Southeast Asia’s e-commerce gross merchandise value (GMV) rose 22.8% year-on-year in 2025 to $157.6 billion, according to Momentum Works’s latest regional report.
The growth was underpinned by the leading players’ return to expansion mode, alongside continued investments in infrastructure, fulfilment, and customer experience.
However, the report noted that the sector is entering a new phase where competition is shifting away from pure expansion towards greater control over demand generation, logistics, and margins.
At the market level, Thailand and Malaysia led growth with GMV surging 51.8% and 47.6%, respectively. Vietnam, the Philippines, and Singapore each posted gains of over 20%. Indonesia remained the region’s largest market, accounting for 37% of GMV, though growth slowed to 2.2% following Bukalapak’s exit and Tokopedia’s GMV rationalisation.
The Philippines overtook Vietnam again to become the region’s third-largest platform e-commerce market by GMV.
The market has largely consolidated into a three-player structure, with Shopee, Lazada, and TikTok Shop (including Tokopedia) accounting for more than 98.8% of platform GMV.
Shopee retained its lead with a 53% market share in 2024, supported by intensified efforts to defend its position amid rising competition from TikTok Shop, particularly in the second half of 2025.
TikTok Shop emerged as the fastest-growing player, more than doubling its GMV during the year. Combined with Tokopedia, its regional GMV reached 65.7% of Shopee’s in 2025, with the monthly gap narrowing further towards year-end.
Lazada, meanwhile, is gaining traction following a strategic pivot towards a more brand-led and quality-focused positioning. The shift has been particularly evident in Singapore, Thailand, and the Philippines, with a focus on higher-value products driving an uplift in average order value.
Beyond platforms, non-platform channels—including brand.com sites, multi-brand retailers, and social commerce—contributed an estimated $27.8 billion, bringing Southeast Asia’s total e-commerce GMV to $185.5 billion. Platforms accounted for approximately 85% of the overall market.
The report also indicated that cross-border platforms continue to deepen their presence in Southeast Asia by reducing friction and improving access to overseas supply. While regulatory scrutiny is increasing, larger and more committed players are better positioned to adapt and capture the upside.
In addition, AI is rapidly reshaping e-commerce—from content creation to demand generation. With control over critical levers such as traffic, tools, and user experience, platforms are expected to play a central role in how AI is deployed across the ecosystem.
