The report revealed that platform-based e-commerce in the region reached $128.4 billion in GMV in 2024, representing 12 per cent on-year growth. The growth, while slower than in previous years, reflects a deliberate shift by leading platforms towards more rational, sustainable strategies.

Indonesia remains the largest e-commerce market in Southeast Asia, contributing 44 per cent of the region’s total platform GMV in 2024, down from 52 per cent in 2022. Consolidation in the market led to moderation of growth.

The key drivers for the region’s e-commerce GMV expansion in 2024 were Thailand and Malaysia, growing 21.7 per cent and 19.5 per cent on-year, respectively.

The other three key markets, Vietnam, the Philippines, and Singapore, all registered double-digit growth, reflecting broad-based momentum across the region’s e-commerce landscape. Among them, platform e-commerce in Vietnam reached $16 billion GMV, increasing 15.9 per cent from the previous year.

Shopee expanded its lead with 52 per cent market share, driven by infrastructure upgrades and better monetisation. TikTok Shop showed disciplined expansion and completed its Tokopedia integration. Lazada focused on high-quality assortment and AI adoption, achieving earnings before interest, taxes, depreciation, and amortisation profitability.

For the first time, Momentum Works tracked non-platform e-commerce via brand.com, WhatsApp, and others, contributing $16.8 billion in GMV. Combined with platforms, Southeast Asia’s total e-commerce GMV reached $145.2 billion, representing 12.8 per cent market penetration.

Southeast Asia shipped 43.6 million e-commerce parcels daily in 2024, nearing the US volume and underscoring the region’s advanced logistics infrastructure. Shopee, Lazada, and TikTok Shop accounted for over 90 per cent of platform parcel volumes.

Live commerce generated $17.6 billion, or 14 per cent of total platform GMV. Combined with video commerce, these formats now account for 20 per cent of platform GMV, marking a significant behavioural shift.

Brands contributed less than 30 per cent of Southeast Asia’s platform e-commerce GMV, compared to over 50 per cent in China, highlighting untapped potential in brand-driven growth. Among them, Chinese consumer brands, learning from past failures, are re-entering Southeast Asia with improved products and refined local strategies, gaining traction across key categories.

Momentum Works estimates that strong AI adoption by sellers and brands could add up to $131 billion in GMV by 2030, improving everything from product discovery and logistics to customer experience and pricing efficiency.