Biggest E-Wallet Trends in Malaysia
Biggest E-Wallet Trends in Malaysia
Jan 26 2021

With rising e-wallet usage among the Southeast Asian country's consumers, Malaysia has been at the forefront of the digital revolution.


With a shift from cash to contactless payment methods, digital wallet solutions provide a convenient way for consumers to manage their everyday finances.


For that reason, new e-wallet trends and use-cases appeared on Malaysia's fast-growing digital payments market, which we have collected in this article.



Top 14 E-Wallet Usage Trends and Statistics in Malaysia


Demographics

According to a recent Oppotus report, Generation Z represents the keenest e-wallet users in Malaysia, with 71% of the respondents utilizing such solutions in Q3 2020. Gen Z is followed by the millennials' 60%, Gen X's 59%, and the Baby Boomers' 43%.



Researchers also discovered that citizens with a monthly household income between 7,001 ($1,726) and 10,000 RM ($2,465) use e-wallets the most (73%). While high-earning families rank in the second place (67%), those with lower income utilize digital wallets the least (55%).



In an earlier report, the company revealed that e-wallets are only a little more popular (52%) among male than female (48%) Malaysian consumers.


According to an August study by Facebook and Bain & Company, Malaysia has the highest percentage of digital consumers (83%) in the SEA while Singapore (79%) ranks second and the Philippines (74%) the third place.


In addition to the share of digital consumers, smartphone penetration is also hitting high levels in Malaysia, with Statista forecasting a nearly 94% figure in 2020, which is expected to rise further to 97.4% by 2022.



Payment Methods and E-Wallet Usage

The MasterCard Impact Study 2020 revealed that Malaysia leads the SEA in e-wallet usage, which stands at 40% compared to the Philippines' 36%, Thailand's 27%, and Singapore's 26%.



Compared to 2019 statistics, e-wallet usage has risen 8% across SEA nations, ranking at third place (22%) right after credit and debit cards (22.7%) and cash (34%) among the most preferred payment methods for the region's consumers in 2020.


At the same time, Oppotus has revealed that 60% of Malaysian consumers have used e-wallet solutions in the past three months in Q3 2020, which is over double the rate of Q3 2019's 27%.


According to the company, consumers in Malaysia utilized two-three (2.3) different e-wallet solutions on average in the third quarter of 2020.


A recent study by the Boston Consulting Group (BCG) revealed that e-wallet usage is the highest among banked consumers (31%), with 17% of underbanked and only 9% of unbanked citizens utilizing digital wallet solutions.



Digital Wallet Use-Cases and Consumer Preferences

Oppotus revealed that Malaysian consumers used e-wallet services for the following categories in Q3 of 2020:

  • Food and beverage (71%)
  • Groceries (54%)
  • Convenience stores (45%)
  • Food delivery (34%)
  • Bill payment (26%)
  • Transportation (23%)
  • Petrol (22%)
  • Mobile reload (9%)
  • Gaming (6%)
  • Movie tickets (3%)
  • Hotels (2%)



Oppotus has asked Malaysian consumers whether they would continue using digital wallet solutions without incentives. According to the report, 70% of the respondents answered with a "yes" while 17% and 13% said "maybe" and "no," respectively.


In a recent survey, the global payment provider STICPAY has revealed the top e-wallet trends among 400 surveyed respondents in Asian countries, such as Malaysia, Indonesia, the Philippines, Thailand, Singapore, and Hong Kong.


Based on the company's findings, Asian consumers believe the following features are the most important when choosing a digital wallet service:

  • Fast withdrawals (32.2%)
  • Low transactions fees (18.4%)
  • Prepaid cards (12.7%)
  • Local bank wire options (11.9%)
  • Diverse deposit methods (9.6%)
  • Safety and security (8.6%)
  • Cryptocurrency exchange (5.4%)
  • Multi-currency features (1%)


Furthermore, the BCG discovered that over one-third of SEA consumers stated their willingness to shift some of their banking activities to non-bank digital solutions. The company forecasts that 10% of the deposits and 12% of the credit card business could move to non-bank digital players in Malaysia, Vietnam, and Thailand.



STICPAY: the Perfect E-Wallet in Malaysia and Beyond

By now, it has become clear that Malaysia is among Southeast Asia's leaders in e-wallet adoption and digital payments.


With availability in over 190 nations, STICPAY features a global e-wallet service that has a strong presence in Asia.


One of the reasons why STICPAY is so popular in Asia is due to the company's partnerships with financial institutions on the continent, which allows the e-wallet service to provide rapid and inexpensive local bank wire deposits and withdrawals in selected countries (including Malaysia).


In addition to local bank wire transfers, STICPAY offers the following payment methods to customers:

  • Visa
  • MasterCard
  • UnionPay China
  • International bank transfers
  • Cryptocurrency (Bitcoin, Litecoin, Ethereum)
  • Prepaid STIC Card (for convenient withdrawals)


After funding their accounts, customers can transfer funds to other members instantly in 29 different currencies at the competitive fee of 1% via STICPAY's rapid internal network. Alternatively, users can spend their balances directly at STICPAY's verified merchant partners.


STICPAY turns a major focus on the safety of its users. For that reason, the company utilizes enhanced anti-fraud and security measures, such as keeping funds in segregated accounts with uninterrupted access, to protect its customers.


And the best: it only takes three minutes to harness STICPAY's benefits as an e-wallet user.


Are you ready to manage your finances conveniently with an award-winning e-wallet solution?


Open an account at STICPAY now!


Have questions? Reach out to STICPAY's rockstar customer support team to get your queries answered 24 hours a day!


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