• Southeast Asia’s total food delivery spend on platforms grew 13% YoY to reach US$19.3B in 2024, marking a significant acceleration from the 5% growth observed in 2023;
  • Vietnam and Indonesia were the fastest-growing markets, with GMV growth of 26% and 18% respectively, while many other markets also registered double-digit growth;
  • Grab continues to lead the market, while ShopeeFood has overtaken Gojek to become the region’s third-largest player.;
  • TikTok’s entry into local services and potential Grab-Gojek merger could reshape the competitive landscape in 2025.


SINGAPORE, 17 February 2025 — Momentum Works has released its fifth annual “Food Delivery Platforms in Southeast Asia” report, providing an in-depth analysis of market performance, key trends, and competitive dynamics in the region’s online food delivery sector.

After two years of subdued 5% growth, Southeast Asia’s food delivery sector experienced accelerated growth in 2024 with a 13% YoY increase, reaching a total GMV of US$19.3B. The resurgence was largely driven by Vietnam and Indonesia, while other markets registered double-digit or near-double-digit growth. Despite a slowdown in overall F&B market growth to 4.6%, food delivery penetration has deepened, thanks to new customer segments and evolving platform strategies.

“After years of prioritizing profitability, Southeast Asia’s top food delivery platforms have regained momentum to fuel their next phase of growth,” said Jianggan Li, Chief Executive Officer and Founder of Momentum Works. “With sharper customer segmentation and enhanced operational efficiency, they are now positioned to explore bolder, more strategic moves that drive sustainable expansion.”

 

Key Industry Highlights

  1. Vietnam and Indonesia Lead Growth: Vietnam’s food delivery market saw the highest growth at 26%, with ShopeeFood and Grab forming an effective duopoly. Indonesia followed closely at 18%, driven by aggressive expansion efforts from Grab, Gojek, and ShopeeFood.
  2. Grab Maintains Leadership, ShopeeFood Surpasses Gojek: Grab retained its top position, increasing its lead over Foodpanda, while ShopeeFood overtook Gojek to become the third-largest player in the region.
  3. Platforms Focus on Low-Cost Segments and Tourists to Expand Market Size: Leading platforms like Grab and ShopeeFood have shifted their focus to attract mass-market customers through budget-friendly initiatives such as lower delivery fees and value meals. Additionally, platforms are targeting tourists, particularly from China, to drive growth.
  4. TikTok Enters Local Services, Potentially Disrupting the Market: TikTok has started piloting local services in Indonesia and Thailand, allowing users to purchase vouchers for F&B and other services. While still in its early stages, TikTok’s entry could disrupt the food delivery market, especially if it partners with delivery platforms for fulfilment.
  5. Operational Efficiency and Customer Segmentation Drive Profitability: Platforms have focused on improving unit economics by optimising rider operations, reducing delivery costs, and segmenting customers into mass, standard, and premium tiers.
  6. Further Consolidation on the Horizon: The food delivery market in Southeast Asia is becoming increasingly concentrated, with two leading players dominating over 80% of the market in most countries. A potential Grab-Gojek merger could further reshape the competitive landscape in 2025.

A complimentary copy of the Momentum Works’ Food delivery platforms in Southeast Asia (5.0) report will be available for members of the press upon request.

 

About Momentum Works

Momentum Works, headquartered in Singapore, is a venture outfit that leads insights on the digital ecosystem in emerging markets, through research, consultancy, community engagement and venture building.

Momentum Works is the go-to source for comprehensive expertise in navigating the evolving landscape of emerging markets, especially in ecommerce, new retail and F&B, as well as application of emerging technologies.

For more information

For further enquiries, please contact Weihan Chen ([email protected])

 

Appendix – selected pages from the report


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