The Surging Malaysia E-commerce Market Growth in Numbers

E-commerce in Malaysia is experiencing rapid growth. By 2028, the Malaysia E-commerce Market Growth is expected to reach $15.7 billion, expanding at a compound annual growth rate (CAGR) of 8.5% from 2024 to 2028. Consumers are shifting towards online shopping, with market value increasing by 12.2% in 2023, bringing it to $10.2 billion. This surge is fueled by rising internet penetration, mobile commerce, and government support, making Malaysia one of the fastest-growing e-commerce markets in Southeast Asia.

Government Support Driving Malaysia E-commerce Market Growth

Malaysia’s government plays a crucial role in accelerating e-commerce adoption. The National e-Commerce Strategic Roadmap (NESR), launched in 2016, has successfully helped 1.51 million small and medium enterprises (SMEs) transition into online businesses by 2023.

This initiative has strengthened Malaysia’s digital economy, which contributed $1.162 trillion to the country’s GDP. The focus on digital transformation is expected to drive job creation, innovation, and business expansion, solidifying Malaysia’s position as a digital leader.

Malaysia E-commerce Market Growth More Users, More Opportunities

Malaysia’s e-commerce user base is expanding quickly. From 2024 to 2029, the number of e-commerce users is projected to grow by 75.91%, adding 8.1 million new users. This significant increase highlights the shift in consumer behavior towards online shopping, making it an attractive market for businesses and investors.

Platforms like Shopee, Lazada, and TikTok Shop are capitalizing on this growth. For example, Shopee Malaysia reported 28 million monthly active users in 2023, with 12.5 million daily transactions during peak sales events like 11.11.

Internet and Social Media Fueling E-commerce Growth

One of the biggest drivers of Malaysia’s e-commerce boom is its high internet and social media penetration. Nearly 98% of the population has internet access, and 83.1% actively use social media.

With social media platforms becoming key shopping destinations, brands are leveraging influencer marketing, live commerce, and direct social media sales to reach more customers. The seamless integration of shopping with digital engagement is further accelerating online retail growth.

The Rise of Mobile Commerce (M-Commerce) in Malaysia E-commerce Market Growth

Another key factor in Malaysia’s e-commerce success is the rise of mobile commerce (m-commerce). By 2023, the m-commerce sector was valued at $8.9 billion, with a CAGR of 19%.

Consumers increasingly prefer mobile shopping apps and digital wallets over traditional online purchases. This trend indicates a shift towards fast, convenient, and mobile-first shopping experiences.

Future Outlook: What’s Next for Malaysia’s E-commerce?

The future of Malaysia’s e-commerce market looks promising. With:

A projected market size of $15.7 billion by 2028
Growing government support for digital businesses
An expanding user base and rising internet penetration
Mobile commerce becoming the dominant shopping trend

Malaysia is set to become a regional powerhouse in digital commerce. Businesses investing in mobile-friendly platforms, social commerce, and data-driven marketing will benefit the most in this evolving landscape.

The Malaysia e-commerce market growth is unstoppable. With strong digital infrastructure, government backing, and changing consumer behaviors, online shopping is transforming how businesses and consumers interact. As technology advances and mobile commerce dominates, Malaysia’s e-commerce industry will continue expanding, creating new opportunities for businesses and economic growth.