Accelerate your ecommerce business in any region, any market.

The Customer Acquisition Cost Crisis: How Southeast Asian Sellers Can Fight Back for their eCommerce Business

Table of Contents

Tips on How Southeast Asian Sellers Can Fight Back for their eCommerce Business

First things first, in every new staff’s onboarding at Commerceplus is the requirement to get familiar with approach to driving eCommerce sales growth. Our eCommerce growth formula, a simple yet extremely useful way to quickly diagnose and identify challenges and opportunities for every brand on eCommerce platform. Customer acquisition impacts the variable costs of this formula and with a proper tracking and optimizing, it could make a lot of difference to whether we are building a profitable and sustainable eCommerce business or are we just burning through money driving growth?

Ecommerce Growth Formula

The Customer Acquisition Cost Crisis: How Southeast Asian Sellers Can Fight Back for their eCommerce business

The Alarming Reality

  • Customer acquisition costs have tripled since 2013
  • Brands are losing an average of $29 per new customer
  • CAC has grown by over 50% in the last five years alone

Source: Customer Acquisition Cost Statistics 2025

Why Southeast Asia is Uniquely Positioned to Win

While global eCommerce business faces a CAC crisis, Southeast Asia presents a different story. The region’s mobile-first consumer behavior, lower competition in emerging channels, and strong social commerce adoption create opportunities for cost-effective customer acquisition.

Cost-Effective Acquisition Tactics for ASEAN Markets

  1. Social Commerce: Your Cost-Effective Acquisition Channel
    Social commerce
    represents the most cost-effective acquisition channel in Southeast Asia, with 72% higher engagement rates compared to traditional advertising. The key is leveraging authentic and entertaining brand content and community-driven discovery using affiliate marketing.

  2. Meta CPAS Optimization: Advanced Audience Strategies
    1. Exclusion Audiences Strategy: Reduce wasted spend by excluding past buyers and low-value segments:
      • Create 30-day, 90-day, and 365-day purchaser exclusion lists
      • Exclude cart abandoners who haven’t engaged in 14+ days
      • Build negative lookalikes from refund/return customers
    2. High-Performance Lookalike Audiences : Build lookalikes based on CLV rather than just purchases:
      • Top 10% CLV customers (1% lookalike for highest quality)
      • High AOV customers from specific product categories
      • Customers with 3+ repeat purchases
      • Email subscribers and Facebook and IG users who engage with marketing campaigns
  3. Creative Optimization: Reducing Costs Through Better Conversion In Southeast Asia, video creative performs 340% better than static images. Focus on mobile-first, thumb-stopping content that showcases product benefits within the first 3 seconds.
  4. Multi-Channel Attribution: The Complete Picture Successful Southeast Asian eCommerce brands use unified attribution models that track customer journeys across all touchpoints, providing a complete view of marketing ROI.Attribution Stack for Marketplace Sellers:
  5. Building Custom Audiences from Marketplace Data: Create sophisticated retargeting and lookalike audiences by building comprehensive eCommerce customer databases that bridge marketplace and external advertising platforms.
    Membership Programs

    Implement point-based loyalty programs to collect first-party data and increase repeat purchases by 35%.

    Email Collection

    Use post-purchase surveys and warranty registration to build email lists for custom audience creation.

    Cross-Platform Sync

    Sync customer data between Shopee Brand Portal, Meta Business Manager, and Google Ads for unified targeting.

Pro Tip for Sustainable Acquisition
Shift your optimization focus from first-purchase ROAS to Customer Lifetime Value. Brands optimizing for CLV see 23% higher long-term profitability despite potentially higher initial CAC.
Focus on customer lifetime value (CLV) optimization rather than just acquisition cost reduction. In Southeast Asia's relationship-driven markets, building long-term customer relationships through exceptional service and community engagement often yields better ROI than aggressive acquisition spending.

Tactical Tip of the Week

Setting Up Advanced Attribution Tracking

Proper attribution tracking is the foundation of effective marketplace optimization. Here’s a step-by-step guide to implement comprehensive tracking across all your eCommerce platforms.

Implementation Steps

1 UTM Parameter Standardization
Create consistent UTM naming conventions: utm_source=facebook, utm_medium=cpas, utm_campaign=shopee_[category]_[month]

2 Shopee Brand Portal Setup
Access Marketing Solutions Module → External Traffic → Add tracking URLs with proper UTM parameters for all external campaigns

3 Cross-Platform Customer ID Matching
Use email/phone hashing to match customers across platforms while maintaining privacy compliance

4 Unified Reporting Dashboard
Create weekly reports combining data from Meta Ads Manager, Google Analytics, and marketplace analytics for complete ROI visibility

Platform Optimization Spotlight

 Meta CPAS Best Practices

  • Use broad targeting with smart exclusions
  • Implement value-based bidding for CLV optimization
  • Test dynamic product ads with seasonal catalogs
  • Optimize for 7-day click attribution window

 Marketplace Advanced Features

  • Shopee Smart Match audience targeting
  • Lazada’s Interest-Based Targeting 2.0
  • Enhanced Brand Store analytics
  • Cross-border audience insights

 New Attribution Tools

  • Shopee Brand Portal’s enhanced UTM tracking
  • Cross-device customer journey mapping
  • Real-time conversion tracking APIs
  • Automated bid adjustment based on CLV

 Creative Optimization

  • AI-powered creative testing frameworks
  • Localized content generation tools
  • Video performance prediction algorithms
  • Dynamic product showcase formats

Table of Contents

Subscribe to our Tactical Insights For Growing Ecommerce Revenue

Actionable insights and guidance from the team. Unsubscribe anytime.

More Insights