How social media reshapes Malaysian Gen Z's shopping cart

Watch any young Malaysian shopper today, and you'll witness a seamless dance between physical and digital commerce: scanning products in stores while cross-referencing prices on multiple platforms, seeking real-time validation on social media, and making purchase decisions influenced by an ever-present stream of digital content.

This scene, increasingly common across Malaysia, exemplified how Gen Z's shopping habits were inextricably linked with social media platforms.

It has created a new paradigm in consumer behaviour that merchants and marketers must understand to remain relevant.

According to Meltwater and We Are Social's Global Digital Report 2024, Malaysia's digital landscape had reached unprecedented penetration levels, with 97.4% of the population now connected to the internet.

The country's 33.59 million internet users spent an average of 8 hours and 17 minutes online daily – a 2.5% increase from the previous year – with a significant portion dedicated to social commerce and digital discovery.

To further highlight Malaysia's remarkable position in the regional digital ecosystem, while the country's social media penetration rate of 91.7% ranks among Southeast Asia's highest, it was how these platforms were used that set Malaysian consumers apart.

Users spent 2 hours and 48 minutes daily on social platforms, time that increasingly blurred the lines between entertainment, social connection and commerce.

This wasn't merely an evolution of traditional e-commerce; it was a complete reimagining of how shopping integrated into daily digital life.

When social media becomes the mall

The marriage between social media and commerce had transformed Malaysia's digital marketplace. With 28.68 million active social media users – representing 83.1% of the population – the country saw a remarkable 20% surge in social media adoption over the past year.

This growth wasn't just about numbers; it represented a fundamental shift in how young Malaysians approach buying decisions, turning every scroll into a potential shopping moment.

Perhaps no platform better exemplifies the fusion of entertainment and commerce than TikTok, which had turned into a powerhouse in influencing Gen Z's purchasing decisions.

The platform, according to the Global Digital Report, commanded an impressive 38 hours and 49 minutes of monthly user engagement in Malaysia, significantly outpacing other social platforms.

This dominance wasn't an isolated phenomenon – across Southeast Asia, TikTok had become the de facto discovery platform for young consumers, with its short-form video format proving particularly effective at driving purchase intent.

Beyond impulse: The rise of the social-savvy shopper

Make no mistake – this wasn't merely an impulse-driven youth consumption. Today's Malaysian Gen Z consumers exhibited a sophisticated approach to digital shopping, with 62.9% conducting thorough brand research before making purchases – a 5% increase from the previous year.

This generation combined entertainment with education, using social platforms for discovery and detailed product research, price comparisons and peer reviews.

The data revealed a compelling story: while entertainment applications account for 39.8% of smartphone usage time, Malaysian users had increasingly turn to these platforms for practical purposes.

For context, based on the report's January 2024 data, a significant 61.9% of users have made online purchases in the past week, with 27.2% specifically ordering groceries online—demonstrating how social commerce had evolved from trendy accessories to essential items.

This transformation was powered by near-universal mobile adoption, with 98.5% of internet users between 16 and 64 owning a mobile device.

The significance of this mobile-first approach became apparent when compared to regional neighbours – while Singapore showed higher per-capita digital spending, Malaysia was leading in the mobile commerce adoption rates, which suggested a leapfrogging effect where consumers have skipped traditional e-commerce in favour of social and mobile-first shopping experiences.

In other words, the traditional marketing funnel had collapsed. Today, 40.1% of Malaysian internet users had discovered new brands through social media ads, while 37.1% rely on search engines.

A growing emphasis on authenticity complemented this digital discovery process – young consumers were 43% more likely to trust peer reviews and user-generated content than traditional advertising formats.

The line between browsing and buying became increasingly indistinct, with each social media session potentially leading to a purchase.

Is this the new reality?

The implications for businesses were unavoidable: success in reaching Gen Z consumers required more than just a social media presence.

The future would belong to brands that understand that there was no meaningful distinction between social media and shopping for Gen Z – they were simply two sides of the same digital coin.

The transformation of Malaysian Gen Z's shopping habits through social media represented more than just a shift in purchasing platforms – it was a fundamental reimagining of what commerce means in the digital age.

The integrated approach to social media and shopping will reshape retail in Malaysia, across the region, and beyond. For businesses, the question was no longer about adapting to a new channel – it was about understanding that for Gen Z, the very concept of a "channel" was obsolete.

In their world, every interaction was potentially commercial, every moment of entertainment could lead to a purchase, and every purchase decision was inherently social. Welcome to the future of retail, where the lines between scrolling and shopping had permanently blurred.