Home Genre Trends & Analysis Ecommerce duopoly in Thailand – sooner or later?

Ecommerce duopoly in Thailand – sooner or later?

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Roughly about a year ago we wrote about JD and Central’s partnership, and the challenges they would have to overcome. Almost a year has passed since, and we think the site’s traffic speaks volumes:

Source: SimilarWeb

You might say – how is web traffic even relevant since the majority of online shoppers in developing markets will visit e-commerce platforms via mobile. Well, that is true – however, in Thailand, the web still accounts for (easily) 30%-40% of total sales for e-commerce platforms. So what the graph above shows is still significant.

JD.co.th’s arch-rivals, however, show no signs of falter – traffic has been pretty much stable. Recent numbers released by Shopee (owned by SEA) revealed that the business was growing strength to strength, recording increased revenues, and reduced losses.

The site traffic stats are also revealing:

Source: SimilarWeb

Will JD join the rest who tried but failed to crack Thailand’s competitive e-commerce market?

Time will tell – but we find it hard to believe that Central Group would actively try to disrupt its huge retail business through e-commerce, even when it has this active joint venture with JD.