Malaysia’s e-commerce market with a current valuation of US $7.88 billion and a forecasted CAGR of 11.25%. Consumers are shopping online more than ever, and e-commerce marketplaces are flourishing. The user penetration is expected to hit 52.8% by 2029, with 18.8 million users. A booming economy coupled with a growing preference for online shopping makes Malaysia an ideal country for e-commerce sellers to enter.
If you’re an e-commerce seller planning to enter the Malaysian market or exploring what to sell online, we’ve got you covered. Here’s a curated list of the top trending products in Malaysia to help you discover what Malaysian shoppers are buying.
Stay ahead of the curve and discover the best-selling products driving Malaysia’s e-commerce revolution!
Top trending products in Malaysia to sell online
In the first quarter of 2023, the income generated by Malaysia’s e-commerce sector crossed US $62.18 billion. There is immense potential within the country for e-commerce sellers to scale and grow. However, it’s not enough to just have the best products. It’s also essential to know which products are trending. Here’s a list of the top high-demand products in Malaysia.
1. Electronics
The consumer electronics division in Malaysia is massive and accounts for 24.9% of the total e-commerce market. By 2028, it’s projected to reach a market volume of US $6.6 million. The growth of this sector is no surprise. On average, each Malaysian consumer owns 1.3 electronic devices.
The most popular product in this category is smartphones, with 82% of Malaysian shoppers looking to buy them. The iPhone 15 was the most searched electronic device. Apple iPhones and Samsung Galaxy series are among the most sought-after smartphones in Malaysia. Both brands consistently rank high in consumer preference due to their innovative features and reliability. Other best-selling products include laptops, tablets, smartwatches, cameras and earphones. With the high demand for electronic devices, there is a parallel need for complementary products. Products like power banks, charging cables, and screen protectors are trending as they cater to the practical needs of device users.
Electronics are delicate and can easily get damaged without proper handling.
With Locad’s camera-monitored warehouses, your products are stored securely, ensuring top-notch quality every time.
2. Fashion
The monthly revenue generated by the fashion e-commerce industry in Malaysia is a whopping US $238 million. It is expected to experience a CAGR of 12.9% over the next 4 years. Malaysia is multicultural, with a majority Muslim population, followed by Indians and Chinese. As a result, fashion in Malaysia is diverse and dominated by cultural inclinations or seasonal festivals. For instance, Malays who practice Islam prefer modest fashion, while Chinese consumers are influenced by Korean and Japanese trends. Shopping online for clothes and accessories is especially popular among Gen-Z and millennials.
Popular fashion trends in the country include modest fashion, clothes that are ‘functional’ and comfortable, athleisure, sustainable fashion, and luxury fashion. Data shows that Malaysian consumers do not hesitate to pay a premium for luxury fashion goods. Sustainability has also become a key driver among the eco-conscious population. For example, the popular fashion brand H&M launched its first online warehouse in Malaysia. Other local brands have also launched products created from renewable sources.
Consumers are willing to spend an average of 9.7% more on sustainably produced products.
Locad provides eco-friendly custom packaging solutions to match your brand’s green goals.
3. Beauty and skincare
According to Statista, Malaysia’s beauty industry revenue will grow continuously until 2029 and reach US $1.5 billion. Online sales make up 18% of the total revenue. The growth of this market is largely driven by younger consumers, social media trends, and influencer tutorials. Popular products include hydration creams, sunscreens, and anti-aging creams. Data from Shopee shows that facial serums hold a 25% market share, while moisturizers occupy 21%.
As the country’s population is majorly Muslim, there is also increased demand for halal-certified products. While local brands have their presence, foreign brands occupy a large share of Malaysia’s beauty industry. It is one of the key countries that imports beauty products from the USA, Singapore, Japan, and South Korea.
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4. Canned and ready to eat food
In Malaysia, ~61% of consumers shop online weekly, with 28.7% buying groceries. Lazada is the leading online store in this industry and generated a revenue of US $2.3 million in 2023. There is a notable shift towards health-conscious products, with consumers increasingly seeking organic, plant-based food options. This trend aligns with a broader global movement towards healthier eating habits. As the purchasing power increases, consumers are also looking for imported ingredients and premium products. Ready-to-eat foods are also gaining popularity as more employees return to the office and lifestyles get busier. Best-selling products include staple foods, seasonings, snacks, and candy.
Ensuring food safety is a paramount issue, with contamination posing significant risks to brand reputation.
With Locad’s First In, First Out (FIFO) system, you can ensure the freshest products reach your customers first.
5. Consumer household appliances
Household appliances are a best-selling product in Malaysia and are expected to reach a market volume of US $1598 million by 2028. It is estimated that each house will own an average of 3.11 appliances. Air conditioners dominate this market, driven by Malaysia’s hot and humid climate. The demand for energy-efficient air conditioning technologies is also high, as consumers seek to reduce energy costs while maintaining comfort. Refrigerators and washing machines are other high demand products among consumers.
A new segment gaining popularity in Malaysia is the smart kitchen appliances market. These include smart cookers, refrigerators, and hoods. With rising disposable incomes and growing urbanization, many consumers are looking for convenient lifestyle choices. This segment is expected to grow to US $7.5 billion by 2031.
Home appliances come in various sizes, from compact units to large, bulky items.
With Locad, you only pay for the inventory space you use.
6. Baby products
The demand for baby care products is growing in Malaysia as more consumers want healthier options for their toddlers. This sector is projected to grow at a CAGR of 4.5% between 2024 to 2030. Currently, the revenue generated is US $68.3 million. Reports show that baby care is the top product category in Shopee Malaysia.
Consumer spending on baby products continues despite inflation, as many shoppers view these as essentials. There is also a shift towards organic and premium products. Parents want products free from additives, pesticides, and preservatives. Many are even introducing their children to a completely vegan, plant-based diet. Among baby clothes, there is an increased demand for Malay outfits as many consumers take pride in their cultural heritage.
The demand for baby care products in Malaysia is rising as parents prioritize healthier options.
Locad offers custom labeling to highlight that your products are free from preservatives, additives, and other harmful ingredients.
7. Toys, games and hobbies
In October 2024, the monthly revenue for the Malaysian toys market was approximately $23 million. This reflected a 15.9% increase compared to September 2024. The average revenue generated per user is US $7.65. The most popular product in this segment is sports equipment, which occupies a market volume of US $700 million. Despite digital advances in Malaysia, there is a high demand for traditional toys like batik dolls and wooden tops. Action figures and dolls are also among the best sellers. Many parents also prefer to buy educational toys for their children to learn while playing. The Malaysian government has also played a role in promoting DIY hobby kits among children to promote extracurricular activities. Many manufacturers are also making the most of technology to launch products like VR headsets.
8. Furniture and Remote work equipment
The furniture segment makes up 11.7% of Malaysia’s total e-commerce market. It’s growing rapidly and is projected to reach a market volume of US $3662 million by 2028. The success of Malaysia’s furniture industry can be attributed to foreign investments, high exports, and rubberwood. Ever since rubberwood became a primary source of Timber, Malaysia began exporting furniture to 160 countries. The growing urban population has increased the popularity of modern furnishings. The high-demand products in this segment include living room furniture and remote work equipment. In addition, government policies and increased consumer awareness have increased the popularity of sustainable products.
~85% of the furniture produced in Malaysia is exported to countries like the USA and Australia.
With Locad, simplify cross-border shipping and deliver seamlessly to these high-demand markets.
9. Wellness Supplements
By 2030, Malaysia’s nutraceuticals market will reach a value of US $1 billion at a CAGR of 6.5%. This massive growth is driven by health-conscious consumers who believe prevention is better than cure. Many consumers are concerned about lifestyle conditions like diabetes, hypertension, and cardiac issues. Supplements are popular among young and older consumers. For instance, 45.8% of elderly residents in Malaysia use herbal products for health benefits. It’s important to note that regulations and lack of standardization can impact market dynamics. Best-selling products in this category include vitamins, minerals, herbal supplements, probiotics, and weight management products.
Lazada is one of the most popular marketplaces in Malaysia and offers a wide range of health supplements.
Locad offers an omnichannel logistics engine that helps you partner with leading marketplaces, including Lazada, Shopee, and TikTok shop!
10. Luxury Goods
As the number of tech-savvy consumers in Malaysia increases, luxury brands have enhanced their online presence. E-commerce has become a vital channel for reaching customers, with 8.1% of revenue generated from online sales. The total revenue generated amounts to US $2.6 billion. The growth of this market is correlated with the continued rise of Malaysia’s tourism industry. Travelers have a high % of disposable income, which is often spent on luxury products from international brands. In Malaysia, brands also offer a larger portfolio of products as consumers are willing to spend money on luxury items. While tourists prefer to shop for perfumes and leather goods, residents prefer jewelry and watches.
Locad supports the luxury goods market by offering secure inventory storage solutions specifically designed to handle high-value items. Locad also provides B2B logistics services. Using this merchants can ship directly to a brand’s offline stores. This ensures that luxury retailers can maintain optimal inventory levels across locations and offer an omnichannel shopping experience. Our platform enables luxury brands to manage inventory efficiently while maintaining the integrity of their products.
Conclusion
Malaysia’s e-commerce market is rapidly evolving to include both local and international sellers.
Consumer preferences are constantly shifting and are influenced by technology and lifestyle changes. Businesses that adapt to these developments can better meet customer expectations and identify opportunities to expand their offerings. Building a lean, scalable infrastructure to support omnichannel sales is crucial for success. By creating a resilient supply chain and offering products at great value, sellers can thrive and achieve significant margins!
