TikTok Shop narrows market-share gap with Shopee in Vietnam

The gap in market share between TikTok Shop and Shopee in Vietnam narrowed by half after just one year, according to Momentum Works. The Southeast Asia 2025 e-commerce market report, issued by Momentum Works (Singapore), shows Shopee remained the leader of the multi-category online retail platform market in Vietnam last year, with GMV of more than $11.8 billion, equal to about 58% of the market. Followed by TikTok Shop, with 39% of GMV, nearly $8 billion. Lazada and Tiki shared the remaining 3%. Although the ranking of the two leading platforms remained unchanged, the gap narrowed by half in just one year. In 2024, Shopee and TikTok Shop held 65% and 28% respectively, a gap of 37 percentage points. That gap narrowed to 19 percentage points last year. The report released by YouNet ECI in March also notes similarly. The growth consulting firm estimates Shopee’s 2025 Vietnam market share at 57.5% while TikTok Shop reaches 39.6%. The reason is the large difference in GMV growth rates between the two platforms. "While Shopee continues to hold the top e-commerce platform position, its expansion pace has entered a more stable growth phase (6%). In contrast, TikTok Shop recorded growth exceeding 90% for the second consecutive year," YouNet ECI notes. In five countries—Indonesia, Thailand, the Philippines, Malaysia, and Vietnam—the chase by TikTok Shop against Shopee follows a similar trend, with market-share gaps ranging from 15 to 20 percentage points, according to Momentum Works. In Singapore alone, Shopee dominates with 52% market share, followed by Lazada, Amazon, while TikTok Shop accounts for 6%. Across Southeast Asia, Shopee remains the leading player, with 53% of the market last year, equivalent to GMV of $83.2 billion, thanks to ongoing efforts to defend its position amid rising competition from the 'crown prince'. TikTok Shop grew GMV more than double in 2025. The market-share gap with the 'orange platform' narrows further toward year-end. Both leading platforms are investing in content commerce in video formats and livestreaming. "With the breakout of TikTok Shop and Shopee increasing investment, content is no longer just a marketing channel but a primary driver of demand," Momentum Works notes. Meanwhile, Lazada shifted to focus on official-brand, branded merchandise, with early positive signals in Singapore, Thailand, and the Philippines. Momentum Works says the Southeast Asia e-commerce market in 2025 reached $157.6 billion, up 22.8% from 2024. Growth in the region is led by Thailand and Malaysia, at 51.8% and 47.6% respectively. Vietnam, the Philippines, and Singapore likewise grew by more than 20%, while Indonesia remains the largest market (accounting for 37%) but expanded only 2.2%. Notably, the Philippines ($21.1 billion) has overtaken Vietnam ($20.4 billion) to become the region’s third-largest market, after Indonesia ($57.7 billion) and Thailand ($35.5 billion).