Transaction Value of Transportation Services in Southeast Asia to Increase in 2025

The latest research report by Google, Temasek, and Bain & Company indicates that the transportation market in Southeast Asia has continued to grow in recent years. 

"Gross merchandise value (GMV) and transportation revenue continue to grow as players expand their services," they wrote in the e-Conomy SEA 2025 report. 

By 2025, the GMV in this sector is projected to reach US$11.1 billion, an increase of 16% compared to the previous year.

This figure represents the GMV from 6 key Southeast Asian markets: Indonesia, Malaysia, the Philippines, Singapore, Thailand, and Vietnam.

Below is the accumulated GMV from transportation services in these 6 countries during the 2023-2025 period:

1. 2023: US$7.6 billion
2. 2024: US$9.6 billion
3. 2025: US$11.1 billion.

The report states that the growth of the transportation sector in Southeast Asia is driven by various strategies that increase revenue. Examples include subscription packages that encourage usage frequency, and in-app advertising which serves as an additional revenue stream.

"Alongside these strategies, the reduction of consumer incentives also directly drives profitability," Google said. 

Furthermore, both public and private sectors are accelerating the adoption of electric vehicles (EVs), supported by government incentives and increasing demand from transportation platforms. In Indonesia, this push is evident through incentives for electric two-wheelers and efforts to strengthen local EV production.