If you own an e-Commerce business and expanding or venturing into a new country then local online payment behavior is definitely one of the most important checklists for your market research. We now have a good picture of what are the top online payment methods in Malaysia.
With the cross-border purchases totaled up to 40% of all e-commerce transactions, Malaysian shoppers are very open to making purchases from international websites.
Since online banking is so popular in Malaysia, shoppers are used to being redirected to their online banking environment when making a purchase. This leads to recurring and one-click payment. Moreover, credit card is quite a second option to all Malaysians when making an online payment. And the last choice is cash payment through a payment gateway.
Cash on delivery is also famous among Malaysians. However, these are some of the online payment methods that Malaysians always use to ease their life.
1. Maybank2u
Maybank2u provides a comprehensive selection of payee corporations. You can pay over 700 bills directly through debit of your Maybank account. Also 90 bills can be paid by credit card and 118 payee corporations through payment at their websites via Maybank2u.com.
Customers can pay bills conveniently from home or office which this invention saves time and helps to settle bills before the deadline without having to queue. With Maybank2u, it helps to pay bills with up to four credit cards from other local banks, as long as the credit cards are registered under the customer’s name.
In addition, it is convenient and easy register online. Customers don't even need a Maybank account if they choose to pay by credit card. You can pay bills and do many more stuffs via Maybank2u.com, thanks to our wide variety payee corporations such as Astro, Celcom, PTPTN and TNB. Maybank2u eases your online shopping experiences as well.
Merchants can sell their products and collect payments from customers online via Maybank2u.com or the merchant’s website. Benefits that merchants can get are they can provide the customers with additional payment options, generate sales round-the-clock and online banking improves productivity by having ‘cashless’ operation as transactions are done online.
2. CIMB Clicks
CIMB Bank Bhd was called as the "Best Internet Bank in Malaysia" at Global Finance's in the World's Best Internet Bank Awards ceremony in New York recently. It is due to their efforts in simplifying online banking for its customers.
CIMB Clicks checks and manages your financial standing at the convenience of your home, on-the-go and office. Transfer funds within CIMB accounts and to other banks via Interbank GIRO (IBG) and instant transfer (IBFT) can be done easily. You can pay bills online and on time, online shopping and easy online applications like ASB loan and Kwik by using CIMB Clicks.
Online banking adds another level of convenience for the consumers and also helps banks to connect with consumers through multiple touch points. However, as convenience improves, security features have to be strengthened as well. Any major loophole in mobile and online banking would greatly reduce consumers’ confidence on banking technology.
3. Credit card
Credit cards enable consumers to make purchases instantly and pay for them at a later date by accessing a line of credit. Credit cards are alternatives to cash or cheques and often used for routine purchases at the point of sale (POS), via telephone, on the Internet or by mail order. They can be particularly useful for large or unexpected expenses.
In Malaysia, VISA and Mastercard are two popular credit cards that Malaysians prefer to use. Each of them has their own pros and cons.
Credit cards have several advantages over other payment methods that can be used by businesses. For instance, it is low labour cost. After short delays, credit card payments go directly into your bank account. You don’t need to pay people or spend time to bank them.
On the other hand, it is less risk of theft. Credit card payments go directly into your bank account, so there’s a less risk of theft. It also does fast transaction and has proof of payment. Credit card providers keep records, which act as proof of payment. Proof of payment can help resolve disputes. Credit card provides convenience as some customers may prefer credit card payments due to convenience.
All over the world, MasterCard’s main principal business is to process payments between the banks of merchants and the card issuing banks or credit unions of the purchasers who use the "MasterCard" brand credit cards to make purchases.
MasterCard Worldwide has been a publicly traded company since 2006. Prior to its initial public offerings, MasterCard was a worldwide cooperative owned by the more than 25,000 financial institutions that issue its branded cards.
4. 7-Eleven
7-Eleven Malaysia, the country’s largest convenience store chain comes together for an innovative payment option. Now consumers can pay cash at their nearest 7-Eleven outlets for items they bought online. The feature,
MOLPay CASH by MOLPay, will be available at selected 7-Eleven stores in Klang Valley with more such stores joining soon. This initiative will benefit a lot of people especially Malaysians. 60% of Malaysians prefer cash payment.
MOLPay CASH caters customer without credit card or bank account. Now, customers do not have to worry as they can make payment 24 hours at the nearest 7-Eleven store.
Also Read: Mobile Apps that can earn you real moneyWith the aim to increase merchant’s sales by 40%, MOLPay CASH is a very convenient payment option for consumers who don't have credit card or bank account.
It is convenient to use because 7-Eleven stores are everywhere and consumers can choose to pay at any time of the day, 24/7.
On participating online merchant websites, consumer can choose to pay with MOLPay CASH option in MOLPay payment gateway page. Transaction code and verification code would be generated for consumer to pay cash at their nearest 7-Eleven outlet.
MOLPay has been integrated with 7-Eleven convenience store’s point of sale which would notify merchants in real-time, when consumer has paid.
Merchant fees: MOLPay charges a non-refundable set-up fee for RM400 (premium plan) and RM 499 (LITE Plan). The annual fee for premium plan costs rm 499 and ZERO fee lifetime for LITE plan.
Every credit card transaction fee for premium plan adds a 3 percent on VISA or Mastercard and 3 percent or minimum RM 0.60 (whichever higher for online banking). For more details regarding additional fees please
click here.
| About the Guest Author:
Nabihah Jasri is an intern researcher for a marketing department in a fintech company.