Razer Merchant Services, the B2B arm of Razer Fintech, announced the integration of Ant Group’s Alipay+ solutions for more than 60,000 online and offline merchant touch-points across Malaysia to expand its merchant offerings.
By 2025 it is predicted that there will be more than 4.4 billion digital wallet owners in the world, spending over $10 trillion.
Southeast Asia (SE Asia) is at the forefront of this Fintech revolution with 68% of all e-commerce transactions in the Asia Pacific region expected to be made by e-wallet within the next 2 years.
Some 22% of consumers already say using an e-wallet is now their preferred way to pay for goods and services online, representing an 8% annual growth. In Malaysia alone, the number of e-wallet registrations grew by 28.2 million to 66.2 million in 2020.
❗ SE ASIA & NEW TECH ❗
SE Asians are keen new technology adopter.
✅ In Malaysia, 48% of people claim they like to explore smarter technologies like e-wallets to make payments and billing easier.
✅ In Singapore (45%) and Indonesia (40%), with Thailand 39% and Taiwan 29%.
❗ WHO ARE THE USERS? ❗
➡️ Born after 1995 (Generation Z):
In Malaysia, 71% of Gen Zs use e-wallets, followed by 60% of Millennials (aged 26-40) and 59% of Gen Xs (aged 41-56).
➡️ Urban Dwellers:
As services such as food delivery and ride hailing feature most frequently in e-wallet transactions in SE Asia, this suggests most users live in cities and large towns. In Indonesia, taxis and ride sharing accounts for 59% of the value of e-wallet purchases.
➡️ Mid to High Wage Earners:
In Malaysia, where those with a mid-range monthly household income between MYR 7,001 ($1,726) and MYR 10,000 ($2,465) use e-wallets the most (73%), followed by high-earning families (67%).
➡️ Have Bank Accounts:
E-wallet usage is the highest among those using existing bank products, 31% in Malaysia, 39% in Thailand, 42% in Vietnam, 49% in Singapore and 57% in Indonesia.