Online shopping to keep growing at breakneck pace

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Online shopping to keep growing at breakneck pace

Post by Gaybutton »

Personally I very much like online shopping and I do a lot of it. It saves me the time of trekking to huge shopping malls and spending time looking for what I want - and all too often at much higher prices than online platforms offer. Now I only go to shopping malls if I don't find what I want online, which is getting more and more rare.

I also like that the online platforms seem to be using AI. Somehow, when I log on the platform already knows what kind of products I'm looking for. As for product quality, I have been very happy with all I have purchased.

I stick to established online platforms such as Lazada, Shopee, and Temu. Supermarkets also offer online shopping, but I have not bought from any of them because I prefer to go to the supermarket and make my own selections, especially produce and meats.

I do not buy from offers on things like Facebook, where I have no idea who I am dealing with or the quality of what I will receive - if I actually receive my order. However, some of my Thai friends regularly buy from Facebook offers and so far they seem perfectly pleased, so maybe I'm being over cautious - and I will continue to be over cautious . . .

Miller: "You don't trust anyone, do you?"
Stavros: "That is why I have lived so long."
- David Niven (Miller), Anthony Quinn (Stavros), 'The Guns of Navarone'
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Online shopping to keep growing at breakneck pace

by Suchit Leesa-Nguansuk

January 5, 2026

Thailand's e-commerce sector is expected to continue to grow by 15% annually, despite high household debt.

The sector will be driven by product discounts, the buy now, pay later (BNPL) strategy, and improved operating efficiency among e-commerce platforms powered by artificial intelligence (AI), said Paul Srivorakul, group chief executive of aCommerce, a pioneer in e-commerce enablement services.

Retail sector penetration is expected to rise from 25% to 40-50% in the coming years.

Mr Paul said the traditional retail sector is flat, and even decreasing for some vertical products.

"I see traditional retailers investing more in e-commerce to offset the slowdown in offline channels," he said.

Brands and retailers will focus more on return on investment and performance-driven channels such as live-streaming, video commerce, social commerce, affiliates and AI commerce, said Mr Paul.

In the Thai e-commerce sector, the traditional linear search for products is being replaced by an AI-powered product discovery process.

Local consumers are asking complex shopping AI queries that require brands and retailers to shift from keyword-based marketing strategies to rich and personalised content powered by data and AI, he said.

Video commerce growth is expected to accelerate, accounting for 25% of e-commerce gross merchandise value as of last year, and remaining a dominant format through 2026.

This shift is fuelled by "shoppertainment", a fusion of content and commerce that transforms online shopping into an immersive social experience led by trusted local creators.

Rise of agentic commerce

Mr Paul said e-commerce platforms now support agentic transactions, where AI agents verify identity and complete purchases across platforms seamlessly.

While still an untapped market, early movers such as marketplace platforms and brand-owned platforms on Shopify will integrate AI agents with standard application programming interfaces and digital IDs to drive repeat purchases and subscriptions.

He said consumers are moving away from mega-creators in favour of niche and micro-influencers.

Instead, Mr Paul said he sees the expansion of retail media networks (RMNs).

Moreover, e-commerce marketplaces, omni-channel retailers, and transport and food delivery platforms are leveraging their first-party data to build high-margin revenue streams with advertising.

This year brands will consolidate their "brand" and "trade" marketing budgets and use RMNs to target consumers directly at the digital point of sale, he said.

The e-commerce platforms are responding to Thailand's high household debt by embedding digital lending and BNPL solutions into the customer checkout process to maintain sales momentum and serve underbanked consumers.

In addition, the Thai market will start consolidating as smaller domestic players shut down, leaving a few larger regional companies, said Mr Paul.

These leaders utilise massive economies of scale to create distinct competitive advantages that are difficult for smaller platforms to replicate.

Due to Thailand's relatively low-cost labour compared with Western markets, he said businesses focus on improving worker efficiency rather than replacing them with fully automated systems.

Mr Paul said brands are focusing more on using direct-to-consumer business models due to commission fee hikes in e-commerce, allowing brands to regain control over their margins and customer data.

The growth of AI engines and AI search also drives customer traffic and commerce to brands' websites.

https://www.bangkokpost.com/business/ge ... kneck-pace
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Re: Online shopping to keep growing at breakneck pace

Post by Jun »

When I shop online in Thailand, it's either because I can't find the product in the shops, or there's a massive difference in price.
For example, 3M air filter material, just under 800 baht in the shop. 399 baht online, from Lotus, via Shopee.

Or a neoprene protector for my tablet. Not available in Tuk Com, or any of the other likely locations. Admittedly Shopee lost the first one, so delivery is taking some time. Quite a contrast to the UK, where Amazon dominate and many products are available next day.

As a side effect, the number of shops in Tuk Com continues to decrease ever year. Not a big loss.
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Re: Online shopping to keep growing at breakneck pace

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Jun wrote: Mon Jan 05, 2026 10:33 am As a side effect, the number of shops in Tuk Com continues to decrease ever year. Not a big loss.
I agree. I have not shopped in Tuk Com for nearly 3 years and don't miss it one bit. Buying a new phone or accessories for it would not be a shop online choice for me.

In Pattaya I recommend the phone shop oddly named Banana. They have an excellent selection, very reasonable prices, and great service. I think you can get that neoprene protector at Banana. If you go, take the tablet with you and they can install it right there.
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Re: Online shopping to keep growing at breakneck pace

Post by Jun »

In the UK, I buy phones online. But most of the high street electronics retailers have gone and I trust some of the online retailers.

If I were forced to buy myself a phone in Thailand, it would be in a store. Banana looks the most professional of them.

However, they don't seem to have the type of protector I'm looking for.
My tablet has a good quality case, purchased off Amazon and I put that in another soft sleeve for additional protection before it goes in my bag.
The corners have worn off that sleeve after over 10 years use on a couple of devices.
Even most of the Shopee vendors offering replacements are in China.
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Re: Online shopping to keep growing at breakneck pace

Post by Jun »

More online shopping (Shopee).

Most of the options were from Chinese vendors. These were typically in the 35~80 baht price range, plus about 30 for delivery and they claim 10-12 days delivery time.

Just for reference, in some cases, exactly the same product was on Amazon UK, for next day delivery to the UK, but at about 4~5x the price.
If I were buying in the UK, I'd only pick the Amazon option if I needed next day delivery or if they offered a superior quality product. Otherwise it would be Temu.
The popular Thai platforms don't seem to offer next day delivery.

As an aside, I watched a Cambodian friend try online shopping. His phone OS is set to English. He has the language for the Shopee app set to Thai. He can't read a word of Thai. He uses voice input for the search box. He mostly seems to get what he wants.
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