Accepting a variety of online payment methods can help to attract customers and ensure that you get paid more quickly. A study found that 48% of customers prefer to shop in online stores that accept multiple payment methods. In Malaysia, there are a few types of payment methods in the market such as cash and cheque payment, credit and debit card payment, online banking payment, and e-wallet payment.
We might familiar with cash, credit, and debit card payment and online banking payment methods. But, what is actually e-wallet?
E-wallet is a type of pre-paid account in which a user can keep his/her money for any future online transaction. Once you have money in your e-wallet, you can use it to pay at merchants in a variety of ways including scanning QR code and “Tap and Pay”. You may use their smartphones to make payments for groceries, online purchases, flight tickets, and so on.
What are the popular e-wallets payment methods used by consumers in Malaysia?
1) Touch’n Go e-wallet
Touch’n Go e-wallet is an electronic money service via mobile application offered by Touch’n Go Digital Sdn. Bhd. Consumers may use Touch’n Go e-wallet to pay for movie tickets, theme parks, mobile reload, shopping, transfer money, flight tickets, food and beverages, app store, pay direct & RFID, beauty and healthcare, bill payment and petrol station.
GrabPay was introduced and owned by Grab. Each transaction with GrabPay will be granted with considerable points and discounts for the future used. Consumers who enjoy a wider range of services with GrabPay, including ride bookings, food deliveries, in-store purchases, fund transfers to friends and family, and more.
3) Boost Pay
Boost is proudly Malaysia’s homegrown lifestyle e-wallet app. With the Boost app, consumers can pay at participating merchants with your mobile phone without the hassle of using physical cash. You can also top up your prepaid credit on-the-go, pay bills, and also purchase a wide array of digital vouchers at great deals through our Digital Shop.
Why should online sellers adopt e-wallet?
1) Fast checkout experience = High conversion rate
E-wallets help to reduce the checkout process and speed up the payment process. Consumers just have to scan the QR code and the payment is done. As there is a huge amount of the population in Malaysia that owns a smartphone, offering e-wallet in your online store will provide more convenience for your consumers to shop regularly from your online store.
2) More secure
By using e-wallet in your online store, it will make it much easier to manage your business. For example, certain e-wallets like Boost provide a clear overview of your finances for easier bookkeeping. Moreover, the availability of the tracking feature will help to protect your money and reduce the possibility of fraudulent transactions. For devices with biometrics, a payment would require the consumer’s fingerprint to authorize it. It will give an extra layer of protection against unauthorized purchases.
3) Low Transaction Fee
The e-wallet transaction fee is far lower than credit cards. E-wallet providers normally are charging between 1% – 2% as compared to credit cards which are charging 2%-3%. It will help you to increase your profit and reduce your operational cost.
In a nutshell, eCommerce now is not a trend but an important business model to sustain your business. Are you considering adopting e-wallet payment method for your online business? Visit here for more information.