The online marketplace, 11street through its recent one-week nationwide survey, in which 3,507 respondents participated, laid out key takeaways for the Malaysian online market in 2016 and predicted five leading trends for the year ahead.
2016: The Truth About Online Shopping in Malaysia
- Over 80% of the respondents revealing to have shopped online and 59% of them shop online at least once a month or more frequently.
- In term of types of product purchased, Malaysian consumers are still largely sticking to lifestyle and fast-moving products such as electronics, fashion and beauty, and sports and hobbies. Smartphones continue to lead the way as the device of choice for Malaysians consumers to shop online, as 80% of the respondents have professed.
- 95% of the respondents rated a ‘5’ and above when asked about their satisfaction level with online shopping.
2017: 5 Key Trends for Online Shopping in Malaysia
1. Online Shopping is the Way Forward
11street predicts that existing online shoppers will continue to buy more frequently, and non-online shoppers would start to explore e-commerce in the next 12 months. This is derived from the results of the survey, in which out of the 17% of respondents who said they had not shopped online before, 85% expressed interest in seeking out online shopping within the next year.
2. Payment Methods will Continue to Mushroom
While cash is king, 11street foresees that Malaysian consumers will be open to the idea of exploring non-cash payment methods such as online transfer, and through credit and debit cards, led by 90% of the survey respondents who pay cash-on-delivery being willing to try other non-cash payment methods in the next 12 months. As such, with the expected increase in frequency of online purchase, the usage of credit or debit card for online payments will grow as consumers gain more trust in buying online over time.
3. Exploration and Venture into New Product Categories
Survey respondents have revealed home décor and furniture, household and groceries and health and supplements as top priority categories that they will likely to explore in 2017. As consumers gain familiarity with online shopping and with increased logistics coverage and affordability, 11street envisions consumers to shop online for daily essentials, fresh produce and personal items, for these product categories can be easily browsed on their smartphones and conveniently delivered to their doorsteps.
4. Express Delivery will Gain Traction
In general, 90% of the survey respondents indicated that they would be willing to wait up to one week for the delivery of their purchases. Yet while they was asked about express delivery, more than 60% of them stating that they are willing to pay extra up to RM10 for express delivery. 11street sees this as setting the trend for express delivery moving forward, in which consumers expect faster delivery at more affordable price. As such, in order to continue keeping the customers happy, the market and online sellers are expected to gear up and offer better services and faster delivery.
5. It Goes Beyond Price
According to 11street’s survey, in which respondents listed ‘timely delivery’ and ‘positive customer review’, among others, as their key considerations when it comes to online shopping. Therefore moving forward, sellers will have to up their game and go the extra mile to deliver better services by familiarising themselves with the processes of managing growing sales volume, rising expectations on logistics, and delivering impeccable customer service.
11street’s Ong-some New Year: Dec 15 – Feb 28
On the other hand, 11street introduces Ong-some New Year promotions starting from December 15, 2016 until February 28, 2016 where consumers can enjoy up to 90% discount and find a variety of gift ideas and related products in time for Chinese New Year.
- Shine This New Year with a series of spring cleaning products, from brands such as Air Wick, Dettol, Harpic and Vanish, and stand a chance to win 88 gold coins worth RM88,000;
- Chinese New Year hampers from health and food brands, namely Brands, Eu Yan Sang, Kinohimitsu and Tong Garden, for gifts that are carefully chosen for loved ones, family, friends and business associates;
- Ong-some Gadget deals from established smartphones makers of Huawei and OPPO, in which consumers are given the option to pre-order the limited edition Huawei Porsche Design Mate 9, or purchase the OPPO F1S and R9S with a special Chinese New Year bundle.