Despite end of moratorium, people are still spending on goods online as it has become a major channel of distribution
by LYDIA NATHAN / pic by ARIF KARTONO
E-COMMERCE retailers are confident that the end of loan moratorium will not have a major impact on their upcoming 10.10 sales this weekend.
Shopee regional MD Ian Ho said even though it has been about a week since the moratorium ended, overall traffic to the platform has remained robust.
“Brands and sellers on Shopee Mall and the marketplace respectively continue to record strong demand, and seeing e-commerce appeal as a whole has recorded steady growth throughout 2020, we foresee this trajectory continuing in the coming months,” he told The Malaysian Reserve (TMR).
According to Ho, the positive projection is due to Shopee’s strong ecosystem, which provides efficient and affordable logistics solutions, secure payments infrastructures and greater offerings of value and convenience for shoppers in the year-end shopping season with its upcoming 10.10, 11.11 and 12.12 shopping events.
“The Shopee 10.10 Brands Festival campaign will feature 10 sen, RM1 and RM10 deals on various items. This is the value and quality for shoppers. We believe that we will also be of great assistance to Malaysians in the wake of the new Covid-19 wave. We are working very hard to put forth our best service while we work as a nation to continue our fight against the pandemic,” Ho added.
Meanwhile, Lazada Malaysia COO Shah Suriye Rubhen said since the Movement Control Order (MCO) was enacted in March 2020, a significant shift was recorded in shopping habits of Malaysians.
“Since then, it has become apparent that online shopping has not only become the new normal, but that it also continues to be on an upward trajectory with no signs of slowing down,” he said.
In general, Shah said the platform’s overall daily average transactions grew by 80% compared to pre-MCO, while new small and medium enterprises (SMEs) coming onboard increased by 300% as at August 2020.
“We expect this momentum to continue as we encourage Malaysians to stay at home in line with the government’s nationwide efforts to flatten the curve, especially with the recent rise in Covid-19 cases across the country,” Shah said.
Additionally, the platform’s up-coming 10.10 Women’s Festival campaign is aiming to support women-led SMEs, as well as play a role in contributing to the National Cancer Society’s Breast Cancer Awareness initiatives through our LazadaForGood Pink October Campaign.
“Together with our ongoing campaigns and government partnerships, we are proud to have played a significant role in accelerating the growth of Malaysia’s digital economy during this challenging period,” Shah noted.
Retail Group Malaysia MD Tan Hai Hsin told TMR that people are still spending money to buy goods online as it has become a major channel of distribution for goods and services in the country.
“The lines between physical and online stores are blurring, with many physical stores selling goods online as well. The Covid-19 pandemic has forced many retailers to pay attention to online platforms. After the MCO was lifted, we noticed more businesses investing money and effort into technology,” he said.
Sunway University Business School economist Prof Dr Yeah Kim Leng said while the resurgence of the virus will keep crowds small and distanced in public, this reiterates the fast-expanding role and importance of e-commerce in the post-Covid 19 economic recovery and changes in the business and consumer landscape.
“It is critically important for existing businesses to embrace e-commerce to survive, and for entrepreneurs and start-up companies to innovate and push the frontier of e-commerce. Opportunities abound for businesses to explore new branding, marketing, sales and delivery channels, as well as to develop new products and services, and create new or niche markets,” he said.