Juda Kanaprach, Chief Operating Officer and co-founder of Milieu Insight, said a survey of 500 Thai online shoppers revealed a significant turning point for e-commerce business in Thailand.
Today, Thai consumers no longer focus solely on hunting for cheap deals from sellers’ promotions; they have become serious about designing value for themselves. The current e-commerce business structure is changing because buyers now evaluate not only price but also trustworthiness when placing orders.
Currently, Thailand’s e-commerce market is driven by three major platforms: Shopee holding a dominant 89% market share, followed by TikTok Shop with 71%, and Lazada ranking third at 66%.
Looking at Thai online shoppers’ behavior from Milieu Insight’s survey, modern Thai shoppers are seeking trust, which means the confidence and assurance consumers have toward platforms or sellers in the e-commerce system, especially regarding transaction reliability.
This includes the security of personal data, responsibility in consumer protection, and the quality of products and services received. Meeting these expectations clearly addresses Thai consumers’ needs, but operators must figure out how to win the hearts of modern Thai shoppers while managing a growing number of sellers on their platforms.
Importantly, buying and selling online involves transactions without face-to-face contact or product inspection before payment, so consumers must assess trustworthiness based on available information. Trust is therefore a crucial factor affecting purchase decisions and fostering long-term loyalty. This assessment depends on reputation, experience, and business backing of platforms like Shopee, TikTok Shop, and Lazada, as highlighted by Milieu Insight’s COO.
Although Shopee entered the Thai market after Lazada, Milieu Insight data shows Shopee holds a clearly larger share in the e-commerce segment, and social-commerce platform TikTok has even surpassed Lazada.
Lazada expanded into Thailand between 2012 and 2013, and a year later, Jack Ma's Alibaba Group acquired it. Alibaba positioned Lazada as a key base to expand e-commerce in Southeast Asia, focusing on being a reliable player with strong logistics and supply chains and showcasing Alibaba’s support in sourcing and managing products.
However, when Alibaba’s financial affiliate Ant Group was halted by the Chinese government from its planned IPO in Shanghai and Hong Kong in 2020, questions about Alibaba’s business independence intensified. Lazada, tied to Alibaba’s supply chain, now faces challenges in assuring partners that similar issues to Ant Group will not recur.
Shopee, based in Singapore and entering Thailand in 2015, started with a strategy as an easy-to-use, mobile-first marketplace designed for mobile users, targeting Southeast Asia and Taiwan like Lazada. It emphasizes a convenient, fast shopping experience with attractive pricing and free delivery services.
Shopee combines this with activities involving influencers and local stores to increase awareness and build consumer trust. Currently, Shopee connects Thai entrepreneurs with regional and global markets through its Digital Bridge strategy, which focuses on platform development using digital tools and AI.
Thus, while both e-commerce platforms effectively strengthen Thailand’s market, building consumer confidence—especially through company policies—remains the ultimate factor for buyers and sellers in choosing the online marketplace that best suits Thailand’s needs.