Thailand's e-commerce potential exploded
It is undeniable that the Thai e-commerce market has now become an important part of the e-commerce scene in Southeast Asia and even the world.
Recently, according to a report jointly released by Data Reportal and We Are Social, the social ** user base on the Internet in Thailand is expanding. The data shows that with the gradual popularization of the Internet,Thais have become "one of the top social users", and various social e-commerce related indices are soaring.
Thailand's social e-commerce usage rate is among the highest in the world Source: Bangkok Post
Specifically, the report states that as of January 2024, Thais spend 231 hours, ranked 17th in the world. The penetration rate of social ** platforms such as Facebook, Instagram, and TikTok in Thailand remains high, and the number of users is in the tens of millions.
Thailand, meanwhile, is the "leader in weekly shopping".70% of Thai internet users aged 16-64 make weekly purchases, ranking in the top 20 in the world.
Statista's data complements Data Reporting and We Are Social, according to a report released in February 2023More than half of Thai respondents regularly shop on social media。Up to now, the size of Thailand's social e-commerce market has successfully exceeded 11 billion US dollars, and with the continuous increase in the penetration rate of social e-commerce in this marketThailand's social e-commerce revenue is expected to reach more than $1 billion by 2026.
Thailand's e-commerce penetration rate will continue to increase Source: statista
Social e-commerce has become an important starting point
All kinds of data show that social e-commerce has become an important grasp of the Thai e-commerce market, as long as you win social e-commerce, it is equivalent to half of the success in the Thai market.
Because of this, Shopee, as a leader in e-commerce in Southeast Asia, has already deployed Shopee Live live broadcast services in Thailand and launched a series of official incentive programs to promote the development of live broadcast e-commerce business. In the last 9During the 9 Super Promotion, Shopee Thailand Station achieved remarkable results by digging deep into the potential of live broadcasting, and achieved an impressive performance of 36 times the average daily order volume compared with the daily level, which strongly proves the correctness of its social e-commerce strategy.
TikTok, which started as a social e-commerce, is even more successful in the Thai market. According to DataReportal's survey report on the number of users of the tiktok social network,Thailand has become the country with the highest TikTok usage rate in the world at 493% of Thai users are using TikTok。Industry insiders pointed out that in Thailand, "more than half of TikTok users will have a desire to buy in the process of watching short-term **......."This is also where TikTok's success lies. ”
Thailand has the highest penetration rate of TikTok users Source: eMarketer
However, it should be noted that opportunities and challenges often go hand in hand, and judging from the recent ** in the Thai e-commerce market, sellers going to sea in Thailand may not be as smooth as imagined.
On the one hand,Thailand's e-commerce compliance has been put on the agenda, and relevant policies have continued to tighten. Platforms that are now developing e-commerce businesses in Thailand are not only required to submit details of third-party sellers, but also must regularly collect, review and submit information about the sellers' income to ensure that the taxes are correct. Although e-commerce compliance is a matter of course, it also increases the workload and business operation risks of platforms and sellers going overseas to a certain extent.
Thailand released new rules for e-commerce Source: Brandinside
On the other hand, there are very few e-commerce platforms in Thailand that are truly profitableIn order to stabilize the profit curve, platforms such as Shopee and Lazada have to reduce subsidies for sellers on Thai sites, the profit margin of sellers is also shrinking. According to the data, as of November 2023, Shopee and Lazada Southeast Asia sales commissions have increased by as much as 150%.
All in all, it is not easy to get money in Thailand, and sellers need to consider carefully based on market conditions and their own circumstances.
Author |Cross-border Jun.