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Asia-Pacific remained a global hotspot in 2023, with six of the top 10 fastest-growing retail ecommerce markets worldwide. In particular, China's online shopping market showed signs of resiliency, with growth rates in the double digits.

Retail ecommerce sales growth in Southeast Asia, which has been blazing ahead in recent years, is set for a slowdown as the global economy faces challenges and tech funding shrinks. This year, the Philippines and Malaysia will lead the region in growth.

Chips may be built in Taiwan or South Korea, sent to another country like Malaysia for testing and processing, then put into consumer electronics in another location before being sold worldwide, per The New York Times.

The Asia-Pacific retail ecommerce sector is both dynamic and volatile. While China and Japan are slowing, South Korea is growing rapidly, and emerging markets like Southeast Asia and India are showing robust growth and untapped potential.

Worldwide retail ecommerce towers over digital ad spending, so it may seem that digital advertising has more headroom for growth. However, since ecommerce will only account for 20.2% of worldwide retail sales this year, it’s actually the ecommerce industry that hasn’t reached its potential. On the ad side, digital will account for 67.1% of worldwide total media ad spending in 2023.

Meituan—a multiservice ecommerce platform akin to DoorDash, Uber, Expedia, and Groupon rolled into one—will be No. 1 in ad revenue growth in 2025 as consumer appetites for deals on travel and restaurants increase. At the same time, Baidu’s ad revenues will decrease 4.9% due to traditional search’s struggle as consumers turn to digital commerce and video content.

Our digital user estimates for Southeast Asia, which we currently define as Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam, are updated on an annual basis to continually incorporate the latest changes and developments in consumers’ technology adoption.