Juda Kanaprach, co-founder and chief commercial officer of Milieu Insight
KUALA LUMPUR: Malaysia’s eCommerce sector remains resilient despite shifting consumer behaviour and global economic uncertainty, with the next phase of growth expected to focus more on execution than expansion, particularly in providing consistent, affordable, and reliable services.
Juda Kanaprach, co-founder and chief commercial officer of market researcher Milieu Insight, said Malaysia’s high eCommerce adoption has entered a more mature phase, where buyer and seller expectations are increasingly converging. The market is no longer driven solely by novelty or price, but by reliability and value.
“Consumers continue to rely on online platforms for essential and value-driven purchases, while sellers are becoming more measured, prioritising sustainability over rapid growth.
“What is striking is that both sides are asking for the same things – lower costs, reliable logistics, and consistent service quality,” she told Bernama.
From the consumer perspective, logistics costs and reliability have become central to purchasing behaviour.
Milieu Insight’s consumer study, Beyond the hype: Malaysians want speed and smarter shopping in 2025, found that while discounts remain the top motivator for online purchases, free or low-cost shipping ranks second, cited by 66% of respondents.
At the same time, 67% want lower delivery fees, and more than half reported that rising shipping charges have led them to cut back on online spending.
Service quality has also emerged as a decisive factor shaping trust, loyalty, and spending behaviour.
The study found that nearly half of Malaysian shoppers stop buying from the same seller after facing a delivery issue, while poor fulfilment and slow response times contribute to cart abandonment and platform switching.
“At this stage of market maturity, service quality is no longer a nice-to-have. It is a key driver of growth.
“Consistent service builds confidence and repeat behaviour, while poor experiences quickly erode trust,” said Juda.
Importantly, the consumer survey also showed that buyers respond positively to better service. A majority indicated they would shop again or spend more with sellers who provide timely updates and responsive support, while 82% said they are willing to pay more for consistently better delivery services.
Sellers, particularly micro, small, and medium enterprises, echoed these concerns. While demand remains relatively stable, rising logistics costs and inconsistent fulfilment performance are increasingly cited as barriers to sustainable growth. — Bernama
