Release date: June 4, 2024 04:00
According to a survey conducted by the E-Commerce Development Authority late last year, the value of Thailand's e-commerce market is estimated to reach 5.96 trillion baht by 2023, led by the insurance, arts, entertainment, recreation, retail and wholesale sectors.
E-commerce in insurance is estimated to have expanded 31% last year. Respondents expect arts, entertainment and recreation e-commerce to grow 24% and the retail and wholesale sector to expand 13%.
The survey was conducted from October to December last year and targeted 3,440 e-commerce businesses across eight industries, including manufacturing, retail and wholesale, transportation, accommodation, information and communications, insurance, arts, entertainment and recreation, and other industries.
The survey found that the key internal factors for e-commerce businesses are offering products at a fair price and providing a positive customer experience – examples of the latter include expanding service and payment channels.
External factors include the economic outlook and the expansion of broadband internet networks nationwide.
While about 29% of respondents are using artificial intelligence (AI) in their business operations, 71% said they are concerned about the sophistication of AI due to a shortage of skilled AI talent. Respondents were unsure which tasks are suitable for applying AI.
According to the study, affiliate marketing approach can increase sales for e-commerce businesses by 50%, with 18% having adopted this strategy and 36% eager to adopt it.
The value of e-commerce is estimated to be 5.43 trillion baht in 2022, up 5% from 5.17 trillion baht in 2021. Of the total, business-to-consumer accounted for 51.7% of the total, followed by business-to-business (37.8%) and business-to-government (10.5%).
E-commerce insurance transactions recorded the highest growth of 31% in 2022. Retail and wholesale e-commerce generated the most value at 2.83 trillion baht, followed by 1.53 trillion baht from the retail sector, followed by manufacturing (699 billion baht), transportation (552 billion baht), accommodation and food (428 billion baht) and information and communications (299 billion baht).
