Visa has unveiled the latest findings of its Consumer Payment Attitudes (CPA) study, sharing insights about the payment behaviours of Malaysian consumers. The study highlighted that consumers have seen a rise in more merchants accepting digital payments, fuelling the cashless wave momentum in the country. The top categories where consumers indicate that digital payments acceptance has grown include food and dining (84%), retail shopping (79%) and supermarkets (76%). 

Findings from the study also showed that card payments in Malaysia have close to universal usage at 91 per cent. The most preferred payment method in Malaysia is contactless payments (20%), followed by QR payments (12%) and online payment using credit/debit cards (10%).  

Ng Kong Boon, Visa Country Manager for Malaysia said, “This increase in digital payments acceptance is a reflection of how well Malaysia has evolved in terms of the payment landscape. More merchants and consumers see the benefits of digital payments as a convenient and secure way to pay. In fact, contactless payments have really outperformed in the country compared to a few years ago. Today, more than nine in 10 Visa transactions are contactless payments, compared to 2019 where it was slightly over 50 per cent. Visa looks forward to continuing working with key stakeholders in the payment ecosystem to drive the adoption of digital payments, leading to a more digitalised Malaysia.”

The CPA study also found that seven in 10 Malaysian consumers have attempted to adopt a cashless lifestyle. This shift was driven by consumers from the Gen Z and Gen Y segments, where nearly four in five respondents have successfully gone cashless. 

Consumers’ cash-carrying habits have also changed, with close to 50 per cent of respondents carrying less physical cash in their wallets. They cited the following reasons for carrying less cash: using more contactless payment methods (61%), more places are adopting cashless payments (54%), and feeling that carrying cash is unsafe as it can get lost or be stolen (42%). 

This cashless wave is set to gain further momentum as a majority of Malaysians have adopted cashless transactions. More than three quarter of Malaysian consumers had attempted to go cashless, with Gen Z and Gen Y continuing to lead at 85 per cent and 78 per cent respectively. 

Malaysian preferences for contactless card payments also continue to grow, driven by a universal awareness of contactless card payments. More than 90 per cent of consumers are aware of contactless card payments, while over 60 per cent of them are already actively using it as a payment method. 

Consumers are displaying positive sentiments on Malaysia’s shift into a cashless society than before. More than 40 per cent of Malaysian consumers shared that they believe Malaysia will transition into a cashless society by the year 2030, if not sooner. 

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