Corporate trust declines in Malaysia amid e-commerce growth
Ipsos reports a seven-point drop in corporate trust across Malaysia in 2024, even as digital retail gains traction for higher-value purchases.
Corporate trust in Malaysia fell to 49 in 2024, ending a three-year period of stability where the index remained at 56, according to the latest Ipsos Trust Track report. The findings indicate a broad erosion of consumer confidence across multiple sectors.
The decline is most pronounced in the airline and quick-service restaurant industries, both of which saw a 17-point drop in trust scores. Conversely, the media industry remains the only sector to report improved standing among the public. Ipsos attributed the downward trend in part to the ongoing impact of consumer boycotts on corporate reputations.
Despite the decline in institutional trust, the domestic e-commerce market continues to expand. Approximately 50% of the population engaged in online shopping in 2024, with increasing consumer comfort regarding high-value acquisitions such as electronic devices. Ipsos noted that the device and e-commerce sectors have demonstrated greater resilience compared to utilities, telecommunications, and fast-moving consumer goods.
Evelyn Tan, interim country director for Ipsos Malaysia, noted that restoring trust is essential for corporate reputation. While most incumbent brands maintained their sector positions, the survey highlights a shift in consumer sentiment during a challenging year.