E-commerce is a lifeline for small entrepreneurs as competition goes beyond Thailand. Experts highlight Thai products' strengths in beauty and lower domestic shipping costs, seeing opportunities to promote Thai products further abroad.
E-commerce platforms, popular especially among small Thai sellers, must rapidly adapt to a changing environment as most platforms face competition from large domestic and foreign enterprises.
An expert source on e-commerce in Thailand explained that China's e-commerce began with the idea of "making business easy everywhere," a concept by Jack Ma aiming to break past limitations. Previously, trade was limited by "distance," such as buying goods and services within a 10 km radius and local monopolies. Platforms are now "open stages" where anyone can reach customers worldwide.
Lessons from China show its e-commerce grew quickly due to the country's vast size, where a single province can be as large as a country. Platforms solved the problem of connecting producers in remote areas with buyers needing goods, such as shipping oranges from southwest to northeast China where they are scarce and expensive.
Why do ASEAN platforms, many headquartered in Singapore, outperform European ones? The source said that although inspired by America’s Amazon, platforms like Shopee or Lazada better understand ASEAN lifestyles and spending cultures because they originated in Singapore, part of the same region.
Thai entrepreneurs should compete on value rather than price. Especially SMEs should avoid price competition with Chinese manufacturers who have much larger supply chains. Instead, focus on value through product quality, as Thai products are globally recognized for their quality.
Brand credibility and building stores that act as "Malls" earn more trust even if prices are higher than regular shops. After-sales service is another strength local platforms can offer, which multinational platforms find harder to provide.
Opportunities from B2C (Business to Consumer): Platforms enable small SMEs to sell directly to consumers across ASEAN instantly through features like International Platform without relying on intermediaries (B2B), reducing risks like financial verification of foreign partners.
Thai products with high potential, especially fresh agricultural products and fruits, are supported by platforms allowing farmers to sell directly from orchards, such as durian and coconut water.
Heavy consumer goods, like bottled water, have high shipping costs making imports uneconomical.
Innovative processed goods, such as health and beauty products, processed rubber pillows, and Thai snacks with unique flavors, can compete well against imports.
Most imports are products Thailand does not produce domestically, like small electronic devices (chargers, cables, gadgets). For large appliances (TVs, refrigerators), Thailand remains a key manufacturing base with ongoing investments.
E-commerce is evolving beyond product listings into Shopping Entertainment, using content and short videos to attract consumers.
This sector requires many "behind-the-scenes" professionals, such as data strategists, live support teams, and creative content creators, roles that Thai universities currently underproduce.
The Federation of Thai Industries will launch a major project on 20 July to help Thai SMEs enter Live Commerce, offering training and support for SMEs in all 77 provinces to livestream sell on their own.
Currently, platforms are linked with the Revenue Department and tax collection applies to imports from the first baht. The challenge is ensuring regulations are fair to all parties.
The government has started regulating platform GP fee increases to prevent unjustified impacts on SMEs. All platforms must comply with Thailand’s PDPA law. Stricter enforcement appears to have noticeably reduced scam calls this year.
Although AI assists backend data analysis well, platforms still need "real humans" for front-end interaction to build trust and consumer engagement. The arrival of platforms is not a threat but an opportunity for creative Thais to seize at the regional level.