DBS: Southeast Asia e-commerce enters next phase of growth, sales projected to more than double to USD 410 billion (SGD 535 billion) by 2030
New report shows that region’s biggest players achieved profitability last year on the back of e-commerce sales surging 21% annually from 2020 to 2024
AI and customer experience innovation to be key differentiators as companies look to enable more sustained growth
Platforms to seek more balanced capital structures with a focus on credit-backed growth
The DBS Nextwave Southeast Asia 2025 report – the first edition in a new series exploring Asia’s fast evolving digital economy – was developed in partnership with market data and insights firm Cube. It projects that e-commerce sales in the region will more than double from USD 184 billion (SGD 240 billion)[1] in 2024 to USD 410 billion (SGD 535 billion) by 2030, representing a 14% compound annual growth rate (CAGR) over the period (Chart 1).
Chart 1: Southeast Asia’s e-commerce sales forecast
E-commerce sales in Southeast Asia increased 46 times from USD 4 billion (SGD 5 billion) to USD 184 billion (SGD 240 billion) between 2012 to 2024, as more consumers embraced e-commerce as a preferred mode to purchase goods (Chart 2).
Chart 2: Annual Southeast Asia e-commerce sales
In line with this growth, several of the region’s e-commerce giants have achieved profitability. Factors contributing to their path to profitability included market share consolidation, fee increases and a greater prioritisation of core business offerings. Several also invested in vertical “e-commerce-adjacent” business models – such as warehousing and last-mile delivery – to drive operational efficiency and improve customer service.
Greater emphasis on sustainable growth and profitability
As the region’s e-commerce sector matures, platforms are moving from rapid expansion to sustainable growth. Cost optimisation, sustained revenue growth, as well as building a deeper and more loyal customer base will be key success factors in their next phase of development.
For example, platforms that deliver more personalised and engaging shopping experiences – and foster stronger customer loyalty – will be better positioned to retain and grow their market share. Factors such as artificial intelligence (AI) adoption are expected to play a key role in this shift, evolving beyond backend use cases like product tagging, to powering tailored recommendations and delivering hyper-personalised, immersive shopping journeys.
At the same time, new entrants that deliver superior customer experiences, such as integrating frictionless payments, or leveraging AI to create distinct business models, could disrupt incumbents and attract investment capital.
The emphasis on sustainable growth could also transform the capital structures of Southeast Asia’s technology companies. Historically reliant on equity financing by venture capital and private equity funds, start-ups and scale-ups alike could seek more balanced capital structures with a focus on credit-backed growth to lower the cost of capital. Key drivers include the ability to secure relatively flexible terms amid dynamic market conditions.
Chua Shih Guan, Head of Digital Economy Group, Institutional Banking, DBS said: “As the region’s e-commerce sector matures, we are seeing a shift from simply offering promotions and discounts to more innovative and differentiated customer experiences, through investments in areas like AI-driven personalisation, smarter logistics and embedded finance. We believe these platforms will grow profitably and play a crucial role as conduits for the next wave of Southeast Asian innovation. This evolution may also require founders to pair fundraising with credit solutions earlier on in their journey.As a bank at the forefront of digital innovation, DBS is committed to leveraging our suite of solutions to support businesses – whether they are starting out or scaling up – at every stage of their journey.”
Simon Torring, Co-Founder, Cube said: “E-commerce has been one of the most transformative forces in Southeast Asia’s digital journey. It did not just change how people shopped, it also laid the foundation for growth in logistics, payments, fintech and digital infrastructure. As the sector enters a new phase, platforms are becoming smarter, more focused and better integrated into everyday life. This evolution reflects how far the region has come – and how much potential still lies ahead.”
For a copy of the DBS Nextwave Southeast Asia 2025 report, please visit: https://go.dbs.com/DBSNextwaveSEA
[1]All exchange rates as of 14 May 2025.
About DBS
DBS is a leading financial services group in Asia with a presence in 19 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “World’s Best Bank” by Global Finance, “World’s Best Bank” by Euromoney and “Global Bank of the Year” by The Banker. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “World’s Best Digital Bank” by Euromoney and the world’s “Most Innovative in Digital Banking” by The Banker. In addition, DBS has been accorded the “Safest Bank in Asia“ award by Global Finance for 16 consecutive years from 2009 to 2024.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets.
DBS is committed to building lasting relationships with customers, as it banks the Asian way. Through the DBS Foundation, the bank creates impact beyond banking by supporting businesses for impact: enterprises with a double bottom-line of profit and social and/or environmental impact. DBS Foundation also gives back to society in various ways, including equipping underserved communities with future-ready skills and helping them to build food resilience.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit www.dbs.com.
About Cube
Cube is a leading market data and insights provider for e-commerce in Southeast Asia and beyond. Cube supports many of the world's leading consumer goods companies, investment firms, and internet platforms in accessing valuable data and insights to drive online growth.
