IOUpay awarded fastest growing Buy Now Pay Later platform – Malaysia 2021
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IOUpay is having a strong start to the December quarter with its newly launched flagship BNPL platform myIOU driving success.
Fintech provider IOUpay (ASX:IOU) is accelerating its BNPL transaction volumes along with consumer and merchant sign-ups, as the economy in its target market of Malaysia opens up from COVID-19 lockdowns.
Testament to the company’s impressive early performance of its BNPL business, the United Kingdom based Global Business Outlook magazine has just announced IOUpay as a winner in the Annual GBO Awards for 2021. IOUpay has been awarded Fastest Growing Buy Now Pay Later Platform – Malaysia 2021.
IOUpay has provided a promising first half of the December quarter update which has expanded upon its Q1FY21 solid performance, with the June launch of its flagship BNPL platform myIOU continuing to drive growth.
Total BNPL volume of ~$3.19m has already been transacted during the quarter, delivering ~$306k in net transaction revenues.
Consumer and merchant sign-ups, approval and onboarding are all showing double digit growth since Q1FY22. Since September 30 there’s been a 13% increase in new merchants onboarded, taking the total number to 2,613. Merchants system activated and listed on myIOU are up 25% to 1,182.
Reflecting growing consumer engagement, downloads of myIOU are up 67% to 28,370 while consumer activated accounts have increased 71% to 8,201.
An agreement with Razer Merchant Services (RMS) announced earlier this year enabled RMS to refer and onboard its network of more than 50,000 merchants to utilise IOU’s BNPL payment services.
Integration testing between RMS and IOUpay systems, along with training of RMS internal and sales staff on the myIOU platform by the IOUpay Merchant Services team, has now been completed after delays due to lockdowns in Malaysia.
A pilot group of merchants is preparing to go live in the next three weeks followed by many more RMS merchants selected by IOU.
As the local Malaysian economy opens up from COVID-19 lockdowns, merchant acquisition is increasing with IOUpay business development personnel able to engage with prospective merchants through in-person marketing and account management calls.
The company now has dedicated sales staff operating in regional Malaysia under its regional commercial development plan. During the first half of the December quarter, more than 100 merchants operating over 300 outlets around Malaysia have been added to the myIOU platform.
New merchants have been added to key industry verticals since September 30, particularly electrical and electronics. There have also been several notable Malaysian businesses among new merchant relationships in regional areas (outside Kuala Lumpur and Selangor), including Wah Lee Chain Store Sdn Bhd, Darson Electronics Sdn Bhd, Star Electronics Sales and Services Sdn Bhd, and Surai Jerai Electrical Sdn Bhd.
With new merchants added across industry verticals and physical store locations, in turn consumer engagement with myIOU has shown a significant growth trend over recent weeks.
Growth in merchant acquisition and consumer engagement is correlating strongly with the Malaysian Government’s easing of COVID-19 restrictions, the company’s ongoing digital marketing strategy and various promotional campaigns.
During October and early November, nearly all states, territories and major economic centres in Malaysia moved into Phase 4 of the government’s National Recovery Plan.
Phase 4 provides for the re-opening of all economic sectors, interstate travel and no gathering limits.
In October, all interstate and international travel restrictions for fully vaccinated residents were lifted as the required vaccination threshold of 90% of the adult population had been reached.
With economic re-opening and interstate travel permissions, IOUpay has a dedicated regional commercial officer to develop the areas outside of the Klang Valley central economic hub encompassed by Kuala Lumpur and Selangor.
Business development operatives have been employed and calling programs implemented with immediate success evidenced by the numerous merchant relationships established, particularly in the electronic goods sector.
Award-winning Malaysian singer-songwriter Yuna has also been helping grow IOUpay’s brand reputation as the Face of myIOU. With more than one million followers on social media, Yuna has previously worked with major brands including Malaysian Airlines.
This article was developed in collaboration with IOUpay, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.