Description

Southeast Asia’s food delivery market experienced accelerated growth to reach US$19.3 billion in 2024, a 13% YoY growth from 2023. This happened after two consecutive years (2022/2023) of tepid, 5% growth.

Vietnam and Indonesia led the region’s growth with 26% and 18% YoY respectively, with many other markets also registering double-digit growth.

Grab continues to dominate the region, owning 53.9% market share; while ShopeeFood has overtaken Gojek to become the third-largest player in Southeast Asia. TikTok has now entered into Local Services, starting with selling vouchers for F&B merchants in Indonesia and Thailand. While still in the early stages, this entry could challenge food delivery platforms’ push into advertising and Dine-Out. 

While customer segmentation initiatives are starting to show effects in helping drive up customer base, profitability and volume, there is still potential in other areas that platforms can tap into – especially in terms of rider segmentation and operations

What do these developments mean for the future of food delivery in Southeast Asia?

Download Momentum Works’ Food Delivery Platforms in Southeast Asia 5.0 report for an in-depth breakdown of the latest numbers, market trends, and strategies shaping the region’s food delivery landscape.

The 42-page report covers the following sections and topics:

1. Introduction and overview

• At a higher level, 2024 was a year of profitability and consolidation

• SEA food delivery platforms’ total GMV growth accelerated to 13% in 2024
• Vietnam and Indonesia were the fastest-growing food delivery markets in SEA
• Grab retains its leading market share in Southeast Asia; ShopeeFood overtook Gojek 

2. Key trends in 2024

• Key trend #1: Overall F&B back on normal growth, but competition intensifies  
• Key trend #2.1: Smaller platforms bowed out, while others might be entering
• Key trend #2.2: Indonesia becomes the most competitive market again
• Key trend #3.1: Key players target low-cost segments to expand market size
• Key trend #3.2: Tourists might also be another target audience for expanding market size  
• Key trend #4.1: Grab pushes to grow dine-out and vouchers
• Key trend #4.2: TikTok starts to grab merchants’ ad dollars

3. Key players and strategies

• Key players’ top line growth and strategic focus of 2024
• What leaders of key platforms said in 2024…
• How to improve unit economics? 
• Key players have been focusing heavily on user segmentation recently
• They have also worked on rider operations 
• Riders can also be segmented to improve operations: Meituan’s experience 

4. Key takeaways from global developments

• Overview of global developments in 2024
• 1.1 Meituan underwent a major organisational restructuring in 2024
• 1.2 Meituan puts its delivery drones into commercial use, in China and UAE
• 1.3 Meituan kickstarts its real international expansion, starting from Saudi Arabia
• 1.4 Meituan managed to put up a strong defence but the battle still goes on
• 2. Quick commerce again becomes a focus in key markets of Asia
• 3. Delivery Hero tries to focus, and consolidate
• 4. Prosus also needs to bring up the value of its food delivery portfolio

5. Conclusion and perspectives