Balik Kampung, woh oh oh Balik Shopping! Hari Raya in March 2025 sparked a spending frenzy in Malaysia, making it one of the peak e-commerce months. Shopee, the regional giant was anticipated with a sales of RM60 billion, up from RM54 billion in February but below my expectations for a bigger Raya boom. Meanwhile, TikTok Shop’s sales nearly doubled, and Lazada saw a traffic surge. Let’s unpack the trends, surprises, and what they mean for retailers.
Shopee’s Growth: Conversion is King
Shopee’s RM60 billion haul reflects a solid 11% jump from February, driven by Raya demand for fashion, home goods, and festive treats. However, I anticipated a stronger surge given the season but it did not, but one thing you really need to give it to them as one of their major metric is at flaw. Shopee’s visitor count barely grew, yet sales climbed. This proves a point we discussed last month—conversion rate is also crucial in the golden metric. Here’s why Shopee’s sales rose without more visitors:
- AI-Powered Personalization: Shopee’s recommendation engine nailed Raya shoppers’ preferences, boosting impulse buys and average order values.
- Livestreaming Magic: Shopee’s livestreams, featuring local influencers, turned browsers into buyers with real-time deals.
- Seamless Experience: Enhanced trust through Same Day Delivery and Next Day Delivery to enhance buyer experience, so seller’s out there questioning their motive for pushing faster shipping should understand why now.
Shopee’s focus on converting existing visitors paid off, a lesson for retailers to optimize product listings and user experience.
Shopee Choice: Local Struggles, Global Holds Steady
Shopee Choice Local, which promotes Malaysian affordable sellers, continued its sales decline, disappointing local retailers. This may signal oversaturation or weaker demand for local products from shopee choice channel amid Raya’s global product appeal. Conversely, Shopee Choice Global saw only a slight dip, suggesting cross-border products remain competitive. For local sellers, this is a silver lining where buyer might not focus too much on low price product but the quality of it.
TikTok Shop’s Explosive Growth
TikTok Shop’s scraped data nearly doubled sales raised my eyebrows, but their team insists the data is more accurate than past reports. I’ll treat this as a trend rather than a precise figure, and the direction aligns with Raya’s pull. TikTok Shop’s “shoppertainment” model—viral influencer videos and livestreams—captured festive shoppers, especially for beauty and fashion
Retailers, take note: TikTok Shop’s momentum shows social commerce is here to stay. Partner with influencers and create engaging content to ride this wave.
Lazada’s Traffic Win
Surprisingly, Lazada outshone Shopee in traffic growth, thanks to its Birthday Sale stacking with Raya promotions. This extra event drew bargain hunters, proving well-timed campaigns can boost visibility.
Looking Ahead: Post-Raya and Tariff Impacts
As expected, post-Raya sales typically dip for a month before the next festive boom (Hari Raya Haji) and following with a winter season before the year-end sales. This year, potential tariff hikes could shake things up. If China faces restrictions on direct shipping, local and regional sellers could benefit as platforms prioritize nearby suppliers. Prepare now by diversifying your inventory and strengthening logistics to handle demand spikes.
Key Takeaways for Retailers
- Boost Conversion Rates: Use AI tools, engaging visuals, and seamless checkout to turn visitors into buyers.
- Embrace Social Commerce: TikTok Shop’s rise shows the power of influencers and livestreams—get on board.
- Plan for Tariffs: If direct shipping from China slows, local sellers can seize the moment with competitive pricing and fast delivery.
See you next month for the April update, as we track the post-Raya slowdown and gear up for the next e-commerce surge!
This report is powered by robust data analytics from two industry leaders: Mobduos for Shopee and Kalodata for TikTok. But before we dive into the exciting findings, a word of caution: while our data provides valuable insights, always remember that there may be slight variations from real-time statistics. Get a free trial to Shopee and Tiktok Bigdata and let us know if you would like a promo code to purchase when you find them essential .
