Malaysian Consumer Behavior (Post-Pandemic)

Maverick Foo
Sunday, 16th March 2025

Welcome to our in-depth exploration of Malaysian consumer behavior in the post-pandemic era. In this report, we delve into the distinct trends across Malaysia’s diverse regions—from the bustling urban centers of Central Malaysia to the culturally rich East Coast and emerging markets of East Malaysia.

We examine how consumers engage on social media, make tech purchases, and choose telco and internet services, offering actionable insights into the factors driving their decisions.

With detailed segmentation by urban versus rural areas and income groups (T20, M40, B40), this research is designed to guide marketers and businesses in tailoring their strategies to meet local demands.

At Radiant Institute, we blend data-driven analysis with practical recommendations, ensuring you have the insights needed to thrive in Malaysia’s dynamic market. Read on to discover the key trends and strategic insights shaping today’s consumer landscape.

Malaysian Consumer Behaviors Shopping

Northern Malaysians Consumer Behaviors

Northern Region (Perlis, Kedah, Penang, Perak)

Social Media Behavior: Northern Malaysians are active on social media, with high penetration in urban hubs like Penang and Ipoh. Facebook, WhatsApp, and Instagram are widely used, though rural users may stick more to Facebook/WhatsApp for community updates. Overall sentiment in the north tends to be mixed – many hold neutral views on social media’s societal impact, but there is a slight lean towards skepticism in more conservative rural pockets. Traditional community ties mean offline word-of-mouth remains important alongside online interactions.

Buying Behavior (Electronics & Mobile): Consumers here research electronics heavily online before buying, similar to national trends. Price and features drive decisions – for nearly half of Malaysians, phone specs (like battery life) matter more than price, and the north is no exception. Brand loyalty is limited (less than 25% stick to one brand), though older consumers may favor familiar brands. In smaller northern towns, limited retail options have pushed more shoppers to e-commerce. Notably, rural Malaysians (common in Kedah/Perlis) are slightly more likely to buy smartphones online than urban dwellers, leveraging platforms like Shopee/Lazada to access deals and brands not available locally.

Telco & Internet Subscriptions: Mobile connectivity is strong in most northern areas. Maxis has historically been a popular mobile provider in this region , especially in urban centers, while Celcom (now part of CelcomDigi) is valued in rural areas for coverage. Internet access is widespread – Penang and Perak have high broadband uptake in cities, though rural broadband can lag. Still, the digital divide is less severe here than in the east coast. Most users have transitioned to 4G; urban households often have fiber internet, whereas rural ones rely on 4G mobile broadband. The majority of northern subscribers are on prepaid plans, as in the rest of Malaysia (62% national prepaid share) , but postpaid adoption is rising in urban centers along with family bundle plans.

Values in Purchasing Decisions: Northern consumers tend to be value-conscious and exhibit relatively high consumer ethnocentrism. Studies show northern and east coast Malaysians have stronger ethnocentric tendencies (preferring local products) compared to central/southern residents. This may translate to a trust in local brands or Malaysian-made goods when available. Key decision drivers include price affordability, product reliability, and family needs. Sustainability is also recognized – in fact, the northern region has one of the highest regards for sustainable living, with many rating it “extremely important”. Younger Northerners, especially in Penang, are attuned to environmentally friendly and socially responsible brands.

Demographics: The Northern Region is home to ~6.7 million people across four states. It has a mix of urban and rural demographics. Penang and Perak are more urbanized (and host sizable Chinese communities alongside the Malay majority), whereas Kedah and Perlis are largely rural Malay heartlands. Family sizes here are moderate, and a significant segment of the population is in the B40 income group due to agrarian economies. Incomes vary by state – Penang’s household incomes align closely with the national average, but Kedah and Perlis are lower. For example, Kedah’s median household income was around RM4.4k, among the lower medians nationally . Many northern households (especially in Kedah/Perlis) fall under lower-income brackets, with those states having a higher-than-average share of households below the RM7k/month mark .

Key Influences on Behavior: Economic factors (like the cost of living and employment in manufacturing hubs) influence northern consumer habits. Penang’s industrial economy means a tech-savvy workforce that readily adopts new gadgets, while farming communities in Kedah/Perlis are more cautious spenders. Culturally, the north balances tradition and modernity – for instance, consumers in Penang are cosmopolitan, whereas those in rural areas may be guided by local customs and family elders in their choices. The pandemic accelerated digital adoption here as everywhere – even older folks in villages learned to use smartphones for messaging, e-banking, and online shopping out of necessity. Social factors such as community recommendation are powerful; Facebook community groups and WhatsApp chats often guide buying decisions for local products and services. Overall, the northern region’s consumer behavior is shaped by moderate incomes, strong community ties, and increasing exposure to online platforms.

Malaysian Consumer Behaviors Couples

Central Region Malaysians Consumer Behaviors

Central Region (Kuala Lumpur, Selangor, Negeri Sembilan, Putrajaya)

Social Media Behavior: The central region is the most urbanized and connected part of Malaysia, leading in social media usage. With Kuala Lumpur and Selangor’s dense urban populations, internet penetration is virtually universal. People here engage across all major platforms – Facebook, Instagram, Twitter (X), TikTok, WhatsApp – for both personal and business purposes. Social media sentiment is fairly balanced: surveys show the central region tends to have a “balanced perspective” on social media’s impact, with fewer extreme views. Urban netizens are highly active online (streaming, e-commerce, content creation are common), but also savvy about digital well-being. Notably, central and east coast users have the highest preference for getting news from social media compared to traditional channels, yet central Malaysians also exhibit relatively high trust in both social and traditional media sources alike. Offline, this region sees frequent “online-to-offline” engagement – e.g. events or flash sales organized via social media often translate into large in-person turnouts in the Klang Valley.

Buying Behavior (Electronics & Mobile): Consumers in KL/Selangor are early adopters with broad access to retail and online options. They are more likely to upgrade their phones frequently – over half of Malaysians say they would get a new phone every two years or sooner, a trend led by urban buyers. Price sensitivity exists but many central-region shoppers prioritize product quality, specifications, and brand reputation given higher average incomes. Phone purchase decisions here are driven by specs (battery life, OS, camera) more than price for a large segment. Brand loyalty is moderate – while some stick to Apple or Samsung, the majority will switch brands for better features or deals. The purchasing channel mix is diverse: online marketplaces are popular (convenient for busy urbanites), but brick-and-mortar experiences are still valued – for example, crowded electronics malls in KL (Plaza Low Yat, etc.) show that many like to see and try devices before buying. During the pandemic, even luxury and electronics shopping shifted online; now an omnichannel approach is common (research online, buy offline or vice versa).

Telco & Internet Subscriptions: Central region consumers enjoy the widest range of telco and broadband services. Mobile coverage is excellent (4G nearly ubiquitous in populated areas), and this area was first to get 5G in late 2021-2022. CelcomDigi and Maxis dominate mobile subscriptions in KL/Selangor, with U Mobile and Unifi Mobile also present. A 2020 survey showed Maxis as the most popular operator nationwide (28% share), with Celcom and Digi not far behind – in the central region, Maxis has a strong hold especially among higher-income users, while Digi was popular among younger and Chinese users . Postpaid subscription rates are highest in urban centers due to the many working professionals and family plans – in general, more developed regions have more postpaid users, whereas the East Coast and East Malaysia have the lowest postpaid rates . Fixed broadband is common in urban homes: Telekom’s Unifi fiber and TIME Fiber service many households, and high-rise condos often come with broadband pre-installed. Overall, central Malaysia has the best connectivity – nearly all households have internet access (95.5% of households nationwide had internet by 2021), many with high-speed options.

Values in Purchasing Decisions: Central Malaysians tend to prioritize convenience, quality, and modern lifestyles in their purchasing values. They are generally less ethnocentric in consumption (scoring the lowest on local-only preference in one study), being more open to foreign brands and global trends. Key decision drivers include product quality, brand prestige (especially for luxury or tech gadgets among affluent consumers), and whether the product fits an urban lifestyle. That said, price-consciousness has grown post-pandemic due to economic uncertainty – even in KL, consumers hunt for discounts and value deals, especially the middle class facing rising living costs. Sustainability and ethics are rising in importance: younger consumers in the Klang Valley are pushing eco-friendly choices (e.g. buying from brands with social responsibility). Surveys show a balanced stance – central region folks are neither the most gung-ho nor the most indifferent about issues like sustainable living, but there is a notable segment that values environmentally conscious products. In summary, the central region’s consumer values mix modern, global outlook with a practical eye on value for money in a high-cost environment.

Demographics: The central region (KL, Selangor, Putrajaya, and often Negeri Sembilan in this grouping) has around 9–10 million people. It is highly urban and ethnically diverse. Kuala Lumpur and Selangor together have large Malay, Chinese, and Indian communities and a median age that skews younger due to job-driven migration. This region contains the bulk of Malaysia’s T20 high-income households – for instance, Kuala Lumpur’s income levels are so high that RM7k/month is considered a B40 (low-income) threshold in the city (whereas RM7k would be top 20% in poorer states like Kelantan) . Selangor as the economic hub also has a high median income (one of the highest in the country). Conversely, pockets of urban poor exist (inner-city flat dwellers, migrant workers, etc.), but overall the region is affluent with a sizable middle class (M40) and the largest proportion of wealthy consumers. Family sizes are smaller on average (urban nuclear families), and a highly educated consumer base is present – this contributes to the region’s digital-savvy and consumption patterns.

Key Influences on Behavior: Economic and technological factors are major drivers in the central region. High living costs (housing, transport in KL/Selangor) make consumers here carefully weigh purchases – market volatility and price sensitivity have increased post-pandemic , even among higher-income groups. At the same time, higher disposable incomes allow for indulgence in new tech, dining out, and travel, so spending patterns can be dynamic, swinging between frugality and premium splurges. Culturally, the central region is Malaysia’s melting pot – exposure to international media and trends is greatest here, so global fashion, tech fads, and influencer marketing have strong impact. Tech influences are evident: fast adoption of e-wallets, food delivery apps, ride-hailing, etc., originated in the Klang Valley and spread outward. Socially, peer influence and online reviews significantly shape behavior (urban consumers routinely consult YouTube reviews or Instagram influencers before trying a new product). The pandemic catalyzed a lasting shift: even as malls reopened, many central region shoppers continue to use online channels (for efficiency) and hybrid work has made home technology (better broadband, home office gadgets) a lasting priority. In short, central region consumer behavior is driven by a mix of economic pragmatism, cosmopolitan culture, and early adoption of technology.

Malaysian Consumer Behaviors Clothing

Southern Malaysians Consumer Behaviors

Southern Region (Johor & Melaka)

Social Media Behavior: Southern Malaysians (notably in Johor and Melaka) are highly engaged on social media, much like those in KL. Johor’s population (the second largest state by population) contributes significantly to Malaysia’s 28+ million social media users . In fact, about one-third of WhatsApp users are concentrated in just three states – Selangor, Johor, and Perak – indicating Johor’s hefty share. Popular platforms mirror national preferences: WhatsApp is nearly ubiquitous, Facebook is the next most used, followed by Instagram; TikTok usage has also surged among youth. The southern region showed some of the highest neutral responses about social media’s impact on society – many users here neither strongly praise nor condemn social media, reflecting a pragmatic use of these platforms. Urban residents in Johor Bahru use social media for news, shopping (social commerce), and entertainment, while rural community members use Facebook groups and WhatsApp for local info-sharing (e.g., neighborhood watch, local business promos). As interstate travel resumed post-pandemic, cross-border social interactions (Johoreans interacting with friends/family in Singapore via social media) have been a notable aspect of online engagement in this region.

Buying Behavior (Electronics & Mobile): In Johor and Melaka, consumer electronics purchasing habits balance between modern and traditional. Johor Bahru’s proximity to Singapore introduces global exposure – Johor consumers are aware of international brands and sometimes even shop across the border or compare prices with Singapore. Generally, southern consumers look for value and reliability. Price remains important, but like all Malaysians they also emphasize specs and quality for smartphones and gadgets. Brand loyalty in this region is moderate; for example, many will switch from Samsung to a Chinese brand if it offers better value, echoing the national finding that brand loyalists are under 25% of buyers. Southern shoppers increasingly use e-commerce for electronics, accelerated by the pandemic. However, brick-and-mortar stores (e.g., in Melaka city or Johor’s malls) are still frequented, especially for big-ticket items where seeing the product matters. One observed financial behavior: building an emergency fund is a high priority in the Southern region, so consumers may be cautious with large purchases unless necessary or very enticing. This practical outlook means many compare extensively (online reviews, visiting multiple shops) before buying electronics or mobile devices.

Telco & Internet Subscriptions: The Southern region has good telecommunications infrastructure, particularly in Johor’s urban and industrial areas. Maxis, CelcomDigi, and U Mobile are all well-established. Interestingly, Maxis leads in most regions except the Southern and East Malaysia – implying that in Johor/Melaka, Celcom and Digi (now merged) had a comparable or greater combined share. Celcom historically had strong coverage in southern rural areas and Digi was popular in towns, so the merged CelcomDigi is very prominent here. Mobile broadband usage is high; Johor in particular has many mobile internet users due to its large population. Home broadband penetration is solid in Johor Bahru and Melaka City where Unifi fiber is available, but in rural parts of Johor (e.g., far end districts) coverage can drop off, though 4G is being expanded continuously. Overall, southern regions meet national averages in connectivity – Johor and Melaka’s household internet access rates are on par with or slightly above the Malaysian average . Most urban households have both mobile and fixed broadband. The urban-rural divide exists but is less pronounced than in East Malaysia. As for plan types, a healthy portion of users have postpaid plans (especially those with stable jobs), but prepaid remains common among youths and lower-income groups. Telco competition is intense – providers often pilot new plans in Johor (being a big market) and we see plenty of telco marketing due to the state’s strategic importance and sizeable consumer base.

Values in Purchasing Decisions: Southern Malaysian consumers hold practical and family-oriented values. They are not as strongly ethnocentric as the east coast; their consumer ethnocentrism scores tend to be mid-range, meaning while they support Malaysian products, they have no strong bias against foreign brands. What stands out is financial prudence – as noted, Johoreans emphasize savings (emergency funds), likely influenced by seeing high costs in neighboring Singapore and wanting financial security. This translates to careful spending and seeking long-term value in products. Sustainable living is acknowledged but not top-of-mind: surveys found the Southern region more likely to rate sustainability as “important” rather than “extremely important”. Convenience is another value driver; busy urban lifestyles in Johor Bahru mean services like online grocery, ride-hailing, and cashless payments are quickly adopted if they make life easier. Family needs also guide purchases – with many multigenerational households, buying decisions for appliances, TVs, etc., often consider the comfort of elders and children. Finally, southern Malaysians generally value stability and trust in brands; they may stick with a telco or bank that has served them well, and they look for credible reviews before trying something new.

Demographics: Johor and Melaka collectively have around 4.7 million people. Johor is demographically diverse: a significant Malay majority with large Chinese and Indian minorities, reflecting its history as a trade and economic center. Melaka, though smaller, also has a diverse cultural makeup and is a tourist hub. Urbanization is high in Johor Bahru and Melaka City, but Johor also has rural districts with farming and fishing communities. The population skews younger in urban areas due to job opportunities (Johor’s manufacturing and logistics sectors attract many young workers). Income-wise, Johor and Melaka are middle-of-the-pack: they are among the few that closely fit the national income distribution averages . Melaka’s median household income and Johor’s are roughly around the national median (~RM5-6k per month). There’s a notable presence of M40 middle-class households, especially in Johor Bahru’s suburbs, and a growing number of T20 as Johor’s economy develops (Iskandar development region). Still, pockets of poverty exist in rural and some urban fringes. Education levels are relatively high (Melaka and Johor boast good secondary and tertiary enrollment), contributing to the region’s informed consumer base. Family size is average – not as large as in the east coast, partly due to urban living constraints.

Key Influences on Behavior: Economic influences include Johor’s cross-border interaction with Singapore – exposure to the stronger Singapore dollar leads many Johor residents to work or shop in Singapore, affecting local spending patterns (e.g., they might save up to buy electronics in Singapore for perceived better models or prices, or conversely spend Singapore earnings back home). The fluctuating exchange rate and border closure during the pandemic forced a shift: locals supported domestic markets more when they couldn’t go to Singapore. Culturally, the southern region is a blend of Malay culture with historical Baba-Nyonya influence in Melaka and modern influences from Singapore – this mix yields a consumer culture that appreciates both traditional practices and modern entertainment. Technologically, Johor has been earmarked for smart city initiatives, and the populace is quick to adopt digital conveniences (Johor was among the first to use some 5G trials and digital banking services). Social influences are also strong; for example, the community in smaller towns like Muar might rally around local brands or businesses, whereas Johor Bahru folks are swayed more by national advertising and social media trends. The pandemic highlighted the region’s resilience – many small businesses in Melaka and Johor pivoted to online sales or home delivery, which has permanently altered consumer expectations (people expect merchants to offer online ordering, etc.). In sum, southern consumer behavior is shaped by a drive for stability and value, cross-border cultural exposure, and an increasing reliance on digital solutions.

Malaysian Consumer Behaviors SMEs

East Coast Malaysians Consumer Behaviors

East Coast Region (Pahang, Terengganu, Kelantan)

Social Media Behavior: In the East Coast, social media usage is widespread but patterns differ slightly due to the region’s more rural, conservative makeup. Platforms like Facebook and WhatsApp are the backbone of online communication here – they dominate as information sources and social connectors. WhatsApp in particular is ubiquitous, serving as the main medium for everything from family chats to home-based business marketing. Facebook usage is also high, but East Coast users tend to consume content (news, religious sermons, marketplace listings) more than create it. There is a hint of skepticism towards social media among East Coast residents: surveys indicate Sabah, the Northern region, and the East Coast show more negative views on social media’s impact. Many worry about fake news or cultural dilution online. Indeed, the East Coast states exhibit the strongest preference for traditional media (TV, radio) over social media for trusted information. This means while people are on Facebook, they might still trust TV3 or local newspapers for critical news. Offline engagement – such as community gatherings, mosque announcements, night markets – remains an important complement to online networks. During the pandemic, even rural villagers got onto Facebook Live for community updates or onto YouTube for school, marking a significant leap in digital adoption. Now, as connectivity improves, younger East Coast users are slowly embracing newer platforms like TikTok (for entertainment and small business promotion), though older generations remain more comfortable with WhatsApp and Facebook.

Buying Behavior (Electronics & Mobile): Consumers in Kelantan, Terengganu, and Pahang are generally price-sensitive and value-driven. Lower average incomes mean that big purchases (like a new smartphone or a TV) are considered carefully. Many tend to “use things to the max” – e.g. keeping a phone for several years until it breaks, rather than upgrading frequently. When they do buy electronics, practical features (battery life, durability) often trump having the latest tech. Brand loyalty exists in pockets (for instance, some might stick to a trusted brand like Nokia in the past or Samsung now if it served them well), but overall, affordability is key. The pandemic pushed even remote communities to try online shopping for lack of local options; as a result, rural consumers began purchasing gadgets online more than before, sometimes even outpacing urbanites in that shift. It’s not uncommon now for a villager in Kelantan to order a Xiaomi phone off Lazada because the nearest town doesn’t stock that model. Cash on delivery and agent-assisted shopping (through local telecommunication kiosks or computer shops) are popular for those less savvy with online payment. Traditional mom-and-pop electronics shops still operate in small towns; consumers trust these local shopkeepers for advice and often buy from them if prices aren’t too far off online prices. Also, cultural factors play a role – for example, in more conservative districts, women may prefer to purchase from known female agents or shops run by acquaintances. Overall, East Coast buying behavior for devices is a bit slower-paced – purchases are infrequent but when made, they are deliberate and often influenced by community word-of-mouth or a family decision-making process.

Telco & Internet Subscriptions: The East Coast has historically been on the lower end of connectivity, but improvements are ongoing. Mobile services are the primary mode of internet access. Broadband penetration in rural areas is low – for instance, in 2020 rural broadband was only about 24% of users nationwide, and states like Kelantan had among the lowest fixed broadband rates (Kelantan’s fixed broadband was ~2.1% of premises in 2019, the lowest in the country). Most people rely on 4G mobile networks. Celcom (now CelcomDigi) has traditionally been the top choice in the East Coast due to its wider coverage in remote areas. Maxis and Digi also serve the region, but their coverage used to concentrate around towns and highways. The government’s JENDELA program has significantly boosted 4G coverage: by late 2022 Malaysia reached 96.9% 4G coverage of populated areas , and Kelantan specifically achieved about 95.2% 4G coverage by 2022 through dozens of new towers (hitting the national target) – a “positive development” with Kelantan nearing 96% coverage . This means even rural villages now have some signal, though quality varies. Still, the urban-rural gap in subscriptions is evident: East Coast regions have the lowest uptake of postpaid plans and home broadband in Malaysia . Many are on prepaid mobile plans – topping up data as needed – which suits tighter budgets. In fact, a study noted broadband penetration (including mobile) in rural Malaysia is only ~50% vs 85% in urban areas, illustrating the divide. The East Coast’s small cities (Kota Bharu, Kuala Terengganu, Kuantan) now have Unifi fiber available, and uptake is growing among businesses and higher-income families there. But for the majority, internet = mobile phone. The proliferation of Pusat Internet Komuniti (community internet centers) by MCMC in villages has helped some get online, but now with expanded 4G, more households use personal devices. In summary, telco services are improving, but affordability and coverage shape East Coast subscription habits – prepaid 4G is king, and any future 5G adoption will depend on keeping costs low for this segment.

Values in Purchasing Decisions: East Coast consumers place great emphasis on essentials and moral value. With lower purchasing power, they prioritize price, necessity, and Halal considerations (for applicable products/services). The concept of wastefulness is frowned upon culturally; frugality is seen as a virtue in many East Coast communities. Consumer ethnocentrism is strongest here – those in the East Coast show the highest tendency to prefer local products over foreign. This might manifest as loyalty to local food brands, preference for Malaysian-made cars (Perodua/Proton) or modestly-priced national telco plans. When it comes to electronics (mostly foreign-made), this ethnocentrism translates into a cautious approach to new foreign brands until they’ve proven reliable. Key factors driving decisions include: (1) Affordability – is it within the budget and genuinely needed; (2) Reliability – will the product last long, as it may not be replaced soon; and (3) Cultural/religious fit – e.g., preference for products that align with conservative values (such as TV content subscriptions that are family-friendly, or shunning services perceived as Western vices). Surveys also indicate that sustainability and health are gaining some traction – East Coast folks consider sustainable living “important” though fewer label it “extremely important”, likely balancing environmental ideals with economic realities. In purchasing, many also value the relationship with the seller; trust is a big factor, so a known seller might win over a cheaper unknown online source. This ties into the social value placed on community – supporting someone you know or a local store is often a consideration.

Demographics: The East Coast states have roughly 4.8 million residents combined. The population is predominantly ethnic Malay (with pockets of Chinese and Indian communities in Kuantan, Kota Bharu, etc., and indigenous groups in Pahang). These states are more rural: for example, Kelantan’s population is scattered in villages and small towns with only ~45% urbanization. Family sizes tend to be larger; it’s not uncommon for households to have 4-5 children or for extended families to live together. The age profile skews younger in rural areas (high birth rates), but also many young adults migrate to cities (KL, Singapore) for work, leaving a significant elderly population in villages. Education levels are improving but still lag behind the west coast – this affects consumer literacy (e.g., understanding of financial products or tech specs). Economically, the East Coast is the least affluent region. Kelantan has the lowest median household income in Malaysia (~RM3,000+), and over 85% of Kelantanese households earn below RM7k . Terengganu and Pahang are slightly better but still a large majority fall under national B40/M40. These states consistently have some of the highest poverty incidence rates. Thus, a large segment of consumers here are budget-constrained. Urban centers like Kuantan (with industries like oil and gas, manufacturing) have created a small middle-class pocket in Pahang, but Kelantan and Terengganu’s economies are dominated by small businesses, agriculture, and public sector jobs, which limit income growth. In sum, the East Coast demographic profile is young, Malay, rural, and low-to-middle income, with strong community bonds – all of which deeply influence consumption habits.

Key Influences on Behavior: Economic influences are paramount – unemployment or underemployment in these states means people have learned to be resourceful and careful spenders. Government cash aid (like BR1M/Bantuan Prihatin) often immediately affects spending patterns here, as many low-income families use such aid for shopping essentials or occasionally a new appliance. Price hikes in fuel or staple goods hit East Coast consumers hard, leading them to cut back non-essentials. Cultural influences are also strong: the East Coast is known for its conservative Islamic values (Kelantan and Terengganu especially). This affects consumer behavior such as avoidance of certain entertainment (cinemas were banned in Kelantan for decades), preference for gender-segregated settings (some gyms or swimming pools), and modest fashion choices – companies have to tailor offerings (e.g., more modest clothing lines) to appeal here. Festivals and traditions (Hari Raya, Ramadan bazaars, etc.) also shape seasonal spending – e.g., huge spikes in food, apparel, and home goods occur during pre-Raya period. Technological factors have been historically limiting (poor connectivity), but with improvements, there’s a late but accelerating adoption of e-commerce, online banking, and e-hailing in these states. Many innovations are government-driven (like e-Tunai rakyat handouts encouraging e-wallet use). Social factors include the tight-knit nature of communities: people are influenced by family and neighbors more than by impersonal ads. A lot of trust is placed in community opinions. The pandemic was a major behavioral driver – it forced even skeptical consumers to try online shopping, and also highlighted inequalities (like the digital gap for students). Post-pandemic, some reverted to old habits (preferring physical markets to online grocery, for example), but others discovered new conveniences (Facebook live sellers of clothing are quite popular now in Kelantan). In summary, East Coast consumer behavior is influenced by economic necessity, deep-rooted cultural/religious norms, and a gradually improving tech infrastructure that is opening new options.

Malaysian Consumer Behaviors Shopping Fun

East Malaysians Consumer Behaviors

East Malaysia (Sabah & Sarawak)

Social Media Behavior: East Malaysians (Sabahans and Sarawakians) are highly engaged on social media, particularly as connectivity has improved in recent years. In January 2024, Malaysia had 28.68 million social media users (about 83% of the population) – a significant share of these users are in East Malaysia, which has ~20% of the country’s population. Facebook and WhatsApp are the dominant platforms here as well. However, usage patterns reflect local languages and cultures: it’s common to see Sabahan users mixing Malay and native Dusun or Murut languages on Facebook, or Sarawakians sharing content in Iban or Chinese dialects. Traditional media still holds influence – for example, Sarawak has the highest percentage of people preferring TV as a news source compared to social media. Many households, especially older generations, tune in to RTM or Astro local news in the evenings. In terms of social media sentiment, Sarawak users often report neutral feelings (similar to theSouthern region), whereas Sabah users have at times leaned more on the cautious side (Sabah was grouped with northern Peninsular and East Coast in tending towards viewing social media’s impact somewhat negatively). This could be influenced by experiences with misinformation or political issues on social platforms. That said, social media has become a lifeline for East Malaysians given geographical spread – it’s used for everything from coordinating community events in interior longhouses to marketing homestays and handicrafts to the world. Notably, during periods of poor infrastructure (like road closures or pandemic lockdowns), East Malaysians turned heavily to social networks to request help or share news, reinforcing the utility of these platforms. Offline engagement is closely tied – community gatherings are organized via WhatsApp, and Facebook community pages (e.g., Kuching Foodies, or Sabah’s tourism groups) often lead to real-life meetups or business patronage.

Buying Behavior (Electronics & Mobile): Consumers in Sabah and Sarawak have historically faced higher prices and fewer choices for electronics due to shipping costs and fewer big retailers, but this is changing. Post-pandemic, e-commerce has boomed, allowing East Malaysians to purchase gadgets from West Malaysia or abroad more easily (albeit with some delivery wait). As a result, the region’s consumers are becoming more similar to their peninsular counterparts in behavior, with extensive online research and price comparison before buying devices. Features like dual-SIM phones and long battery life are often valued, particularly for those in rural areas who travel far and experience patchy electricity or coverage. Brand loyalty is not particularly strong; availability and after-sales service matter more. For instance, if Huawei has a service center in Kota Kinabalu but another brand doesn’t, people might choose Huawei for peace of mind. East Malaysian buyers also tend to consume a lot of data (since other entertainment options can be limited) – Sarawak recorded the highest 4G data consumption in the country, ~7.1 GB per user per month, above the national average of 6.5 GB. This means there’s keen interest in devices with good performance for video streaming and social media. The frequency of upgrade is moderate; urban folks in Kota Kinabalu or Kuching upgrade smartphones somewhat regularly (every 2-3 years), but in the interior, people will keep using a basic phone until it fails. A notable factor is the role of government initiatives and dealer networks: schemes like the device rebates for students or the expansion of authorized dealer shops in small towns have an outsized influence on what people buy (e.g., if a government subsidy favors one brand/model, that becomes popular). Overall, the purchasing journey often involves seeking recommendations from friends or online communities (Sabahans might ask in a Facebook group about which smartphone handles weak signals best, for example). The trust in peer advice is high due to tighter communities.

Telco & Internet Subscriptions: East Malaysia’s telecom landscape has improved dramatically from the past “lagging” status, but it still has unique challenges. Mobile connectivity: 4G coverage in Sabah and Sarawak has expanded under JENDELA Phase 1 (2020–2022). For instance, Sabah’s 4G coverage in populated areas rose to 83.9% by Q3 2021 from 73.4% pre-JENDELA. By end of 2022, Malaysia overall hit ~97% 4G coverage , so Sabah and Sarawak are now not far behind Peninsular averages in coverage, though rural interiors may still have gaps. CelcomDigi (post-merger) is the dominant mobile operator in East Malaysia by subscriber count – Celcom had extensive rural towers and Digi had urban youth market, and together they serve a huge portion of the market. Maxis is also present and strong in cities, but its rural reach historically was a bit behind Celcom’s. A notable stat: Sabah’s mobile broadband penetration was 78.5% (per 100 inhabitants) in 2019, bringing total broadband (fixed+mobile) to 81.2%, compared to the national rate of 127%. This underscores that while almost everyone has a phone with data, many use fewer multiple subscriptions or devices than West Malaysians (lower overall penetration rate). Fixed broadband is less common due to infrastructure and geography. Sabah had only 2.7% fixed broadband penetration in 2019 – the second lowest after Kelantan, and Sarawak only slightly higher. This is slowly improving: Unifi fiber has extended to more towns and the SUBB (suburban broadband) project has connected many semi-urban areas. Still, outside cities, satellite broadband or community Wi-Fi centers are used (e.g., via the CONNECTme satellite service in remote villages). Urban East Malaysians in places like Kuching, Miri, Kota Kinabalu have connectivity experiences similar to any Malaysian city (with access to high-speed fiber up to 300Mbps or more), whereas rural villagers might share one 3G/4G hotspot for the community. Postpaid vs prepaid: Given economic factors, a lot of East Malaysians use prepaid. The Vodus survey noted postpaid subscriber rates are lowest in East Malaysia (and the East Coast) . However, the younger, working population in cities is increasingly on postpaid family plans or corporate plans. Another trend is the popularity of Digi’s affordable plans historically among Sabah’s and Sarawak’s youth and Celcom’s Xpax prepaid in rural areas – these catered well to local budgets and have strong brand legacy. The telco scene is also influenced by government – Sarawak has its own initiative for digital infrastructure (Sarawak Digital Economy Corporation) aiming to roll out more free Wi-Fi hotspots and improve coverage in the interior, which will likely increase internet adoption further.

Values in Purchasing Decisions: East Malaysian consumers share many values with those in similar income brackets elsewhere, but also have a strong sense of local identity. Supporting local businesses and products is meaningful – for example, Sarawakians take pride in local brands of pepper, rice, or Borneo handicrafts. When it comes to general consumer goods, they are practical and cost-conscious, but there’s a slight preference to “buy local” if possible as a way to support the community. On the sustainability front, East Malaysians show notable concern for nature (living amid rich biodiversity). A survey finding showed Sabah alongside the Northern region had the highest proportion of people rating sustainable living as “extremely important”. This is evident in consumer choices like opting for eco-friendly products or community-led recycling efforts gaining traction in cities like Kuching. However, economic realities mean that price can override green values at times. In decision-making, factors like reliability and maintenance are crucial – for example, a Sarawak farmer might choose a trusted-brand generator or pickup truck knowing it can be serviced locally, over a fancier import with no service center nearby. East Malaysians also value honesty and relationship in business; trust is a big factor given past experiences of being neglected by west-centric companies. Thus, brands that engage locally (through local dialect advertising or community projects) earn goodwill. Safety and security are valued for certain products – e.g., parents in Sabah are very careful about baby products quality after past incidents with unsafe items. In summary, key values include community support, environmental consciousness (where affordable), trustworthiness, and long-term reliability of products. Flashiness or status symbols are generally less of a driver except for the wealthy elite in the cities. Many decisions are family-oriented, and there is often a collective approach (e.g., a family in a longhouse might decide together on a satellite TV subscription that everyone chips in for).

Demographics: East Malaysia (Sabah and Sarawak) has about 5.9–6 million people combined. The demographic makeup is distinct from Peninsular Malaysia – it’s a mosaic of ethnic groups. Sabah’s population includes Bumiputera groups like Kadazan-Dusun, Bajau, Murut, and others (~60% combined), a substantial Malay subgroup (often categorized within Bumiputera), about 9% Chinese, and a sizeable non-citizen population (foreign workers/immigrants). Sarawak’s population is roughly 69% Bumiputera (Iban being the largest group, followed by Malay-Melanau, Bidayuh, Orang Ulu, etc.), about 24% Chinese, and small Indian and others. This diversity means consumer preferences can vary (e.g., Chinese communities have different festival shopping spikes for Lunar New Year, while Dayak communities spend around Gawai harvest festival, and Muslims during Hari Raya – making the retail calendar in East Malaysia very busy with cultural occasions). Urbanization is lower than Peninsular; about 55-60% in Sarawak and similarly in Sabah, though growing. Many live in rural or semi-rural settings, often accessible only by river or gravel roads, especially in Sarawak. The age distribution skews younger in rural East Malaysia due to higher birth rates in the past, but many young adults migrate to KL or Singapore for work, somewhat aging the home population. Incomes: generally below the national average. Sarawak’s economy (with oil & gas, timber, palm oil) gives it a higher GDP per capita, but wealth is uneven – median household income in Sarawak is around or slightly below national median, and about 74–77% of households in Sabah and Sarawak earn below RM7k monthly , which is a bit higher than the national 65.7% (indicating more lower-income prevalence). Poverty rates in interior Sabah (e.g., Pitas, which reportedly has the lowest median income in Malaysia ) are the nation’s highest. On the other hand, urban centers like Kuching or Kota Kinabalu have growing middle classes and some affluent T20 households. Family size is moderate; rural families can be quite large, while urban East Malaysians have adopted smaller family norms. Education levels lag slightly behind the national average, with challenges in rural school access, but both states produce many graduates who often seek jobs in West Malaysia. This demographic profile – diverse, semi-urban, with many lower-income households – means that consumer markets in East Malaysia are less homogenous and often require localized strategies.

Key Influences on Behavior: Geography and infrastructure heavily influence East Malaysian consumer behavior.

Economic factors: The cost of goods is higher due to shipping – this “Sabah/Sarawak tax” influences buying (people are used to paying a bit more for the same product than in KL). Thus, whenever there are government subsidies or price equalization programs (like subsidized fuel, cooking gas), it directly impacts spending power. The job market (oil in Miri/Bintulu, tourism in Kota Kinabalu, agriculture in rural areas) dictates income flow – for instance, a boom in palm oil prices puts more cash in the hands of smallholders in Sarawak, who then might buy vehicles or farm equipment.

Cultural factors: Strong community bonds mean collective decisions are common – e.g., a longhouse community might decide to get satellite internet installed and share the cost. Cultural celebrations (Kaamatan in Sabah, Gawai in Sarawak) lead to significant but localized spending spurts on food, drink, attire, and home goods. Also, East Malaysians have a culture of hospitality – spending for weddings or festivals can be large, even for poorer families, because communal reputation matters.

Technological factors: The lack of physical access in rural areas made technology (like online services, mobile banking) extremely valuable when available. Now, even an remote village might use a communal smartphone for online banking to avoid a days-long trip to town. As 4G expands, behaviors shift fast – people skip landlines and go straight to smartphones. However, patchy connectivity still limits full participation in the digital economy for some. The story of Sabahan student Veveonah, who climbed a tree for internet to take an exam went viral and underscored the digital divide, spurring government action and also community initiatives (this has made consumers very appreciative of reliable tech when they get it).

Social influences: Word-of-mouth is king in East Malaysia’s smaller communities. A lot of trust goes to community leaders – if a village chief endorses a certain brand of fertilizer or a popular radio DJ in Sabah promotes a product, people listen. Social media influencers are emerging too (Sabahan and Sarawakian influencers who speak in local dialects have big followings), and they can sway younger consumers. Environmental and social issues (like anti-palm oil sentiment or logging protests) can influence boycotts or support for certain products among more aware consumers. Lastly, political factors are an influence – government assistance programs or rural development projects can change consumption (for example, when rural electrification happens, suddenly there’s demand for TVs and fridges in that community). In conclusion, East Malaysian consumer behavior is shaped by a unique blend of logistical constraints, rich cultural traditions, improving technology access, and community-centric values, which together make their preferences sometimes distinct from Peninsular trends, even as the gap is gradually closing.

Malaysian Consumer Behaviors F&B

Malaysian Social Media Engagement

Comparative Insights Across Regions

Social Media & Engagement

Across Malaysia, social media usage is high in all regions, but urban areas (Central, Southern, Northern cities) tend to be active on a wider range of platforms and content types, whereas rural regions (East Coast, interior East Malaysia) focus on core communication tools. For example, Central and Southern region users commonly engage with Instagram, YouTube and Twitter alongside Facebook/WhatsApp, reflecting broader interests and better connectivity. In contrast, East Coast and rural East Malaysian users lean heavily on WhatsApp and Facebook for their online social needs, and are somewhat more wary of social media’s influence. Surveys confirm that Northern and East Coast residents are more likely to view social media’s impact negatively and trust traditional media more, while Central region users are more neutral/balanced in perception. Sarawak and Southern region users show the most neutral stance of all, indicating a “middle ground” approach (they use social media a lot but with measured expectations). All regions saw a spike in online engagement during the pandemic, but the return to offline activities varies: urban regions have integrated online-offline fluidly (e.g., online shopping and physical retail coexist strongly in Central), whereas in rural regions some face-to-face social activities (like night markets, community meetups) regained prominence as soon as lockdowns ended, showing offline social fabric remains very important. Still, the reliance on social media for staying connected (especially among dispersed families) is now entrenched everywhere – even in remote Kelantan or Sabah villages, people use WhatsApp to coordinate events and Facebook to maintain social ties. One clear regional difference is language and content: Central and urban users consume more English and global content, while East Coast and East Malaysia users often consume content in Bahasa Melayu and local dialects, tailoring their social media experience to local culture.

Malaysian Consumer Behaviors Phones

Malaysian Buying Behaviours

Buying Behavior (Consumer Electronics & Mobile Devices)

Consumer electronics purchasing has become more homogenized nationwide post-pandemic (thanks to e-commerce), but some regional distinctions remain.

Online vs Offline Channels: Urban regions (Central, Northern urban centers, Southern) had strong e-commerce adoption even before COVID-19, and it accelerated – consumers there are comfortable buying gadgets online after doing research, taking advantage of fast delivery in cities. Rural and East Malaysia consumers were later to e-commerce, but the pandemic forced adoption. Notably, rural consumers in places like East Coast and East Malaysia now partake in online buying significantly; Google’s research even found rural Malaysians slightly more likely to purchase phones online than urban folks, likely due to limited local options. Still, challenges like shipping delays or lack of trust in online sellers mean that in smaller towns people may stick more to local shops than a KL resident would.

Preferences & Brand Loyalty: Across regions, brand loyalty is generally low – Malaysians prioritize value and specs. However, in wealthier Central/Southern areas, there’s a niche of brand-conscious consumers (e.g., the Apple aficionados in KL/PJ who line up for new iPhones). In lower-income regions (East Coast, rural North, some East Malaysia), consumers are very price-sensitive and will happily switch to a lesser-known brand if it’s cheaper and good enough. For instance, a Central region consumer might consider an expensive flagship phone for its camera, whereas an East Coast consumer might opt for a mid-range phone that “does the job” at half the price.

Frequency of Upgrades: Central and Northern urban consumers tend to upgrade fastest (often every 1-2 years for phones) given higher disposable income and exposure to tech trends. East Coast and rural consumers hang onto devices longer, stretching the lifespan.

Purchasing Factors: All regions consider specs, price, and reviews, but their prioritization can differ. Battery life is universally valued (especially important in rural areas with patchy electricity), while having the latest features (5G, high-end cameras) is more of a Central/Southern desire. Peer influence on buying is strong everywhere but might come from different sources – e.g., an urban shopper in Selangor might be influenced by YouTube tech reviewers, whereas a rural Terengganu shopper might rely on a friend’s recommendation or what a trusted local seller advises.

Local Availability: East Malaysia consumers historically had fewer choices in-store and often paid more; this is mitigated by online shopping now, but they still face longer wait times or higher shipping costs (which can influence them to choose products that are readily available locally). In summary, while the baseline behavior (research online, seek value, and purchase through a convenient channel) is common nationwide, urban consumers upgrade more frequently and have access to more premium options, whereas rural consumers are more cautious, budget-driven, and were late adopters of the online purchase trend (though they are catching up quickly).

Malaysian Consumer Behaviors Travel

Malaysian Telco & Internet Subscription Habits

Telco & Internet Subscription Habits

Clear urban-rural and regional disparities exist in telco and internet habits.

Mobile Service Providers: Before the Celcom-Digi merger, provider popularity varied – Maxis led in Central and most Peninsular regions , while Celcom had an edge in rural areas (East Coast, East Malaysia) due to coverage. Now CelcomDigi (as a merged entity) holds the largest market share nationally, effectively dominating in many regions outside the main cities, whereas Maxis remains a strong competitor especially among urban and higher-income segments (and continues to lead in parts of the north and central cities).

Prepaid vs Postpaid: There is a stark difference in plan preferences: urban, affluent regions have more postpaid subscribers, while rural and less affluent regions skew heavily towards prepaid. For example, postpaid uptake is highest in central Klang Valley and lowest in the East Coast and East Malaysia . This correlates with income and employment – more salaried workers in KL/Selangor choose postpaid plans (often bundled with family or corporate packages), whereas in Kelantan or rural Sabah, people prefer the cost control of prepaid top-ups. Nationally, Malaysia is still majority prepaid, but in places like KL many have shifted to low-cost postpaid plans.

Broadband Access: The digital divide comes into focus here. Urban centers (Central, parts of Northern and Southern) enjoy extensive fiber broadband coverage – many households in these regions have high-speed fixed internet. Meanwhile, East Coast and East Malaysia are least likely to have home broadband ; a lot of households there rely solely on mobile broadband. For instance, an apartment in Selangor might have gigabit fiber, but a longhouse in Sarawak might have just a 4G WiFi hotspot. Government data shows household internet access nationwide at 95-96% in 2021-2022, but this includes mobile internet – the quality and speed differ by region.

Coverage and Network Quality: Central and Southern regions generally have the best coverage (4G and now growing 5G in cities). Northern region is also well-covered in populated areas. The East Coast had poorer coverage but thanks to JENDELA it’s vastly improved, e.g., Kelantan’s 4G coverage is now ~95% . East Malaysia historically lagged, but now Sabah and Sarawak’s coverage is approaching national levels , although interior areas still face challenges and sometimes depend on satellite connectivity.

Popular Packages: In urban areas, converged packages (mobile + home broadband, or postpaid plans with lots of data) are popular. In rural areas, people often choose basic prepaid with social media passes (several telcos offer cheap Facebook/WhatsApp-focused plans, which appeal in places where those are primary uses). East Malaysians and East Coast folks often share connections – e.g., a family might have one unlimited data plan and use hotspot for the household, rather than separate broadband and multiple contracts.

Telco Customer Satisfaction: Interestingly, competition has led to close satisfaction scores across regions; Digi (now part of CelcomDigi) had a slight edge in customer satisfaction nationally , reflecting their strength among price-sensitive users (likely in diverse regions). Summing up, central/southern consumers enjoy more choice and tend towards postpaid, multi-service subscriptions, whereas East Coast and East Malaysia consumers are more likely to use prepaid mobile as their internet lifeline. The gap is narrowing with nationwide network initiatives, but affordability and infrastructure still delineate these patterns.

Malaysian Consumer Behaviors Open Market

Malaysian Values & Decision Drivers

Values and Decision Drivers by Region

While all Malaysian consumers consider price, quality, and convenience, the weight given to each value can differ regionally.

Price Sensitivity: It is universally present but most pronounced in lower-income regions (East Coast, rural North, parts of East Malaysia). In those regions, affordability is often the deciding factor – a slight price increase can deter a purchase. In the Central and some urban Southern areas, consumers are willing to pay more for perceived quality or brand prestige, though they still seek value (KL shoppers love a good sale despite higher budgets).

Ethnocentrism and Local Preference: As studies indicate, Northern and East Coast consumers exhibit higher ethnocentric tendencies – they are more inclined to believe in buying local and might view foreign goods with a bit more caution. Central and Southern consumers are less so, showing more cosmopolitan tastes. This can be seen in choices like food products and maybe cars (e.g., Kelantanese more likely to stick to Proton for national pride + cost, whereas KL folks readily buy foreign makes). For electronics, local options are limited, but ethnocentrism might influence trust (some East Coast buyers might think “Japanese brand = good quality” due to older ties, or prefer Malaysian-assembled models if available).

Sustainability and Health: Younger generations across all regions are increasing focus on sustainability, but regionally, Northern states and Sabah stand out for putting high importance on sustainable living. East Coast and Southern regions do care but rank it a notch lower, prioritizing immediate economic needs first. Central region is somewhat in between; urban consumers are exposed to more eco-conscious messaging (e.g., zero-waste stores in KL), yet convenience sometimes wins out.

Family and Community Values: In East Coast and East Malaysia, collective values strongly influence purchases – decisions often consider what benefits the family or community. For example, in Sarawak a family might decide to buy a larger vehicle because it can serve during Gawai trips for relatives, even if individually one might want a smaller car. In central urban areas, decisions tend to be more individualistic (each family member makes their own purchasing choices).

Risk Attitude: Many East Coast and rural consumers are risk-averse shoppers – they stick to known products and sellers, reflecting a value of safety and trust. Central region consumers, especially youths, are more experimental with new products or services (like trying a new app or international brand readily).

Economic Security: A key value for Southern and East Coast (and B40 groups everywhere) is financial security, so products that emphasize savings (fuel-efficient bikes, energy-saving appliances) appeal more in those regions.

Social Status: This plays differently – showing off high-end goods is generally more a thing in affluent circles of Central (and maybe JB in the South) and to an extent in Sarawak’s cities. In more modest regions (East Coast), overt status flaunting is less culturally accepted; people might buy luxury but do it low-key. To encapsulate, Central/Southern consumers value convenience, variety, and are open-minded, Northern and East value tradition, reliability and local pride, East Coast emphasizes frugality, necessity and community appropriateness, and East Malaysia values community support, trust, and an increasing concern for sustainability, all layered on top of universal considerations like price and quality.

Malaysian Consumer Behaviors Wet Market

Malaysian Demographics

Demographic Differences and Their Effects

Malaysia’s regional demographics drive many of the above differences.

Urban vs Rural Population: The Central region (KL/Selangor) is overwhelmingly urban (~90+% urban), Southern and Northern regions have a mix, and East Coast & East Malaysia have significant rural populations. Urban regions have smaller households, more singles or nuclear families, and a faster pace of life – this translates to higher demand for convenience products, fast food, gadgets for personal use, etc. Rural regions have larger families and more multi-generational living, which means spending is often prioritized for the household (e.g., a tractor or a bigger TV for all vs individual gadgets).

Income Levels (T20, M40, B40): Regions differ sharply here. The Central region contains a disproportionate share of T20 high-income households (especially parts of KL/PJ and Putrajaya). These consumers can afford premium goods and drive luxury markets (international school enrollments, imported organic food, high-end electronics). On the other end, states like Kelantan, Kedah, Sabah have mostly B40/M40; here basic necessities and affordable options dominate the market. To illustrate, in Kelantan 85% of households earn below RM7k , so the addressable market for high-end products is tiny, whereas in KL a much smaller percentage is below RM7k (KL’s B40 threshold is much higher) . Middle-income (M40) concentration is notable in states like Johor, Melaka, Penang – these consumers are the bulk of mid-range retail customers and are aspirational, seeking quality upgrades when possible.

Age Structure: Central and Southern (and Penang) attract young working adults, so they have a sizable youth consumer segment (who influence trends, technology adoption, nightlife economy). East Coast tends to see youth out-migration, leaving slightly older populations on average – an older demographic tends to be more set in spending patterns and less impulsive. East Malaysia has many young people but also many have moved to West Malaysia; those who remain might have strong family ties keeping them local.

Ethnicity: The ethnic makeup affects consumer behavior in subtle ways – e.g., Chinese Malaysians (largely in Central, Northern urban and Southern states) might spend more during Chinese New Year season and have cultural preferences (such as for certain foods or healthcare products like herbs). The largely Malay East Coast might see huge swings in spending around Hari Raya and nearly none during CNY, affecting seasonal marketing. Sabah and Sarawak’s multi-ethnic mix means multiple festive seasons (Hari Raya, Christmas for the Christian indigenous groups, Chinese New Year, Gawai/Kaamatan harvest festivals) all have localized impact on spending – retailers there have to adapt marketing for each.

Education: Generally higher in urban/West coast states – this correlates with more awareness of global issues, technology use, and financial literacy, which in turn shape more sophisticated consumer behavior (like comparing unit prices, using financial apps, etc.). Lower education levels in some rural areas might make consumers there more susceptible to misinformation (e.g., miracle health products find more market in interiors) but also more cautious with things they don’t fully understand (some may avoid online banking due to distrust).

Population Density: Central’s density creates mall culture and heavy competition for consumer attention; East Malaysia’s sparse population means word-of-mouth and community reputation carry more weight than flashy billboards that might be common in KL. In conclusion, regions with younger, richer, more urban demographics (Central, parts of Southern/Northern) tend to be trendsetters and big spenders, while regions with older, poorer or rural demographics (East Coast, interior East Malaysia, parts of Northern) are conservative spenders focused on necessities – bridging these differences is key for any national consumer business strategy.

Malaysian Consumer Behaviors Dining

Key Influences on Malaysian’ Behavior Shifts

Key Influences on Behavior Shifts

Post-pandemic, several macro influences are reshaping consumer behavior across all regions, albeit with regional nuances.

Economic Factors: The COVID-19 pandemic caused income disruptions which hit lower-income regions hardest (e.g., tourist-dependent East Coast areas, East Malaysian rural communities) – this made consumers nationwide more budget-conscious, but especially so in B40-heavy regions. Now, inflation and economic recovery pace differ: urban centers see faster recovery and even revenge spending in some sectors, whereas poorer regions are still struggling with high prices of basics. Economic stimulus (moratoriums, cash aids) had a bigger influence on regions like the East Coast (where such aids formed a larger portion of income) . Going forward, any economic downturn or upturn will have an uneven effect – central/T20 consumers might shift between premium and mid-range brands, while East Coast/B40 might shift between some consumption and none (cutting out luxuries entirely).

Cultural Factors: Pandemic lockdowns curtailed traditional gatherings (no Ramadan bazaars, no Gawai celebrations), which suppressed cultural spending temporarily. As normalcy returns, there’s a cultural resurgence in spending for celebrations – arguably stronger in culturally traditional regions (East Coast Malay festivities, Sabah/Sarawak harvest festivals) where people are eager to make up for lost time with big celebrations, compared to more cosmopolitan central areas that found alternative outlets during lockdowns. Culturally, regions with strong communal values (rural villages, etc.) saw community support networks help each other during the pandemic (barter, food sharing), which might reinforce collective decision-making in the future (“we got through hardship together, we continue to share resources”). In urban areas, the pandemic reinforced individual convenience culture (e.g., reliance on delivery apps).

Technological Factors: The pandemic dramatically increased digital adoption countrywide – a permanent shift. But its impact differs by region. Central and Northern urban consumers, who were already online, simply expanded their digital repertoire (more e-commerce categories, remote work tools). Rural and East Malaysia consumers made a bigger leap – many got their first taste of online shopping, e-learning, etc., creating new long-term behaviors (for instance, farmers in Sabah may continue using WhatsApp to sell produce even after markets reopened, having discovered a new channel). The government’s push for digital inclusion (e.g., JENDELA) is mitigating regional tech disparities; as 4G/5G reaches more areas, expect rural consumption patterns to gradually resemble urban ones (though affordability will still moderate usage).

Social Factors: Influencer culture and social media trends now penetrate all regions but with different faces – local influencers (like Kelantanese comedians on YouTube or Sabahan travel vloggers) became important voices during the pandemic and remain influential. Social factors like health awareness rose everywhere – people value health and hygiene more after COVID-19. This is visible in increased demand for health products across regions, but urban areas translate it to things like gym subscriptions and organic food, whereas rural areas might focus on traditional health supplements or simply keeping sick relatives at home if possible. Another social factor: migration shifts. Some urbanites returned to hometowns (reverse migration) during the pandemic and stayed, which could bring some urban consumer habits into rural regions (e.g., a family that moved from KL back to Terengganu might continue ordering certain products online that locals previously didn’t).

Policy and Infrastructure: Government policies (like setting up more rural internet centers, or sales tax differences between East/West Malaysia removal proposals) also influence regional consumer behavior by leveling the field or providing new opportunities. For instance, the elimination of the sales tax for goods shipped to East Malaysia (if implemented) would reduce price gaps and potentially increase East Malaysian consumption of West Malaysian sold products. In summary, the whole country’s consumer behavior is shifting to a more digital, cautious, and value-seeking mode post-pandemic, but regions vary in their recovery and adoption curve: urban/central consumers are bouncing back with hybrid digital-physical habits and an eye on experiences, whereas rural/outskirt consumers are newly empowered by technology but remain the most vulnerable to economic swings and thus more conservative in their spending changes. Each region’s unique economic recovery, cultural rebound, technological access, and social dynamics continue to drive subtle but important differences in how Malaysian consumers across the nation make their choices in this post-pandemic era.

AI Productivity Citations

Links to all the resources.

Additional Resources

  1. Department of Statistics Malaysia (DOSM) [https://www.dosm.gov.my]
  2. Malaysian Communications and Multimedia Commission (MCMC) [https://www.mcmc.gov.my]
  3. Bank Negara Malaysia (BNM) [https://www.bnm.gov.my]
  4. Ministry of Communications and Digital [https://www.mdec.my]
  5. Malaysia Digital Economy Corporation (MDEC) [https://mdec.my]
  6. Malaysian Investment Development Authority (MIDA) [https://www.mida.gov.my]
  7. Malaysia External Trade Development Corporation (MATRADE) [https://www.matrade.gov.my]
  8. Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) [https://www.kpdnhep.gov.my]
  9. Ministry of Economic Affairs (MOEA) [https://www.moea.gov.my]
  10. Ministry of International Trade and Industry (MITI) [https://www.miti.gov.my]
  11. Frost & Sullivan Malaysia Consumer Electronics Report [https://www.frost.com]
  12. IDC Malaysia Consumer Market Report [https://www.idc.com]
  13. Euromonitor International Malaysia [https://www.euromonitor.com]
  14. Statista Malaysia [https://www.statista.com/topics/2451/malaysia]
  15. Nielsen Malaysia [https://www.nielsen.com/my/en]
  16. Journal of Consumer Behaviour [https://onlinelibrary.wiley.com/journal/14791838]
  17. Malaysian Journal of Consumer Behaviour [http://www.ukm.my/mjcb]
  18. International Journal of Business and Society [https://www.ijbs.net]
  19. ResearchGate [https://www.researchgate.net]
  20. Socialbakers Malaysia Insights [https://www.socialbakers.com]
  21. Hootsuite Resources [https://www.hootsuite.com/resources]
  22. Sprout Social Insights [https://sproutsocial.com/insights]
  23. The Star Malaysia [https://www.thestar.com.my]
  24. New Straits Times [https://www.nst.com.my]
  25. Malaysiakini [https://www.malaysiakini.com]
  26. Free Malaysia Today [https://www.freemalaysiatoday.com]
  27. Bernama [https://www.bernama.com]
  28. The Edge Markets [https://www.theedgemarkets.com]
Maverick Foo

Maverick Foo

Lead Consultant, AI-Enabler, Sales & Marketing Strategist

Partnering with L&D & Training Professionals to Infuse AI into their People Development Initiatives 🏅Award-Winning Marketing Strategy Consultant & Trainer 🎙️2X TEDx Keynote Speaker ☕️ Cafe Hopper 🐕 Stray Lover 🐈

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