Over the years, mobile commerce has been the heart of conversations across the digital commerce industry, but it hasn't fully caught on yet among businesses in Malaysia. Mobile commerce is not just a passing trend, and this is why now is the best moment to take on this new landscape.

With 88% of Malaysians owning a smartphone, 56% of eCommerce transactions were completed on a mobile device in 2022. This presents a huge opportunity for businesses to reach their customers through mobile channels.

So, if you're a business owner and haven't yet explored mobile commerce, it's time to start! It's a new and effective way to tap into this growing online market and connect with customers.

What is mobile commerce (m-commerce)?

Mobile commerce (m-commerce) refers to the process of buying and selling goods and services through mobile devices such as smartphones and tablets. It allows customers to shop online conveniently anytime and anywhere.

For a merchant, a mobile commerce strategy is essential to reach and engage with customers who prefer to shop on their mobile devices. This could involve creating a mobile-friendly website, developing a mobile app, or providing a seamless payment experience with a variety of payment methods, such as digital wallets and mobile banking. Payment gateways play a crucial role in building an efficient mobile commerce platform. To learn more, read our extensive guide on payment gateway and why you would need one.

Why do Malaysians love mobile commerce?

1. Convenience

The shift in online shopping has greatly driven the demand for convenience in end-customer needs. Mobile commerce answers this ever-rising need for a convenient shopping journey.

With mobile commerce, Malaysians can shop online using their smartphones anytime and anywhere, making it the most convenient option for 80% of the population who already own a smartphone.

2. Easy payment options

Over 6 in 10 Malaysians use mobile payment options such as e-wallets and mobile banking on a daily basis. The rapid growth of Touch ‘n Go, DuitNow, ShopeePay, and GrabPay reflects this strong preference for seamless mobile payments.

As a result, the payment options help reinforce the growth of mobile commerce, as it is easy for Malaysians to make transactions and pay for their purchases securely and quickly on their phones.

The rise of this field comes along with a variety of mobile payment options besides the usual credit/debit card. To learn more, check out our extensive breakdown of mobile payment types for your business needs.

3. User-friendly interfaces

Mobile apps and websites are designed to be user-friendly and easy to navigate, making it easy for Malaysian customers to browse and purchase products in just a few clicks. As a result, buying online becomes extremely accessible even for customers who are not that tech-savvy.

Benefits of mobile commerce for Malaysian Merchants

1. Expanded reach

Before, mobile channels might be deemed optional. However, the fact that 56% of the e-comm transactions were made from mobile phones proves how mobile commerce has now become a must in business strategy.

By branching out to mobile platforms, merchants can expand their reach to mobile-oriented customers, avoiding any missed opportunities.

2. Increased sales

In Malaysia, mobile commerce made up 46% of total e-commerce sales in 2020, and this is projected to reach 54% by 2025. Mobile platforms often have higher conversion rates than traditional e-commerce platforms.

In other words, simply adopting mobile commerce could help increase sales and revenue for online merchants.

3. Improved customer engagement

Mobile apps and push notifications provide Malaysian merchants with new ways to engage with their customers and keep them informed about promotions and special offers. A 2016 survey by Axiata Digital Advertising found that push notifications sent to mobile devices have a 5-time higher open rate compared to emails, indicating a higher engagement rate for mobile app users.

Besides, mobile commerce also offers personalized methods such as tailored product recommendations using customer data, such as browsing and purchase history on mobile apps and sites.

3 key components of an M-commerce strategy

1. Mobile-friendly website

Simply a website optimized for mobile devices, this is a foundation for any mobile commerce strategy. A mobile-friendly website is composed of 3 main elements: mobile screen compatibility, short loading time, and a simple and intuitive layout.

Moreover, mobile-specific features such as click-to-call buttons, and mobile-specific menus can also help improve the user experience. The goal here is to make the site/app consistent with the user experience on the desktop site. A lack of mobile-friendliness can interrupt your customer’s shopping experience.

2. Mobile-specific promotions and discounts

Mobile-exclusive incentives are effective tools to boost sales and engagement on the platform. They basically are special promotions for customers using mobile apps or sites only. In the case of your first mobile launch, this strategy is helpful in introducing your new platform to customers

Even after the launch, these offers can also be used regularly as they are beneficial in converting sales-qualified leads and attracting sales on your mobile apps.

3. Streamlined checkout process

One of the biggest challenges for m-commerce is high cart abandonment rates. To overcome this issue, it's important to make the checkout process as simple and streamlined as possible. A complicated checkout process can cause abandonment rates and security issues. To learn more, check out our guide on 5 ways to reduce drop-offs.

However, solving this equation on your own can be tricky considering the number of tech resources and the budget you’ll need to construct a seamless checkout flow.

The trick is to seek help from an efficient payment gateway to streamline the checkout process for your mobile commerce platform.

With no maintenance fees, smooth checkout flow, and absolutely no downtime even in peak hours, Opn’s payment gateway solutions have been trusted by more than 6,000 businesses across Asia. Our payment solution is simple to set up and designed for a seamless mobile experience.

Contact us today to get started on your mobile commerce journey!