A Solution to the 'Tsunami' of E-Wallets and Cashless Payment Services in Malaysia
The cashless payments and E-Wallet scene has erupted in drastically in Malaysia. Last year alone, there had been more than 20 e-Wallets and Cashless payment platforms in the Malaysian market. This year in 2018, an online payment solutions operator, iPay88 Sdn Bhd says that there will be 10 more e-wallet platforms coming into the market.
Question: So, is this a good thing?
The market for cashless payments in Malaysia is HUGE although there are plenty of them around. However, despite the sea of these platforms being around - most of them serve a specific purpose. For example, In the beginning of 2018 an app called Bayar was launched. Bayar is a bill-splitting app which allows users to split bills and keep track on 'who has paid' and 'who has not'. It's very much like the Venmo of Malaysia.
Then, you have the more general e-wallet apps such as Fave Pay which allows you to pay merchants via the app by using their QR Code (Quick Response).
But, with all these payment platforms and e-wallets lying around, what could be the drive and encouragement for people not only in Malaysia, but also the rest of Asia to make the transition from cash to cashless payments?
Let's take a look at China, the Chinese have assimilated themselves with WeChat app. WeChat has revolutionised the way China can make payments. From purchasing a drink at a convenience store to paying for cab rides and to paying the bills. Payments through WeChat is accepted all over China, even in the most secluded provinces. The question is how did they do this in such a short period of time?
The solution to a 'Tsunami' of e-wallets and payment platforms?
iPay88 Sdn Bhd are currently waiting for the licensing from the Malaysian authorities to move forward with a White Label platform to accommodate all these platforms into one place.
How can users benefit?
- Users won't have to download several different apps
- Eases the payment process
- Saves mobile space
At this moment in time, Malaysia is still a cash based society and even if people in Malaysia do want to make a transition from cash to cashless - there are many who don't trust the security of these platforms. Malaysia is expected to be a full fledged cashless society by the year 2050 but some experts say that, with the rate at which online payments and with the increasing amount of mobile payments services entering the market each year, the predictions of #malaysia being a cashless society may be reduced.
But, we'll see.
Thanks let me know what you think!