Movon Sdn Bhd, a prominent player in Malaysia’s rental market, is gearing up for a substantial expansion over the next five years. The company has successfully secured RM20 million through crowdfunding, a testament to widespread support for its commercial expansion endeavors.
Movon’s ambitious five-year business plan spanning from 2023 to 2028 involves the establishment of up to 100 island stores and galleries exclusively dedicated to baby products, strategically located in malls across Malaysia.
Mak Wai Hoong, Chief Executive Officer of Movon, emphasized that the RM20 million crowdfunding achievement signifies the market’s confidence in the company’s success and validates its viability. “Investors recognize the market potential, our team’s experience, and belief in our innovative concept,” Hoong stated in a press release.
The funds raised through crowdfunding will be allocated towards marketing costs, outlet expansion, the launch of new baby products, and bolstering the growth of the Movon brand within Malaysia. “We already operate three outlets, including locations in Kota Kinabalu, Sabah, and Pavilion Bukit Jalil, Melaka, with positive customer feedback,” added Hoong.
Highlighting the significance of crowdfunding, Hoong outlined its dual purpose of providing early access to profits for investors and facilitating capital growth for initial backers. Furthermore, he revealed that the crowdfunding campaign aims to expedite Movon’s listing process as the company plans to go public in 2026.
Established in 2021, Movon initially focused on the baby product rental segment, specializing in two categories: car seats and baby strollers, each offering three models with various color options. The rental package is attractively priced at RM65 per month for a five-year term, providing customers with one car seat and one baby stroller, valued at RM1,800 and RM2,000, respectively.
In addition to the rental segment, Movon, operating under the Movin brand, has expanded its product offerings to include travel packs, baby wipes, and cleaning services for infant equipment. The company plans to further diversify its product range by entering convenience stores and baby stores in the coming year.
Mak Wai Hoong, reflecting on Movon’s evolution, stated that the decision to launch the Movon brand stemmed from the positive reception of its product rental program. “Our observations revealed a widespread acceptance of the rental concept in Malaysia, especially post-pandemic. This led us to launch our proprietary brand, Movon, focusing on the rental of baby strollers and car safety seats,” Hoong explained.
The company has witnessed remarkable success since 2022, with sales of the rental scheme skyrocketing. Movon’s overall performance has surged 62 times compared to two years ago, with profits escalating from RM387,000 in 2021 to a notable RM3.6 million this year.
Mak Wai Hoong is optimistic about Movon’s future, anticipating growth in the rental scheme for car seats in the coming year. He envisions Movon expanding its profit landscape by venturing into the fast-moving consumer goods (FMCG) business, capitalizing on high repurchase rates and increased brand visibility.
As the baby goods market experiences rapid expansion, Movon aims to spearhead this dynamic sector. “We believe the rental business model will usher in a new trend in the market. In addition to making our mark and leading the market, we aim to inspire more SMEs to enter the rental business,” concluded Hoong.
