Summary of Key Points from the Online Seminar:Winning Through Brand.com and E-commerce Platforms

Recently, DEMETER ICT, in collaboration with Shopify, hosted an online seminar titled “Winning with Brand.com & Marketplaces,” which can be translated into Chinese as “以品牌官网与电商平台制胜市场.”

Shopify is a leading global e-commerce website platform, currently serving over 4.6 million online stores across 175 countries. Many world-renowned brands such as CHANEL, Nike, and Nestlé trust Shopify as the core technology platform for their e-commerce operations.

The online seminar featured two keynote speakers:

  • Dr. Varanyu Suchivoraphanpong, Founder and CEO of DEMETER ICT

  • Soojin Jeong, Senior Partnership Manager at Shopify

Together, the speakers shared insights and practical experiences on the trends and strategies behind the synergistic growth between brand-owned websites (Brand.com) and e-commerce marketplaces.

In-depth Analysis of Southeast Asian Online Shopping Behavior — An Exclusive Interview with Dr. Varanyu

Summary of Core Findings, Trends, and Conclusions
In 2023, the total transaction value of the Southeast Asian e-commerce market reached USD 114.6 billion. Shopee maintained its position as the regional leader, followed by Lazada in second place. Meanwhile, TikTok Shop experienced a rapid surge with an annual growth rate exceeding 200%, and it is expected to become the second-largest platform in the region by 2024. Indonesia remains the largest single market, accounting for nearly half of the region’s total value.

Data Sources, Coverage, and Methodology
This report is based on data from Momentum Works’ “Ecommerce in Southeast Asia 2024”, supplemented by public financial statements, platform traffic statistics, and market interviews. The analysis covers six major markets: Thailand, Indonesia, Vietnam, Malaysia, Singapore, and the Philippines.

Overall Market Performance

Overview of the Southeast Asian E-commerce Market
Indicator Data Description
Total E-commerce GMV in Southeast Asia US$114.6B Year-on-year growth of approximately 18%
Main Growth Drivers Indonesia, Thailand, Vietnam Growth driven by social commerce
Market Concentration Top 3 platforms account for 80%+ Shopee, Lazada, TikTok Shop

Insight: Market competition is becoming increasingly concentrated, while content-driven commerce and live-stream shopping have emerged as the main growth engines.

Country Insights

🇹🇭 Thailand

  • GMV: USD 19.3 billion

  • Platform Share: Shopee 49% | Lazada 30% | TikTok Shop 21%

  • Trend Analysis: TikTok Shop has become a strong third player, growing more than threefold. Many brands have started investing in their own Brand.com websites.

🇮🇩 Indonesia

  • GMV: USD 53.8 billion (largest in the region)

  • Platform Share: Shopee 40% | Tokopedia 30% | TikTok Shop 11%

  • Trend Analysis: Following the merger of Tokopedia and TikTok Shop, the combined entity is expected to become the second-largest platform in 2024.

🇲🇾 Malaysia

  • GMV: USD 9.6 billion

  • Platform Share: Shopee 63% | Lazada 19% | TikTok Shop 19%

  • Insight: TikTok Shop is catching up rapidly with Lazada. Both advertising investment and live-commerce penetration are rising quickly.

(The same pattern can be applied for the Philippines, Vietnam, and Singapore.)

Platform Landscape

Overview of GMV for Major Southeast Asian Platforms
Platform Regional GMV (USD billions) Share Growth Trend
Shopee 55.1 48% Steady growth
Lazada 18.8 16% Slowing growth
Tokopedia 16.3 14% Undergoing merger
TikTok Shop 16.3 14% Rapid growth
Others (Bukalapak, Blibli, etc.) 8.2 7%

Insight Summary:

  • Shopee maintains its leading position across all Southeast Asian markets.

  • TikTok Shop shows the fastest growth among all platforms.

  • Lazada retains strong brand recognition and logistics advantages, but faces increasing competitive pressure.


Trends & Outlook

Trend 1: Continued Expansion of Content-driven Commerce
The rise of TikTok Shop demonstrates that the content-driven consumption model is rapidly maturing in Southeast Asia.

Trend 2: Significant Growth in Cross-border E-commerce
Cross-border transaction volumes from Chinese and Malaysian sellers on Shopee and Lazada have increased notably.

Trend 3: AI and Personalization as the Next Growth Drivers
E-commerce platforms are increasingly leveraging AI to enhance personalized shopping experiences, targeted advertising, and user retention.

The Importance of Dual Channels: Brand.com and Marketplaces — Insights from Soojin

During the seminar, Soojin Jeong shared several key data points explaining why businesses must operate both a Brand.com website and marketplaces simultaneously.

According to YouGov survey data, over 86% of Southeast Asian online shoppers purchase from both channels — Brand.com and marketplaces.

A deeper look into the reasons behind consumer purchasing behavior reveals the following:

  1. The top common factor across both channels is price and promotional offers, which remain the most important consideration for all consumers.

  2. The second factor differs by channel:

    • Shoppers on Brand.com trust the site more for authentic, guaranteed products.

    • Shoppers on marketplaces use the platforms primarily to compare prices across different brands.

  3. The third key factor is the widespread consumer expectation for fast and reliable delivery.

These insights clearly demonstrate that to meet the diverse needs of consumers, businesses must develop both their own Brand.com and presence on major marketplaces — ensuring a balance between brand trust and price competitiveness.

According to the data above, if a business successfully builds a well-known or popular brand, consumers are more likely to purchase directly through the brand’s official website (Brand.com).
This is because such consumers already know which brand they want to buy from and value trustworthiness and direct communication with the brand during their purchase process.

In addition, the average basket size (order value) on Brand.com is typically higher. Research shows that over 83% of consumers visit a brand’s website to learn about products before making a final purchase decision, whether they ultimately order through the brand’s own website or its store on a marketplace.
This clearly demonstrates that building a dedicated Brand.com site is essential for establishing consumer trust.

From Shopify’s own merchant base (brands operating both Brand.com and marketplaces), it has been observed that:

  • Brands can design a more flexible and customized customer journey on their own website.

  • The Brand.com system allows for high customization, enabling brands to tailor the shopping experience to their specific business needs.

According to YouGov survey results, brands identify two key advantages of owning a Brand.com:

  1. Global reach — the ability to access international buyers and expand into global markets.

  2. Brand credibility — building a stronger sense of trust and professional image.

Meanwhile, the two main advantages of selling on marketplaces are:

  1. Lower entry barriers — low startup costs and easier market access.

  2. High visibility — rapid exposure that helps brands get discovered more easily.

Based on Shopify’s experience serving various businesses, the company summarized four key strategies for driving online growth:

  1. Expand globally to tap into international markets.

  2. Develop digital B2B sales models to enhance efficiency in serving business clients.

  3. Increase average order value (basket size).

  4. Leverage customer data to enable precision marketing and retargeting.

When comparing the Customer Journey between Brand.com and marketplaces:

  • Marketplaces excel at helping brands gain initial customer exposure (first touchpoint).

  • Brand.com, on the other hand, performs better in sales process management, customer data collection, and long-term relationship building (customer retention).

On marketplaces, brands cannot fully customize the shopping journey and do not have direct access to customer data, as all customer information is controlled by the platform.
This makes it difficult for brands to:

  • Segment customers and manage audience tags.

  • Create personalized marketing campaigns based on customer preferences.

  • Develop long-term loyalty and repurchase strategies.

In terms of profit margins, data shows that:

  • Average gross margin on Brand.com: 41.65%

  • Average gross margin on marketplaces: 32.5%

The main reason for this gap is that marketplaces typically charge around 11% in sales commission fees, which increases overall costs and reduces profitability.

In conclusion, a Brand.com website not only strengthens trust and data ownership but also enhances profitability and customer lifetime value (LTV).
Meanwhile, marketplaces are ideal for customer acquisition and brand visibility.
Operating both Brand.com and marketplaces in parallel is therefore the optimal strategy for e-commerce growth in Southeast Asia today.

Based on the information above, if a business or brand wishes to succeed in online channels, it must develop a sales strategy tailored to its customers’ specific characteristics.

In the initial stage, brands can start by setting up a simple online store on marketplaces to quickly enter the market and test consumer response.
At the same time, they should build their own official website (Brand.com) to establish brand credibility and enhance brand awareness.

After that, businesses should gradually guide customers to make purchases through their Brand.com site, allowing them to gain direct access to customer data and thereby develop long-term customer relationships and loyalty programs.

Note:
Brands can greatly enhance the customer experience by using plug-and-play apps such as CXBOX to fully integrate Shopify with Zendesk. CXBOX also enables brands to connect their Shopee, Lazada, and TikTok stores with Zendesk, achieving seamless multi-channel integration.

About the author
Dr. Varanyu Suchivoraphanpong is currently the Founder & CEO of DEMETER ICT, a Premier Partner of Google and Zendesk in the APAC region. The company has the largest customer base for Google and Zendesk services in APAC including Greater China, with a combined total of more than 4,600 business customers. Dr. Varanyu has over 25 years of experience in information technology, having previously held senior executive positions in major organizations including banks, IT service providers, and business consulting firms. Dr Varanyu obtained his PhD in Computational Mechanic from Imperial College London.

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