The Quarterly Gap Has Narrowed to US$1.66 Billion! How Much Longer Until TikTok Shop Catches Up with Shopee in Vietnam?

Competition in Vietnam’s e-commerce market is entering a new phase.

According to the “Vietnam E-commerce Market Report for the Third Quarter of 2026” released by YouNet ECI, in the first 9 months of this year,Vietnam’s major e-commerce platforms recorded GMV of approximately 411.8 trillion Vietnamese dong, up 22% year on year.

GMV in the first half of the year was 264.8 trillion Vietnamese dong, up 19% year on year; GMV in the third quarter alone was approximately 147 trillion Vietnamese dong, with year-on-year growth further increasing to 27%.

The market as a whole continued to expand, while the rankings among platforms also shifted.TikTok Shop has not overtaken Shopee, but the gap between them is narrowing rapidly. Looking at the third quarter alone,TikTok Shop’s GMV was only about 4.3 trillion Vietnamese dong (approximately US$1.66 billion) below Shopee’s.

This means that Vietnam’s e-commerce market, which has long been driven mainly by product search on marketplace listings and price promotions, is now facing more direct competition from content-driven commerce.

Shopeeremains in first place, but TikTok Shop is growing faster

Based on cumulative data for the first 9 months of this year, Shopee remains Vietnam’s leading e-commerce platform, with about 53% of GMV market share; TikTok Shop follows closely, with approximately 45%.

Together, the two platforms account for 98% of the market, further squeezing the share held by platforms such as Lazada and Tiki.

However, although market shares have yet to reverse, growth rates have already diverged significantly.

In the first 9 months of this year, Shopee’s GMV grew 12% year on year. It continued to grow, but its growth rate was already markedly below that of the market as a whole. TikTok Shop’s GMV grew 38% year on year, significantly outpacing Shopee as well as the overall growth rate of 22% for Vietnam’s e-commerce market.

This difference in growth rates is steadily narrowing the gap in transaction volume between the two platforms.

The gap between TikTok Shop’s and Shopee’s GMV was especially narrow in the third quarter, at approximately 4.3 trillion Vietnamese dong. For a market with quarterly GMV of around 147 trillion Vietnamese dong, this is no longer a distant gap to close.

TikTok Shop continues to convert content-driven traffic into orders through short videos, livestreams, creator content, and major platform promotions.

Content-driven commerce is changing the path to purchase

Shopee’s strengths still come from its mature marketplace model: a wide range of products, strong consumer search habits, and an established pricing structure. When consumers have a clear need, they often search, compare prices, and place orders directly on the platform.

TikTok Shop has taken a different path.

It does not rely entirely on consumers searching for products with a specific need in mind. Instead, short videos, livestreams, creator recommendations, and content interactions help users discover products and develop an interest while browsing, before completing a purchase.

This model is particularly effective for categories such as beauty, apparel, home goods, and fast-moving consumer goods, which are easier to showcase and promote through content.

The data show that fast-moving consumer goods are becoming a major driver of growth in Vietnam’s online consumption.In the first 9 months of this year, GMV in the FMCG category grew 26% year on year, and in the third quarter it grew 36% year on year, making it the fastest-growing sector tracked by YouNet ECI.

Meanwhile, GMV in the fashion and accessories category grew 22% year on year in the first 9 months, accounting for 28% of the market; the beauty and personal care category grew 17% year on year, accounting for approximately 13% of the market. These are precisely the categories where product showcases, livestream demonstrations, and creator recommendations can have the greatest impact.

Consumers are willing to spend, but they no longer look only for low prices

Another sign of growth in Vietnam’s e-commerce market is the recovery in consumer confidence.

The report shows that Vietnam’s online Consumer Confidence Index (eCCI) rose from 122 points in the second quarter to 141 points in the third quarter. 58% of consumers were optimistic about their current income, up from 45% in the previous quarter; 69% of respondents had positive expectations about their future income.

Improved consumer expectations are also reflected in purchase plans for the fourth quarter. Approximately 70% of millennial consumers and 65% of Generation Z consumers expect to increase their spending on e-commerce platforms. With year-end shopping promotions, holiday spending, and gift demand picking up, purchasing power in Vietnam’s e-commerce market is expected to remain strong in the fourth quarter.

However, it is worth noting that consumers’ decision-making is changing.

The report shows that 74% of consumers consider product quality an important factor when shopping online, a significant increase from 53% in the second quarter. Price remains the second most important factor, with 67% of consumers paying close attention to it.

For sellers, this means that relying solely on low prices, subsidies, and promotions to secure orders is becoming increasingly unlikely to create a lasting advantage.

Competition May Intensify in the Fourth Quarter

Market trends suggest that Vietnam’s e-commerce sector is still expected to maintain rapid growth in the fourth quarter.YouNet ECI expects purchasing power on e-commerce platforms to grow by more than 20% year over year in the fourth quarter, driven by improved income expectations and year-end shopping demand.

For Shopee, maintaining its scale advantage and keeping core merchants and consumers engaged will be a key priority going forward.

For TikTok Shop, trailing Shopee by only about 4.3 trillion Vietnamese dong in the third quarter sends a strong signal: content commerce is no longer merely a supplementary channel, but is growing into a major force in Vietnam capable of challenging traditional shelf-based e-commerce.

For cross-border sellers, opportunities in the Vietnamese market continue to grow, but product selection, content, pricing, and fulfillment capabilities must all improve in tandem.