29. Malaysia's eCommerce market continues to thrive
Malaysia's eCommerce market is booming, according to recent reports. In 2020, the eCommerce industry in Malaysia went up by 24.7%, reaching a total market value of RM 114 billion (approximately $28 billion). The pandemic has accelerated this growth, as more people shop online to avoid going out in public.
One of the driving forces behind Malaysia's eCommerce market is Lazada, one of the largest online marketplaces in Southeast Asia. With over 40 million active users across the region, Lazada has established itself as a major player in Malaysia, offering everything from electronics to fashion items.
Another factor contributing to Malaysia's eCommerce growth is the rise of digital wallets. Digital wallets, such as Boost and GrabPay, have become increasingly popular in Malaysia as more people look to make purchases online without using credit cards. These digital wallets often offer cashback and other incentives, making them an attractive option for shoppers.
In addition, the Malaysian government has been actively promoting eCommerce as a means of driving economic growth. In 2020, the government launched the National eCommerce Strategic Roadmap to provide guidelines and support for businesses looking to expand into the eCommerce market.
Despite the growth of eCommerce in Malaysia, there are still challenges to overcome. One of the biggest issues is logistics, as Malaysia's vast geography and lack of infrastructure can make it difficult to deliver goods quickly and efficiently. However, there are companies attempting to address this problem, such as Ninja Van, which has been working to improve last-mile delivery in the country.
Overall, Malaysia's eCommerce market shows no signs of slowing down. As more people turn to online shopping, there will be opportunities for businesses to grow and thrive, particularly in sectors such as fashion, electronics, and food delivery. Meanwhile, the government's support for eCommerce will likely continue to provide a supportive environment for businesses looking to expand their online presence.