Malaysia’s market measurement for the gifting trade is estimated to be at US$1 trillion to US$3 trillion (RM4.1 trillion to RM12.4 trillion), which is one-third of the market measurement in Japan. That’s in line with Ryo Okubo, COO of Giftee Malaysia, a subsidiary of giftee Inc from Japan.
This demand for gifting is basically pushed by the numerous festivities celebrated in our culturally numerous panorama, from Hari Raya to Chinese New Year and Christmas. It consequently presents a big alternative for e-gifting, additional accelerated by the pandemic as extra Malaysians are welcoming digital transactions because the norm, from e-commerce to e-wallets.
“We noticed that until now, digital gifting is not widely adopted in Malaysia. However, there is a lot of potential for Giftee Malaysia to enter the market with a first-mover’s advantage,” stated Ryo.
So to make their presence identified, they’ve already partnered with 16 well-loved F&B manufacturers in Malaysia together with Secret Recipe, Starbucks, Tealive, and llaollao.
A digital present card
Currently, Giftee Malaysia has launched 2 out of their 4 accessible options in Japan: eGift System (eGift), and giftee for Business.
eGift is paying homage to the bodily expertise of shopping for a Starbucks present card for a pal who can then head to a bodily Starbucks department to assert their drink costing nonetheless a lot the cardboard is price.
Giftee Malaysia basically digitalises this transaction. On their website, gifters should buy an eGift and personalise a digital card with a message. Once checked out, the gifter sends over a novel hyperlink to the receiver of the present, who can declare their frappuccino in-store, for instance.
However, recipients themselves don’t must by bodily current on the retailer for the redemption, which implies another person can do it on their behalf.
Ryo additionally added, “They have the choice of getting the present delivered if these manufacturers can be found on a 3rd social gathering supply platform equivalent to GrabFood or foodpanda, or their very own supply service. “
With digital present playing cards, companies can eradicate printing out bodily vouchers and present playing cards. This additionally makes it simpler to trace and handle their stock of the variety of freebies or pay as you go merchandise which have already been claimed.
Meanwhile, giftee for Business works for the B2B market by enabling corporations to ship eGifts to purchasers as marketing campaign gifts, or rewards for finishing a survey. Think these free Subway cookies you’d get from doing a survey by way of the hyperlink on your sandwich’s receipt.
The staff famous that this method is at present being utilized by over 100 corporations from the banking, shopper electronics, insurance coverage, and web industries. Some names embody Maybank, Prudential, Samsung, and Lazada, who use these e-vouchers to assist with their advertising and marketing and promotion actions.
Helping manufacturers of their digitalisation journey
As the nation embarks on its Malaysian Digital Economy Blueprint journey to rework Malaysia right into a digitally-driven, high-income nation, native companies are additionally evolving. To meet altering shopper wants within the pandemic, Giftee Malaysia believes they’ve a big position to play.
In the case of Secret Recipe who provides their truffles to shoppers for birthday celebrations and the like, sending a liked one an eGift with an e-card can recreate the expertise. It could also be an expertise households have missed out on because of the MCO’s restrictions.
Although Giftee Malaysia is predominantly working with the F&B trade for eGifts, they aren’t closing an eye fixed to different potential industries on the market. F&B was a place to begin because it’s a neater market to penetrate with the fitting methods.
Once Giftee Malaysia’s platform positive aspects extra confidence from each shoppers and companies, Ryo is hoping to develop their choices within the type of experiences. For occasion, spa therapies as wedding ceremony gifts, or scuba diving journeys for pals who benefit from the outside.
You may say eGift is considerably just like the defunct Groupon, minus having to print out your voucher as proof of buy.
“For our giftee for Business solution, this is industry-agnostic as companies across a wide range of industries would generally embark on marketing and promotional activities and can leverage on our e-gifts as a way to enhance participation in their campaigns or show their appreciation to their own customers and clients in a fuss-free way,” added Ryo.
In Japan, giftee Inc started by onboarding F&B companies, however has now penetrated the retail trade, with a complete of 157 manufacturers at present onboard. “So we believe the same trend of development would happen in Malaysia,” Ryo stated.
More than simply phrase of mouth advertising and marketing
Back in its residence nation of Japan, the staff advised Vulcan Post that giftee Inc has hit a quarterly report excessive as of Q1 2021, with its distribution quantity totaling ¥4 billion (about RM150 million with a 76.2% YoY improve), and web gross sales of ¥1,093 million (about RM41 million with a 141.9% YoY improve).
Granted, these numbers have been facilitated by corporations shifting enterprise actions from offline to on-line, one thing that the staff itself acknowledged. But this phenomenon presents additional alternatives for the corporate to duplicate these ends in Malaysia too.
“With eGift, the brands can utilise a C2C (consumer-to-consumer) platform to sell their products as eGifts. As a customer sends an eGift to a first-time user, this enables the brands to reach new customers and potentially expand the market and generate more revenue,” added Ryo.
Additionally, giftee for Business works as a platform for B2B transactions, the place manufacturers can market their merchandise to different corporations as eGifts in incentive campaigns. “This would generate new distribution channels to increase revenue significantly,” he defined.
For manufacturers that have already got bodily present playing cards—such because the Starbucks instance above—eGift permits these playing cards to be extra seen and accessible since they’re on-line, and may develop into a extra substantial income stream for them.
- You can study extra about Giftee Malaysia right here.
- You can examine different Malaysian startups right here.
Featured Image Credit: Ryo Okubo, Chief Operating Officer of Giftee Malaysia