The market is increasingly defined by a duopoly between Grab and Line Man, as smaller competitors exit, according to Singapore-based research firm Momentum Works, reports the Bangkok Post.
Thailand was the fastest-growing food delivery market in Southeast Asia last year, with gross merchandise value (GMV) rising from US$4.2 billion in 2024 to $5.1bn in 2025.
This 22% growth rate was driven by platform affordability initiatives, intense competition and the government’s Khon La Khrueng (half-half) subsidy programme.
In terms of market value, Thailand was No.2 behind Indonesia, which posted GMV worth $6.4bn in 2025.
Last year Grab and Line Man collectively controlled close to 90% of the Thai food delivery market, up from 86% in 2024.
A major structural change occurred in May 2025 when Foodpanda withdrew from the Thai market. Foodpanda’s market share dropped from 5% to 2% in 2025.
ShopeeFood capitalised on this shifting landscape, increasing its share from 7% to 10%.
While it remains a distant third behind the two leaders, ShopeeFood also overtook Robinhood to become the primary challenger in the market. Robinhood’s market share fell from 2% in 2024 to 0% in 2025.
REGIONAL MARKET
A significant disruption in the platform hierarchy occurred in Southeast Asia between 2024 and 2025.
In 2024, ShopeeFood demonstrated remarkable growth and became the third-largest player in the region, overtaking Gojek and Foodpanda in Thailand.
By 2025, it continued this upward trajectory, surpassing Foodpanda to become the region’s No.2 player in terms of GMV, reaching $3.3bn.
Line Man grew to be on par with Gojek in terms of GMV, as Gojek prioritised profitability over expansion in 2025, limiting its growth to the low single digits.
Grab’s regional market share grew from 53.8% in 2024 to 55% in 2025. Grab now holds approximately two-thirds of the market share in Malaysia, the Philippines and Singapore.
The Momentum Works report also highlights a trend towards alternative delivery and pickup methods beyond the main aggregators.
In the Philippines, quick service restaurant chains’ self-delivery channels continue to account for a significant amount of GMV beyond the major platforms.
Malaysia has posted notable growth in self pick-up options among some restaurant chains.
Anantaporn Lapsakkarn, senior research at Kasikorn Research Center, said Thailand’s food delivery market is mature.
Without promotional campaigns, intense competition among platforms, or government support, the market is expected to post little to no growth, largely due to economic challenges.
"If the market is truly growing, why do platforms still need to keep offering promotional campaigns? There is a group of frequent buyers who are less price-sensitive, but this group is not strong enough to keep driving high growth," Mr Anantaporn said.
Online food delivery is not a standalone profitable business, but rather part of the online ecosystem, he said.
STRONG OUTLOOK
Chantsuda Thananitayaudom, country head of Grab Thailand, told the Bangkok Post that despite economic headwinds in 2025 ‒ particularly in the food and tourism sectors ‒ Grab remains confident Thailand’s food delivery market will continue to grow steadily.
This is reflected in GrabFood’s solid performance over the past year, driven by evolving consumer behaviours, especially among younger generations such as Gen Z, for whom digital platforms and online lifestyles have become an integral part of daily life, she added.
She said market competition, together with government economic stimulus measures such as the Khon La Khrueng Plus co-payment scheme, has helped stimulate consumer spending and support overall industry momentum. This positive outlook is consistent with the e-Conomy SEA 2025 report by Google Temasek and Bain & Company, which projects continued growth in Thailand’s food delivery sector, with the market expanding 15% year-on-year in 2025 to an estimated value of $5bn.
Ms Chantsuda said that looking ahead to 2026, the food delivery market is expected to benefit from increased economic circulation surrounding the upcoming general election, as well as continued government efforts to stimulate consumption and tourism.
In addition, major events such as the Fifa World Cup and large-scale music festivals hosted in Thailand are expected to further support consumer spending and drive food delivery demand.
"We will continue to innovate by introducing new features and solutions to better serve our users, while remaining committed to our barbell strategy ‒ balancing affordability with high-quality service ‒ to ensure a consistently positive user experience," Ms Chantsuda said.
In another development, Shopee has leveraged its ShopeeFood service drivers to offer a new fresh flowers delivery category, enabling shoppers to search, compare and purchase from a wide range of florists in one place. Shopee partnered with Yodpiman Market and Pak Khlong Talat, Thailand’s largest wholesale and retail flower markets.
The collaboration marks the first such partnership in Thailand.
Meanwhile, Line Man has been piloting its telepharmarcy service in Bangkok and surrounding areas, allowing users to chat with pharmacists for delivery of medicine to their homes or preferred destinations.