Digital Marketing in Malaysia and Beyond

What does it take to succeed in Malaysia?

Digital Marketing consumption in Malaysia started gaining traction in 2010. Fast forward to 2020, it has picked up at the speed of light, largely thanks to ever-increasing internet penetration and a tech-savvy population.

Malaysia is also one out of a handful of English speaking countries in Southeast Asia with a 95% literacy rate. Having placed progressive digital & tech policies, the Malaysian government actively pursues an open market with low barrier to entry for foreign companies, as to encourage foreign businesses to set-up shop and market their products/services here in Malaysia. Matter of fact, a majority of foreign companies looking to penetrate Southeast Asian markets will often find themselves choosing Malaysia as their base for further SEA expansion.

With various paths for market entry, it doesn’t take much for foreign businesses to begin selling products and services to the Malaysian market and beyond. Foreigners can register a business independently, without a local partner and are permitted long-term visa permits to sweeten the deal.

Here’s some quick facts on Malaysia’s economy in 2020:

• 1.2 million businesses

• 5000 foreign businesses

• 3000 startups

• 98.5% SMEs

• $360 billion GDP

• 3rd largest economy in SEA, behind Thailand and Indonesia

• $1500/month median salary

Not forgetting that Malaysia is located in the middle of SEA and only a few hours flight away from neighboring countries.

Malaysia consists of two parted lands divided by the ocean, with Peninsula Malaysia to the west, Sarawak and Sabah on the eastern Island of Borneo. Malaysia also happens to be strategically located between SEA’s tiger economies; Thailand, Indonesia & Singapore.

Southeast Asia is home to almost 700 million people but only 63% have access to internet. That leaves 37% of untapped market that is forcasted to grow in the coming decades.

Take a look at where Malaysia stands.

Malaysia’s internet consumption is ripe for increased growth with the help of a steady increase in internet penetration.

So whether you’re looking on setting up base in Malaysia, or simply want to market products/services in Malaysia from your country of origin, you can do so without breaking bank and knowing that there still remains plenty of room for accelerated growth.

However, an inviting business atmosphere does not necessarily mean easy success!

Malaysia still face challenges with talent shortage, particularly in the digital space. Many Malaysian marketers were not prepared for the sudden change in how businesses approach marketing and a lack of available talent only meant that many had to learn on the go, without clear direction.

Since demand for digital marketers increased drastically, many local businesses found themselves having to either up-skill their traditional marketing employees or get external help from an agency, consultant or freelancer. Interestingly, results from each different approach has painted an abstract picture on how Malaysian digital marketers approach digital marketing strategies, especially for foreign companies.

It was more of a case of meeting demand, as opposed to offering high quality services.

Which brings us to the next important part.

Nothing beats local online communities for a taste of your potential target audiences. A great place to start are local Facebook and LinkedIn groups. If you have specific questions, go ahead and drop a post and you’ll find that Malaysians are always keen on helping!

At the same time, you might assume that it’s not necessary to engage in localised digital marketing services at all, because afterall, its digital marketing which you could easily do from practically anywhere in the world, as long as you have internet. Although possible, it’s not recommended because there still remains a lot to be understood, prior to running campaigns.

There’s been examples of foreign businesses failing to penetrate the Malaysian or Southeast Asian market due to a lack of understanding of culture barriers, languages, races and types of strategies that would work for various target audiences. It’s always best to engage with someone who knows and understands what works and what doesn’t, especially if its their backyard.

This is where I jump in! I help bridge the gap between foreign companies seeking to market their products/services in Malaysia and beyond. Being European and Asian, born in Malaysia has its perks!

Whether you decide to engage with a digital marketing agency, freelancer or consultant, keep in mind what your objectives are and whether you have the budget to match. Here are some reasons that can help justify your path of choice:

• Digital Marketing Agency ($$$) - To justify partnering with an agency, you’re most likely going BIG. That means BIG budgets and BIG campaigns. Only a handful of high quality agencies in Malaysia are at the forefront of the best standards in providing digital marketing services. Want geo-fence targeting campaigns through 3rd party apps on mobile phones to serve ads, depending on someone’s physical location? Then an agency is for you! But remember to bring a size-able budget!

• Freelancer ($) - Quite simply, if you have a small budget, but you know what you want specifically, then freelancers are a no-brainer. Perhaps one-off designs, or short-term SEO campaigns. Small projects mean small budgets and simple objectives. Check out upwork or fiverr for some freelancers! It’s the cheapest approach.

• Consultant ($$) - Most would think that consultants just talk a lot and tell you how things should be done. However, depending on the standards of the consultant, some go the extra mile to become part and parcel of the team, as opposed to a strict clientele relationship. Consultants often find gaps and opportunities in order to make sound recommendations and what can be done. Some consultants not only help strategise, but also execute strategies with great accuracy. Budgets are totally dependent on what’s required but doesn’t go beyond the low 5 figure sum.
  

PS: Since the last couple of years, digital marketing agencies have popped up at a rate that’s impossible to keep track. Currently, Malaysia’s authority on all things digital, MCMC, has yet to establish ground rules and agency-standards, which makes registering and operating an agency in Malaysia just as straight forward as registering and operating a noodle shop.

The Marketing Agency business in Malaysia is highly lucrative! Although there are high quality agencies, be sure to find the right one!

Reach out to me for my personal top 3 most trusted agencies in Malaysia.

Here’s some red flags if you ever choose to go with an Agency:

• Cheap packages

• Questionable reviews

• Aggressive sales tactics

• Lack of results shown on website

• Lack of client testimonials

• Agencies reliant on freelancers

• Agencies with low online followings

• Lack of accredited digital marketing certifications

While it’s important to acknowledge that money-grab agencies exist in Malaysia, do not let it discourage you from the potential to market your product or service in Malaysia and regionally. It all comes down to finding the right people that understand your brand and business objectives.

If you’re not certain, then it’s best to get in touch with a digital marketing professional with deep understanding on the inner workings of the digital marketing industry and what it takes to successfully market products and services in Malaysia and regionally.

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