With tight global competition, companies are now in the business of selling experiences, communities, and emotional connections. The experience economy is the fourth stage of economic development after agrarian, industrial, and service economies. It arises when services become commoditized, leading businesses to create and stage memorable, engaging experiences for customers. This trend is also happening in the Southeast Asian consumer market, with brands focusing on creating deeper and more engaging customer experiences.
These experiences are personal and connect with individuals emotionally, physically, intellectually, or spiritually. Companies in this economy charge customers directly for the experience, making the memorable event the main value offered.
As consumers increasingly seek meaningful and engaging interactions, businesses are leveraging digital platforms to deliver these experiences at scale. E-commerce is leapfrogging to a tipping point, supported by the vast growth of digital technologies transforming the region.
In 2024, transactions worth approximately US$16.8 billion in GMV (Gross Merchandise Value) were carried out in Southeast Asia outside of major platforms. Including non-platform GMV in the calculation, the total e-commerce GMV reached in the region was approximately US$145.2 billion, according to a Momentum Works report. This shows a big consumer market in Southeast Asia.
At the East Ventures Summit 2025, Winston Utomo, Founder and CEO of IDN, Christopher Madiam, Co-Founder and CEO of Sociolla, Jackson Aw, Founder and CEO of Mighty Jaxx, and Melvin Chee, Co-Founder and CEO of RPG Commerce, shared insights on how they are adapting to the experience economy. The consensus was clear: the post-pandemic consumer values shared experiences, personalized engagement, and a sense of belonging more than ever.
Beyond the product: Creating emotional attachments
The shift from a product economy to an experience economy is a fundamental change in consumer behavior, as highlighted by Winston Utomo. This means that for a new generation of consumers, particularly those under 40, spending money is less about owning things and more about feeling happy and creating shareable moments.
This insight has become the core of IDN’s strategy. By expanding into live entertainment, the company has seen live events and music festivals grow exponentially. In addition, IDN has an idol group called JKT48 in its entertainment business.
Similarly, the launch of a micro-drama platform, with episodes of just one minute, has seen over a million views in its first month, tapping into the demand for short, engaging, and highly shareable content.
This same principle is what drove Melvin Chee to transform his purely digital brand during his first days at RPG Commerce into an omnichannel powerhouse with its largest brand, Montigo, reflecting an omnichannel shift that happened in the market.
To date, Montigo has built over 50 retail stores across the region, not for traditional product sales. They are designed for experiential retail, as Melvin mentioned, where customers can customize products and interact with the brand’s IP (intellectual property), creating a deeper, more personal connection that drives emotional attachment and loyalty.
Hyper-localization: The secret to competing with global giants
In a market often seen as a single entity, the panelists highlighted the importance of a hyper-localized approach. Christopher Madiam explained that understanding the nuances of different countries—and even different cities within one country—is crucial.
With over 100 Sociolla outlets across Indonesia and Vietnam, it is a testament to building a business model from the ground up, with in-house technology and a strong community focus that global competitors cannot easily replicate.
Jackson Aw also shared similar insights regarding Mighty Jaxx. He emphasized the importance of maximizing the chances of developing a winning product by examining the trends in different territories and geographies, as people’s preferences for collectibles and lifestyle product lines vary significantly.
This strategy is not just about adapting to local tastes; it is about building stickiness and trust.
The founders agreed that today’s consumers are more informed and want to feel a genuine connection with a brand. This is where community engagement and being on the ground become critical.
Melvin calls it a bottom-up approach to marketing, where brands engage directly with consumers to understand their needs and build a loyal following.
The rise of omnichannel: Bridging digital and physical experiences
The future of retail is not a choice between online and offline, but a seamless integration of both.
As Melvin shared during the discussion, Montigo’s retail storefronts now account for 50% of the business, from what had started as a 100% digital business. Online now accounts for only about 40%, and the other 10% is B2B (Business to Business). This proves that there’s an omnichannel shift in the entire market.
According to the e-Conomy SEA 2024 report by Google, Temasek, and Bain, the Southeast Asian digital economy is on track to reach a value of over US$330 billion by 2025, but this growth is fueling, not replacing, physical retail.
The discussion at the East Ventures Summit 2025 underscored a powerful narrative about the shifting trends in the consumers landscape towards the experience economy. In a climate of global uncertainty, the region’s leading entrepreneurs are not only surviving but thriving by re-prioritizing what truly matters to their customers.
With a clear focus on building experiences, fostering community, and embracing a holistic omnichannel strategy, brands are creating a new playbook for success in Southeast Asia’s dynamic consumer market. They do not merely sell products but rather become trusted partners for consumers.
Watch the full panel discussion for in-depth insights about the Southeast Asia consumer through this video:
