Total gross merchandise value (GMV) of Southeast Asia’s 8 leading ecommerce platforms rose to $114.6 billion in 2023, up 15 percent from 2022, according to Momentum Works “Ecommerce in Southeast Asia 2024” report released on Monday.
According to the report, Vietnam and Thailand are the fastest-growing ecommerce markets, with GMV increases of 52.9 percent and 34.1 percent year on year respectively.
Vietnam also overtook the Philippines as the 3rd largest ecommerce market in the region.
Meanwhile, Indonesia remains the largest ecommerce market, contributing 46.9 percent to the region’s GMV. Its growth rate of 3.7 percent is the most modest in the region.
The report also showed Shopee achieved $55.1 billion GMV in 2023, retaining its 48 percent market share.
Lazada and Tokopedia clocked $18.8 billion and $16.3 billion respectively.
TikTok Shop nearly quadrupled its annual GMV to $16.3 billion.
After taking over Tokopedia, TikTok Shop has become the 2nd largest ecommerce platform in Southeast Asia.
TikTok Shop also quadrupled its employee count since December 2021 to over 8,000 employees, while Shopee, Lazada, and Tokopedia all reduced employee numbers between 2022 and 2024.
The report also identified four key trends in Southeast Asia’s ecommerce industry, including live commerce which is leading live selling key opinion leaders (KOLs) in Vietnam, Thailand and Indonesia have achieved multi-million dollar sales in single live sessions.
Meanwhile, it noted the region’s platforms start to adopt generative AI applications, notably in user experience and operational efficiency.
It also found that facing the limitation of a small market and brands’ reduced market share on platforms, many enablers started expanding their business models.
It also highlighted that third party players are facing the pressure of platforms in-sourcing parcel delivery.
”The competitive landscape of ecommerce in Southeast Asia remains dynamic and constantly transforming,” said Jianggan Li, Founder and Chief Executive Officer of Momentum Works.
“With markets like Vietnam and Thailand showing remarkable growth and platforms like TikTok Shop rapidly expanding, it’s clear that innovation and adaptation are key to success in this region,
“The adoption of generative AI and the evolution of live ecommerce are reshaping the industry, and we are excited to see these trends drive continued growth and opportunities for business across Southeast Asia,” he added.
Momentum Works is a Singapore-headquartered venture outfit, builds, scales, and manages tech ventures across the emerging world.
The firm leverages its knowledge, community, and experience to inform, connect, and enable the tech/new economy ecosystem.
Its key business areas include ventures, insights, immersions, and advisory.
The annual report offers in-depth insights into the region’s six core ecommerce markets, as well as competitive dynamics of leading ecommerce platforms and ecosystem players including logistics.
Southeast Asia ecommerce achieves $ 99.5B GMV in 2022, says Momentum Works