We believe Malaysia can become an e-tailing hub in ASEAN. What do you think?

Solidiance has just recently published a new white paper titled "Malaysia's E-tail Market: The Nurturing Nest for Regional Growth Stories". Please find the summary below for your quick reference, and download the full version through the link at the bottom of this note.

Malaysia’s e-commerce retail (e-tail) industry is ready to finally take off. Solidiance’s latest white paper, “Malaysia’s e-tail market: The nurturing nest for regional growth stories” outlines the business potential and challenges of Malaysia’s e-tail market and reasons why it will become an important platform market in Southeast Asia

Malaysia’s e-tail growth story

The e-tail industry is the growth motor in Asia’s internet economy. Growth will go mostly into currently smaller categories that will now expand. In the coming years, massive growth in the e-commerce market is expected. Its growth motor will be the consumer focused e-commerce retail (e-tail) business, which trades goods to individual clients and makes up about half of the Malaysian e-commerce today.

In a regional perspective, Malaysia compared to other Southeast Asian markets is in the bottom range of e-tail markets in terms of size, yet it is expected to outpace other e-commerce countries in growth significantly.

While it is not a large e-tail market, Malaysia actually has a very unique position with a very well-balanced position between a fertile digital environment, in terms of internet penetration, infrastructure, credit/debit card ownership, and a fairly modest cost position, offering attractive conditions in terms of programmer wages, internet bandwidth cost and the cost of logistics in general – as opposed to, for instance, a premium market like Singapore.

Malaysia’s e-commerce retail (e-tail) industry is ready to finally take off. Solidiance’s latest white paper, “Malaysia’s e-tail market: The nurturing nest for regional growth stories” outlines the business potential and challenges of Malaysia’s e-tail market and reasons why it will become an important platform market in Southeast Asia.

Malaysia’s e-tail growth story

The e-tail industry is the growth motor in Asia’s internet economy. Growth will go mostly into currently smaller categories that will now expand. In the coming years, massive growth in the e-commerce market is expected. Its growth motor will be the consumer focused e-commerce retail (e-tail) business, which trades goods to individual clients and makes up about half of the Malaysian e-commerce today.

In a regional perspective, Malaysia compared to other Southeast Asian markets is in the bottom range of e-tail markets in terms of size, yet it is expected to outpace other e-commerce countries in growth significantly.

While it is not a large e-tail market, Malaysia actually has a very unique position with a very well-balanced position between a fertile digital environment, in terms of internet penetration, infrastructure, credit/debit card ownership, and a fairly modest cost position, offering attractive conditions in terms of programmer wages, internet bandwidth cost and the cost of logistics in general – as opposed to, for instance, a premium market like Singapore.

Opportunities for growth in Malaysia’s e-tail market

A number of key developments and trends are seen in the e-tail market including new emerging products and services as well as groundbreaking new institutional developments.

• True 24/7 services such as same-day deliveries for non-food items as well as daily needs.
• Offline to Online conversion of conventional business to e-tail. E.g. a firm offering transformation, marketing and incubation services for small to medium enterprises (SMEs).
• Healthcare related e-tail and e-commerce businesses are not common yet in Malaysia.
• New payment methods and business models: Online players will keep trying to reduce the amount of old fashioned cash-on-delivery transactions with new gateways and models.
• New Digital Free Trade Zone (DFTZ) to be built aimed at facilitating international e-commerce and invigorate internet-based innovation in the country.

Discover more comprehensive insights about Malaysia's E-tail Market: The Nurturing Nest for Regional Growth Stories ; download the complete white paper here: https://bit.ly/2oMFTpz

Talk to us to launch and/or capture market share in your e-commerce channels, rethink your retail business model, be a leading B2B online merchant: [email protected]

About Solidiance: we are a corporate strategy consulting firm with focus on Asia. We advise CEOs on make-or-break deals, define new business models and accelerate Asia growth. Our industry experience is centered on high-growth markets and key challenges for CEOs in e-commerce, digital strategies, new media and 21st century distribution. Through our 12 Asia offices, we provide our clients with a better understanding of intrinsic regional issues to achieve profitable growth.

www.solidiance.com