The latest winner of the series couldn't quite beat X Factor rival Louis Tomlinson with his winner's single When Christmas Comes Around.
The original track was written by Ed Sheeran and Welsh songwriter Amy Wadge and Matt debuted the song after his victory on Sunday night.
The pair previously teamed up on Ed's huge Number 1 hit Thinking Out Loud and give X Factor only its second original winner's song in 13 series.
The song was released for download and to stream on Sunday but for the first time in X Factor history there is no physical release.
One Direction star Louis himself had to settle for second place with debut solo song Just Hold On, a collaboration with Steve Aoki.
Clean Bandit - who like Louis and Matt, appeared on The X Factor final at the weekend - instead took the top spot with Rockabye.
Louis and Matt were 14,000 combined sales behind the leaders (via Official Charts Company), but were at a bit of a disadvantage due to the shift in chart week.
The moving of the charts last year from Sunday to Friday meant that Matt had lost three days worth of sales by the time his single was released after The X Factor final.
His third place debut is up on Louisa Johnson's Number 9 placing last year, but can he go even better and climb to Number 1?
This next week is the race to Christmas Number 1 and Matt - at the time of writing - remains on top on iTunes.
It'll be his first week on sale but there is a LOT of competition, with a number of rival charity singles plus novelty campaigns hoping to beat him to Number 1.
To date, Louisa is the only X Factor winner to have missed the top spot with their debut single.
The official Christmas Number 1 will be revealed next Friday evening.