Southeast Asian e-commerce shifts focus from low prices to engagement

Southeast Asian e-commerce is transitioning from a price-driven competition to a new phase focused on logistics, content, artificial intelligence, and social commerce. Experts suggest that platforms must now prioritize engagement and ecosystem development to retain customers as the market matures.

According to Momentum Works, the region's total e-commerce Gross Merchandise Value (GMV) reached $157.6 billion in 2025, representing a 22.8% increase from 2024. The market is currently dominated by three major players—Shopee, TikTok Shop, and Lazada—which collectively control approximately 98.8% of the market. Shopee maintains the leading position with a 53% market share.