pivot to instant delivery made it Pakistan’s most valued startup

In early 2020, Pakistan’s lockdowns eliminated demand for Airlift’s Uber‑like bus service, putting the young startup at risk of closure. Co‑founder Usman Gul recalled the urgent question: keep operating and burn cash, or pull back.

The team chose a bold pivot to instant grocery delivery, leveraging its existing logistics network to meet the surge in home‑bound consumption. The move quickly attracted major investors, culminating in an $85 million Series C round—the largest ever raised by a Pakistani startup at that time.

Airlift’s valuation soared, making it the country’s most valued startup and a poster child for the nascent tech ecosystem. However, the capital‑intensive quick‑commerce model proved vulnerable when global markets deteriorated in 2022, leading to a shutdown despite its earlier success.

Became Pakistan’s most valued startup and raised $85 million in its largest funding round.

Founders faced an existential threat as lockdowns eliminated demand for its mass‑transit service.

Pivoting to instant grocery delivery leveraged existing logistics and met surge in home‑bound consumption.

The move attracted major investors, proving that a swift strategic shift can unlock large funding rounds.

Despite early success, the venture‑capital‑dependent model proved vulnerable to a global recession.

The episode shows that even a winning pivot must be paired with sustainable unit economics.

A bold pivot can unlock rapid growth, but sustaining success requires matching capital intensity to market conditions.

After shutting down in July 2022, Airlift’s closure sent shockwaves through Pakistan’s startup community, prompting debates about overreliance on fast‑growth, cash‑burning models. While some warned that the failure could tarnish the ecosystem’s image, others argued that the country had reached a critical mass of entrepreneurs capable of weathering the setback. The episode highlighted both the promise and perils of rapid scaling in emerging markets.