KUALA LUMPUR: Regional payment gateway provider iPay88 Holding Sdn Bhd, targets 100 per cent growth in transaction volume for 2019 as compared to 52.45 million recorded in 2018, driven by continuous growth of online retail.
The company is also expected to cash in on new launches of e-wallets and new sectors coming into the digital platform with mobile phones being the preferred device of use.
iPay88 executive director Chan Kok Long said the projection is based on a total of 52.45 million successful payment transactions recorded in 2018 as compared to 28.7 million in 2017, nearly doubling in transactions.
These transactions amounted to a total sale of RM7 billion, a 68 percent increase as compared to in 2017 of RM4.8 billion.
“In January 2015, we recorded 193,000 transactions via mobile phones. By December 2018, mobile transactions amounted to 5.1 million transactions.
“Mobile phones have been a key catalyst for the exponential growth of e-commerce over the last few years and businesses should look into enhancing their mobile experience and application performance,” he told reporters during its 2018 e-commerce data insights briefing here today.
He said online banking tripled against credit card transactions in the fourth quarter of 2018, attributing to 13.8 million transactions as compared to 3.5 million transactions for the latter.
He said Bank Negara Malaysia’s move to bring down the cost of online banking transactions in the last few years has definitely made online banking the preferred payment method for consumers.
“FPX (financial process exchange) is fast becoming a preferred mode of payment for consumers.
“Interestingly, credit card purchases in the fourth quarter of 2018 doubled as compared to the same period in 2017 from 1.8 million transactions to 3.5 million in 2018.
“While online banking remains the preferred choice, there has been a significant growth in credit card purchases in 2018,” Chan said.
Moving forward, Chan said the company is forecasting a rise in new retail models trends such as online-to-offline, unmanned stores and augmented reality and biometric technology such as facial recognition will be more widely used for payment.
Besides that, the company also foresees the evolution of business-to-business (B2B) to manufacturer-to-business-to-consumer (M2B2C) – an emergence of direct channel to manufacturer in the near future.