Projected to Gain 13.2 Percent Market Share in ASEAN, TikTok Shops Takes the Lead
In the ever-evolving digital era, shifting market dynamics are no longer a surprise. One trend that is currently stealing the spotlight is the emergence of TikTok Shops, which is projected to dominate the market share in the ASEAN region with a growth of 13.2 percent. Weihan Chen, Insights Lead from Momentum Works, expresses his views on this change and how TikTok Shops plays a central role in e-commerce.
Weihan Chen, Insights Lead from Momentum Works, reminds us that change is the only constant in the business world. He highlighted that the bigger narrative today is no longer about TikTok Shops being a threat to other platforms, but instead about changes in e-commerce as a whole. The players in the industry seem to have significant network effects and structural advantages.
“Under these conditions, disruption is still possible, and leaders must continue to be focused and vigilant,” Weihan Chen said in a written statement quoted on Tuesday, August 22, 2024. [Source: Tempo]
TikTok Shops: Impressive Growth in Southeast Asia
Weihan Chen’s report highlights several important aspects about TikTok Shop’s growth. First, the platform has shown impressive growth in the Southeast Asia region since 2021. Starting from US$0.6 billion in Gross Merchandise Value (GMV) in 2021, TikTok Shop was able to reach US$4.4 billion by 2022. In fact, the platform is on track to reach its GMV target of US$15 billion by 2023.
“This achievement will put TikTok Shop on par with other big players such as Lazada and Tokopedia,” the report states.
With such rapid growth, TikTok Shops seems poised to become a dominant player in the ASEAN market. The projected 13.2 percent growth shows that the platform is not only creating a huge impact, but is also able to permeate people’s awareness regarding e-commerce. TikTok Shop has shown that innovation and adaptation are key to carving out success in the challenging digital age.
TikTok Shop has proven itself to be a force to be reckoned with in the ASEAN e-commerce space. Its impressive growth in GMV and potential to dominate the market share with 13.2 percent growth makes it a serious contender for other big players. Weihan Chen reminds us of the importance of adapting and staying vigilant in the face of inevitable change. With these dynamic developments, TikTok Shop proves that the digital age is a stage where innovation and boldness speak.