During a time where most are ‘forced’ to remain at their homes, content providers will be able to benefit from an increase in subscription
by NUR HANANI AZMAN/ pic by ARIF KARTONO
MALAYSIA’S e-commerce segment — especially in food delivery and online content providers — will reap immediate benefits during the Movement Control Order (MCO) period, according to the National Tech Association of Malaysia (PIKOM).
PIKOM chairman Danny Lee said during a time where most are “forced” to remain at their homes, content providers will be able to benefit from an increase in subscription.
Lee also believes the information and communication technology industry will remain resilient throughout this difficult period.
“Retail sales will definitely suffer a drop during the immediate term. For the corporate sector, some projects may be delayed and this will have an impact on the medium term.
“PIKOM has not done a full impact analysis on the technology industry yet, but we can expect an overall drop in growth numbers from a double digit of about 10% the past year to single-digit growth,” he told The Malaysian Reserve.
Last year, Malaysian e-commerce market generated RM15.95 billion in revenue, largely contributed by small and medium enterprises (SMEs).
However, in such “dark” times, Lee encouraged businesses especially SMEs to be even more creative and resilient, and to consider marketing tactics to weather the next challenging six months.
Lee said this is the best time to teach and build the trust among senior citizens — who are wary and extra cautious about the Internet — on online shopping, especially when Malaysia is shifting to e-payment and e-wallet modes this year.
“PIKOM also calls upon the government to implement attractive stimulus packages that can allay the fears of consumers, particularly concerning the lack of health-related items and food products.
“Also, PIKOM would like to encourage the government to look into tax reduction on SMEs, as well as the banks and financial institutions to delay loan repayments at this crucial time,” he added.
Close monitoring should also be conducted to control current prices of domestic products and commodities, especially on staple products that have caused panic-buying.
“With self-sustaining and self-reliant health regimes being religiously practised on an individual basis, for sure the statistics will show an appreciable drop in infected cases.
“Such trying times call on us, not only within the technology industry but across all sectors covering social, economic and trade, to work even more closely with our neighbouring countries, particularly in containing the further spread of the virus,” he said.