Ipsos: Online Shopping Grows in Malaysia Post-Pandemic
More Malaysians are purchasing goods online, with notable growth among younger demographics and in specific regions, according to Ipsos. TikTok Shop is gaining market share.
The number of Malaysians making online purchases has significantly increased following the pandemic, according to a report by research firm Ipsos. Despite a potential decrease in users browsing e-commerce platforms, the number of individuals completing purchases rose by 7%, reaching 67% of Malaysians who bought something online in the past six months. This marks a substantial increase from 35% in 2023.
The growth in online shopping is particularly pronounced among the 18-24 and 35-44 age groups, and in the South and East Coast regions. Fashion items remain the most popular category for online purchases, with groceries, accessories, and home care products also seeing increased demand. There has been a notable rise in the purchase of accessories and electronic devices via e-commerce.
While Shopee retains its market leadership, its market share has declined by 6%. In contrast, TikTok Shop has expanded its share by 8%. Shopee's leading position is attributed to its promotions, product variety, fast delivery, and reviews, areas where TikTok Shop is also performing strongly.
The Ipsos study, conducted from July 1-25, 2024, surveyed 1,030 Malaysians aged 18-74 and covered 15 e-commerce platforms. The digital economy is a key pillar of Malaysia's economy, with the government actively supporting the sector.