How to take the guesswork out of Ramadan marketing in Malaysia

For brands wishing to connect with Malaysian consumers in a celebratory, indulgent mode, Eid, or Hari Raya Aidilfitri is an unmissable opportunity. One of the world’s largest religious observances, the holy month of Ramadan culminates in Eid — a time for bonding with family and friends, and a great gifting occasion. In Malaysia, the celebrations encompass Muslims and non-Muslims alike.

A report from Criteo cited a near 50% increase in retail sales across Southeast Asia in 2023 over the first two weeks of Ramadan. Within the region, Malaysia saw the highest average increase in sales during Ramadan at 40%. A Malaysia-focused study by GrabAds from earlier this year further added that 84% of respondents expressed plans to increase spend on food and beverage, fashion and apparel, and personal healthcare.

Given the enormous interest in reconnecting with culture and cuisine, Malaysia invites global attention during Ramadan. Increasingly, the focus is on TikTok, a huge aggregator of Malaysian consumers — 83% say that they spend most of their time on social media during Ramadan with TikTok being particularly popular. One in two Malaysian users of the platform say Ramadan is their favourite time of the year.

TikTok has established itself as the home for a wide range of entertaining content that is authentic and heartfelt. Social media is a source for inspiration, tips, and gift ideas for 94% of consumers in Malaysia. On TikTok alone this year, users created 5.3 million videos on recipes, religious content, lifestyle vlogs, education, shopping, and beauty and fashion, scoring over 1.9 billion views. TikTok is thus the ideal venue for content about the festival — whether organic or branded.

For brands, the challenge remains standing out amid the clutter. Picking the optimal platform or media vehicle for greatest ROI has been an ongoing challenge. TikTok’s suite of tools help brands get more than just a fighting chance. It is the number one product discovery platform and 70% of Malaysian users can relate to #TikTokMadeMeBuyIt. During Ramadan specifically, 54% of TikTok users say they bought a festival related brand or product after seeing it on the platform. The purchases could take place anywhere — with ecommerce marketplaces (89%), and instore retail (78%) dominating. Additionally, users on TikTok are 3.5x more likely to make purchases from a brand’s website and 1.4x more likely to shop on entertainment platforms and apps.

TikTok has been delivering demonstrable results for brand owners and marketers. For instance, a 1.5x increase in awareness within the first two weeks of campaign launch; 2.4x top of mind recall when the platform is activated over 90% of the overall campaign period; and purchase intent of 2.2x per 1% of campaign reach, for campaigns with highest share of wallet on TikTok.

Making the most of Ramadan

The brands that perform best embrace a full funnel strategy involving a judicious mix of long-term branding at the top of the funnel which builds equity and affinity, followed by performance focused advertising that is more tactical and sale-oriented.

Speaking about the Ramadan opportunity, Delilah Chan, head of global business solutions, Singapore and Malaysia, TikTok said, “E-commerce in Malaysia is an increasingly pivotal catalyst for the economy, creating new opportunities for sellers of all shapes and sizes, and also giving new and exciting ways for buyers to shop and be entertained at the same time. We are truly excited to be partnering brands to deliver the joy and resonance that befits such an important cultural moment. For the upcoming Ramadan, we want to inspire and empower businesses to harness the power of TikTok as a discovery engine that also delivers business impact. Creativity and entertainment value are great levellers, enabling businesses of all sizes to be discovered. 70% of Malaysian TikTok users bought something after discovering it on TikTok. This helps brands engage with a captive, opt-in audience that lets them not just reach at scale, convert at scale but also endear the brand in the hearts and minds of customers. We believe this is how sustainable growth is built."

Ramadan is a particularly good time to embark on this growth trajectory as consumers navigate key festive milestones.

• Pre-Ramadan:
  Consumer trends: The weeks leading up to Ramadan are full of anticipation with nearly 70% of consumers looking to embrace traditions such as special meals and family gatherings.
  
  The marketing blueprint: This is a critical time for marketers since 67% of consumers are planning for Ramadan, and have allocated a dedicated budget, and 44% are searching for inspiration and tips. The time is ripe for building awareness through relevant Ramadan themed teaser campaigns and sharing inspiring ideas. Starting early is key since 83% of TikTok users begin their preparation a week to a month ahead of time. Besides, 93% of TikTok users say they like seeing branded ads on TikTok for Ramadan.

• Ramadan:
  Consumer trends: The month of Ramadan is a time to break bad habits and make positive changes for 70% of users on TikTok. For 68%, it is a period which brings personal growth and self-improvement into focus.
  
  The marketing blueprint: While a time for spiritual reflection and growth, many consumers begin to prepare for their Hari Raya shopping in earnest through Ramdan. Brands can capture high intent shoppers via product listings as they search in the TikTok Shop. Short videos can drive consideration and in-ad direct purchases via the TikTok Feed and Search. Instant livestreams are another avenue to drive consumer interest and rapidly close the purchase cycle.

• Hari Raya:
  Consumer trends: The celebrations on Hari Raya see most users oriented on cooking special dishes (69%), dressing up in new clothes (57%), and gathering with family and friends (67%). Besides recipes, 59% of TikTok users seek out shopping content.
  
  The marketing blueprint: At a time of peak clutter, marketers who have adopted the full funnel approach gain the most, having spent the intervening months forging connections between consumers and their brand. The days leading up to Hari Raya are a perfect opportunity to convert brand love and desire to action. The top funnel audiences should be engaged and retargeted.

• Post Raya:
  Consumer trends: The celebrations do not end with Hari Raya since 51% of users extend the holiday by up to three weeks. Travel is a significant draw with 36% traveling domestically or internationally and 50% visiting family and friends. The lingering effects of Hari Raya make one in three continue to indulge in shopping.
  
  The marketing blueprint: The peg of the marketing content ought to be in the reconnect and reflect space, helping consumers move back to their daily lives, with a few of them having embraced a fresh start. The offering should focus on products and services that encourage continuity and self-discovery.

Full funnel strategies can serve Malaysian brands extremely well.

Case study: Skinmade

After tasting success with its Ramadan campaign, leading Malaysian skincare brand Skinmade ran a full funnel campaign during 6.6 TikTok Shop Birthday for further testing. Using a combination of TopView and R&F Top Feed with Shop Ads, the brand experienced an uplift in purchase with greater efficiency, along with long-term brand awareness building. It also successfully expanded its audience base for future Shop Ads retargeting opportunities. Aaron Tan, co-founder, Skinmade said, "We are thrilled and grateful to be partners with experts from TikTok, learning about the impact of branding campaigns from TikTok's funnel and 'shoppertainment' solutions. By adopting TikTok's full-funnel solutions, we achieved positive impacts from our buyers as well as for our brand. We are glad that we leveraged TikTok's guidance, market insights, and digital solutions to better reach our customers and their needs."

Case study: Sawanah Koko

Sawanah Koko a local F&B brand drove engagement, interest, and consideration by integrating R&F Top Feed and always-on Shop Ads. The full funnel adoption saw significant lifts in conversion rate for Shop purchases with a more efficient CPA. Sawanah Koko could also enhance bidding efficiency and expand its audience base with heightened brand consideration, allowing it to achieve sustainable CPM and maintain a healthy audience pool for future retargeting. Branding campaigns help in improving consideration which ultimately drives conversion and sales. It provides an overall halo effect and positively influences the lower funnel.

To summarise, Malaysian brands can connect meaningfully with consumers during Ramadan if they:

• Start early: Consumers begin their preparations in advance of significant festival dates, and brands would do well to follow suit.
   
• Have a full funnel strategy in place: The mix of branding and performance driven campaigns, with a focus on high quality and high quantity advertising yields the best results.
   
• Engage throughout the festive period: Keep key festive milestones in mind and adapt the branding and marketing strategies accordingly.

To know more about how your brand can win the battle for consumer attention on TikTok this Ramadan, please download the exclusive Ramadan playbook and discover how to captivate your audience, drive consideration, and boost sales.

Sources: TikTok commissioned study conducted by Toluna on behaviours during Ramadan among TikTok users and non-users in Malaysia, 2024; TikTok data on Video Views in Malaysia, Ramadan 2024; TikTok Marketing Science, CrossMedia Meta-analysis, APAC, 2024, conducted by Kantar (n=53)