When global geopolitical conditions necessitate looming price increases across the board, e-commerce firms can leverage digitalization to help consumers cope…
According to some reports, nearly one in two Malaysians shopped online in 2024, especially those in the age groups of 18–24 and 35–44 year olds. Fashion, accessories, electronics and homecare products were among the most popular categories.
The country’s Department of Statistics Malaysia has also reported that the Information and Communication Technology (ICT) and e-commerce sectors contributed RM427.7bn (US$96.6bn) to the national economy in 2023, a 3.9% growth from the year before.
In order to test out these trends, and to enable its Malaysian customers to enjoy interest-free instalment payment options when shopping for a wide range of products on its platform, an e-commerce firm has tapped on digital transformation to quickly link up with a supplier of digital financial services.
On 25 February 2025, an announcement was made that Chinese e-commerce firm Temu will be tapping into Malaysian consumers’ increased digital adoption and changing shopping habits by offering greater digital payment flexibilities and loyalty schemes.
According to its website information, in addition to its wide range of existing digital payment options such as PayPal, Venmo, Klarna pay in 4, and Afterpay, the e-commerce platform is adding Atome to its list of payment technology providers. This adds the following flexibilities to Malaysian consumers and in selected markets elsewhere:
- Interest-free instalments for purchases split into three equal payments over three months (minimum order value: RM20)
- Provisions for six- or 12- month instalment plans for larger purchases, with a processing fee payable
- Linkages to credit and debit cards for automatic deductions of instalment payments
According to Andy Tan, Chief Commercial Officer, Atome Financial, offering more checkout payment options will provide Temu customers in Malaysia with “the choice, convenience and flexibility of how they want to shop and pay, significantly enhancing the consumer shopping experience.”
At the same time as the announcement about its payment options enhancement for the Malaysia market, Temu also announced it is opening up its platform to Canadian businesses amid the global threat of trade wars with the United States. Quick pivoting and digital agility can definitely go a long way in managing such geopolitical business risks.