After 15 years working with brands across Southeast Asia, I've seen the same patterns repeat. Companies invest millions in market entry strategies, only to pull out 18 months later, blaming "market conditions" or "timing." But the real issue? They made one of three critical mistakes before they even launched.
Mistake #1: Treating Southeast Asia as a single market
This is the most common—and most expensive—error. Thailand is not Vietnam. Vietnam is not Indonesia. Yet brands consistently try to apply a "Southeast Asia strategy" across wildly different regulatory environments, consumer behaviors, and distribution networks.
What this looks like in practice: A beverage brand launches simultaneously in Bangkok, Ho Chi Minh City, and Jakarta with the same pricing strategy, distribution model, and marketing message. Within six months, they're profitable in Thailand, breaking even in Vietnam, and hemorrhaging cash in Indonesia. Why? Because they didn't account for fundamental structural differences.
Indonesia requires hyperlocal distribution through thousands of small retailers. Vietnam demands relationships with state-owned enterprises. Thailand operates through consolidated modern trade. One strategy cannot serve all three.
The fix: Start with one market. Go deep. Understand the regulatory path, distribution structure, and consumer psychology before expanding. Your Thailand playbook will not work in Vietnam—accept this upfront and build market-specific strategies.
Mistake #2: Underestimating regulatory complexity
Most brands budget 3-6 months for regulatory approval. In reality, getting proper licensing in Indonesia can take 12-18 months. Vietnam's labeling requirements change frequently. Thailand's FDA processes are faster but require meticulous documentation.
I've watched companies burn through their runway waiting for import licenses they thought would take "a few weeks." They hired the wrong consultants, misunderstood the requirements, or assumed their home market certifications would transfer. They don't.
The fix: Hire local regulatory experts before you finalize your timeline. Not lawyers who "also do regulatory"—specialists who know the government agencies, speak the language, and have cleared products in your category within the last 12 months. Budget 2x the time you think it will take. If it goes faster, you're ahead. If not, you're prepared.
Mistake #3: Choosing distributors based on size, not capability
Here's how this usually goes: A brand enters Thailand and partners with the largest FMCG distributor they can find. Big warehouses, national coverage, established retail relationships. Looks perfect on paper.
Six months later, the brand is sitting in warehouses. Why? Because that distributor handles 200+ SKUs, and your brand is bottom priority. Their sales team doesn't understand your product, can't articulate your value proposition, and has no incentive to push a new brand when they have established winners.
Distribution is not about scale—it's about focus and incentive alignment. A smaller distributor with 20 brands and skin in the game will outperform a national giant where you're SKU #187.
The fix: Prioritize distributors who are incentivized to make you succeed. Look for partners with complementary portfolios (not competitive products), demonstrated ability to launch new brands, and a sales force that actually visits retail outlets. Check references from other international brands they've launched—not just their roster size.
The common thread: Rushing without local intelligence
All three mistakes stem from the same root cause: brands treating market entry as a checklist rather than a learning process. They want speed over understanding. They replicate what worked in their home market instead of building strategies around local realities.
The brands that succeed in Southeast Asia do three things differently:
- They move slow to move fast: Spend the first 90 days learning before committing capital. Talk to competitors, visit retail outlets, understand the regulatory path.
- They hire local expertise early: Not just consultants—actual operators who have built distribution networks, navigated customs, and launched products in your category.
- They accept market-specific strategies: Stop trying to force global playbooks onto local markets. Build from the ground up.
Southeast Asia is one of the highest-growth regions in the world. But it's not easy. The brands winning here are the ones who respect the complexity, invest in understanding before executing, and build strategies around reality—not wishful thinking.