Retailing in the Philippines

8/18/2019 Retailing in the Philippines

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RETAILING IN THE PHILIPPINES

Euromonitor International

January 2016


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R E T A I L I N G I N T H E P H I L I P P I N E S P a s s p o r t I

© E u r o m o n i t o r I n t e r n a t i o n a l

LIST OF CONTENTS AND TABLES

Executive Summary ................................................................................................................ ..... 1

Improvement of the Country’s Economic Conditions Continues To Benefit Retailing ............... 1 Grocery Retailers Continues To Dominate the Country’s Retail Landscape ............................. 1 Major Retailers Acquire A Number of Small and Single-propriety Businesses ......................... 1 Foreign Brands Continue To Penetrate the Local Retail Landscape ........................................ 1 Great Opportunity for Retailing To Prosper in the Coming Years Is Predicted ......................... 1

Key Trends and Developments .................................................................................... ................ 2

the Philippines’ Economy Continues To Perform Well Despite Lower GDP Figure Than

Previous Year ..................................................... ................................................................. ..... 2 Major Retailers Make More Acquisitions of Smaller Brands To Minimise Competition and

Achieve Dominance ....................................................... ........................................................... 3 the Number of Foreign Brands Continues To Rise Due To the Growing Needs and Interests of

Filipino Consumers .............................................................................................................. ..... 3

Operating Environment................................................................................................. ................ 4 Informal Retailing ........................................................... ........................................................... 4 Opening Hours.......................................................................................................................... 5

Summary 1 STANDARD Opening Hours by Channel Type 2015.................................... 5

Physical Retail Landscape ........................................................ ................................................ 5 Cash and Carry......................................................................................................................... 6 Seasonality ......................................................... ................................................................. ..... 6 Payments and Delivery ............................................................. ................................................ 7 Emerging Business Models ................................................................................................ ...... 7

Market Data ............................................................ ................................................................. ..... 7

Table 1 Sales in Retailing by Store-based vs Non-Store: Value 2010-2015 ............. 7

Table 2 Sales in Retailing by Store-based vs Non-Store: % Value Growth2010-2015 ............................................................... ..................................... 8

Table 3 Sales in Store-based Retailing by Channel: Value 2010-2015 ..................... 8 Table 4 Store-based Retailing Outlets by Channel: Units 2010-2015 ....................... 8 Table 5 Sales in Store-based Retailing by Channel: % Value Growth 2010-

2015 ............................................................. ................................................ 8 Table 6 Store-based Retailing Outlets by Channel: % Unit Growth 2010-2015 ........ 9 Table 7 Sales in Non-Store Retailing by Channel: Value 2010-2015 ........................ 9 Table 8 Sales in Non-Store Retailing by Channel: % Value Growth 2010-2015 ....... 9 Table 9 Non-Grocery Specialists: Value Sales, Outlets and Selling Space

2010-2015 ............................................................... ................................... 10 Table 10 Sales in Non-Grocery Specialists by Channel: Value 2010-2015 ............... 10

Table 11 Non-Grocery Specialists Outlets by Channel: Units 2010-2015 ................. 10 Table 12 Sales in Non-Grocery Specialists by Channel: % Value Growth 2010-

2015 ............................................................. .............................................. 11 Table 13 Non-Grocery Specialists Outlets by Channel: % Unit Growth 2010-

2015 ............................................................. .............................................. 11 Table 14 Retailing GBO Company Shares: % Value 2011-2015 .............................. 11 Table 15 Retailing GBN Brand Shares: % Value 2012-2015 .................................... 12 Table 16 Store-based Retailing GBO Company Shares: % Value 2011-2015 .......... 12 Table 17 Store-based Retailing GBN Brand Shares: % Value 2012-2015 ................ 13 Table 18 Store-based Retailing LBN Brand Shares: Outlets 2012-2015 ................... 14


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R E T A I L I N G I N T H E P H I L I P P I N E S P a s s p o r t I I


Table 19 Non-Store Retailing GBO Company Shares: % Value 2011-2015 ............. 14 Table 20 Non-Store Retailing GBN Brand Shares: % Value 2012-2015 ................... 15 Table 21 Non-Grocery Specialists GBO Company Shares: % Value 2011-2015 ...... 15 Table 22 Non-Grocery Specialists GBN Brand Shares: % Value 2012-2015 ............ 16

Table 23 Non-Grocery Specialists LBN Brand Shares: Outlets 2012-2015 ........... ... 16 Table 24 Non-Grocery Specialists LBN Brand Shares: Selling Space 2012-

2015 ............................................................. .............................................. 17 Table 25 Forecast Sales in Retailing by Store-based vs Non-Store: Value

2015-2020 ............................................................... ................................... 18 Table 26 Forecast Sales in Retailing by Store-based vs Non-Store: % Value

Growth 2015-2020 .................................................................................. ... 18 Table 27 Forecast Sales in Store-based Retailing by Channel: Value 2015-

2020 ............................................................. .............................................. 18 Table 28 Forecast Store-based Retailing Outlets by Channel: Units 2015-2020 ...... 19 Table 29 Forecast Sales in Store-based Retailing by Channel: % Value Growth

2015-2020 ............................................................... ................................... 19

Table 30 Forecast Store-Based Retailing Outlets by Channel: % Unit Growth2015-2020 ............................................................... ................................... 19

Table 31 Forecast Sales in Non-Store Retailing by Channel: Value 2015-2020 ....... 20 Table 32 Forecast Sales in Non-Store Retailing by Channel: % Value Growth

2015-2020 ............................................................... ................................... 20 Table 33 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling

Space 2015-2020 ....................................................................................... 20 Table 34 Forecast Sales in Non-Grocery Specialists by Channel: Value 2015-

2020 ............................................................. .............................................. 21 Table 35 Forecast Non-Grocery Specialists Outlets by Channel: Units 2015-

2020 ............................................................. .............................................. 21 Table 36 Forecast Sales in Non-Grocery Specialists by Channel: % Value

Growth 2015-2020 .................................................................................. ... 21 Table 37 Forecast Non-Grocery Specialists Outlets by Channel: % Unit Growth

2015-2020 ............................................................... ................................... 22

Definitions ............................................................... ................................................................. ... 22 Sources ....................................................... ................................................................. .............. 23

Summary 2 Research Sources ............................................................. ......................... 24


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R E T A I L I N G I N T H E P H I L I P P I N E S P a s s p o r t 1


RETAILING IN THE PHILIPPINES

EXECUTIVE SUMMARY

Improvement of the Country’s Economic Conditions Continues ToBenefit Retailing

The significant growth in the private sector, which includes many businesses operating under

retailing, continued to boost the country’s economy. In addition, remittances from overseas

Filipino workers (OFW), sustained growth of the business process outsourcing (BPO) industry,

and the lower inflation rate resulted in increased purchasing power that encouraged consumers

to buy more often than usual. Due to this, retailers, specifically major ones, decided to further

expand their outlets in order to answer the needs of a wider audience.

Grocery Retailers Continues To Dominate the Country’s RetailLandscape

While significant growth in terms of sales was evident in both grocery and non-grocery

retailing, grocery retailers continued to have a greater impact on the country’s retailing

landscape, primarily because it offers products which are essential to most consumers. The

continued growth of the channel further pushed retailers to develop their current product

portfolios in order to answer the growing and evolving needs of Filipino consumers regarding

food, beauty and personal care, and home care.

Major Retailers Acquire A Number of Small and Single-proprietyBusinesses

The review period witnessed the acquisition of smaller and single-propriety businesses

focusing on groceries, electronics and appliances, and home and garden by major retailers such

as SM Retail Inc, Robinsons Retail Group and Puregold Price Club Inc. This particular move

was carried out in order to minimise, if not eliminate competition with smaller players, especially

in areas where their presence is not yet felt. This is also a way of securing their place in the very

competitive retail landscape of the country.

Foreign Brands Continue To Penetrate the Local Retail Landscape

Because of the strong performance of the country’s economy, the Philippines has become

one of the bright spots within the Asia Pacific Region among foreign or global brands that are

looking for new and dynamic markets to tap into, which can help them grow and strengthen their

brands. Most of these foreign brands, mainly from modern grocery retailers and apparel and

footwear specialists, chose to partner with local distributors in order to take advantage of thelatter’s knowledge of the local retail scene and business networks.

Great Opportunity for Retailing To Prosper in the Coming Years IsPredicted

Retailing in the Philippines is expected to significantly grow alongside the continued

improvement in the economy over the forecast period. The increasing disposable income of

Filipinos will encourage further purchases of products within grocery and non-grocery

categories. The constant exposure to various media sources and overseas travel are also


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expected to further increase sophistication of Filipinos, which will hasten the growth of local and

foreign retail brands already present.

KEY TRENDS AND DEVELOPMENTS

the Philippines’ Economy Continues To Perform Well Despite LowerGDP Figure Than Previous Year

Despite lower-than-expected GDP growth rates recorded during the first and second quarter

of 2015 compared to 2014, because of the sluggish pace of government spending, particularly

the decline in public construction, the country’s economy still managed to perform well. This was

attributed to the notable growth in the private sector, which includes many businesses operating

under retailing. Additionally, the National Economic and Development Authority (Neda) closely

monitored government agencies’ execution of programs to avoid any untoward incidents relating

to budget spending and timeliness of programs that may weaken business sectors’ confidence

in the country’s economy.

The inflation rate in 2015 was also dropped due to lower electricity and fuel costs. This

resulted in decreasing business costs, which benefited consumers as they were offered more

affordable goods and services. The continued rise in remittances from overseas Filipino workers

(OFW) and sustained growth of the business process outsourcing (BPO) industry also resulted

in increased purchasing power among consumers, which drove a number of foreign retailers to

do business in the Philippines.

These positive developments encouraged Filipinos to spend more than ever. Apart from

purchasing basic necessities such as food and clothing, they were also able to splurge on other

items beyond the essentials such as travel, bags, jewellery and gadgets among others.

Retailers, on the other hand, took advantage of the situation by expanding existing brands,

acquiring new brands, and venturing into new endeavours to capture latent markets. Some

retailers that were unable to expand enhanced their current businesses by offering new andexciting products and services that reinforced customers’ loyalty to their brands.

Outlook

In spite of the upcoming transition that will occur after the 2016 presidential elections, the

improvement of the economy is expected to continue over the forecast period. This is due to

the current administration’s efforts that enhanced the Philippines’ standing versus other

countries in the region. Moreover, OFW remittances along with the anticipated rapid growth of

the BPO industry focusing on information technology will continue to help fuel the economy.

Alongside the expected economic growth will be consumers’ increased spending capacity that

will make retailing in the Philippines livelier than ever. The middle class will continue to

expand in size and more consumers will have the capacity to spend on products and services

that are beyond their needs. In addition, retailers, especially the major ones, will continue toexpand their businesses to pursue long-term ambitions. The tight competition that is expected

due to the ASEAN Integration will result in more notable innovations, quality products and

increased productivity as it will allow businesses to compete head on with other players within

the region.

Attention will also be focused on building and developing business in provinces and other

areas within Metro Manila. Many major and community shopping centres will be built, which

will increase the demand for a wider set of products and services that will heighten consumer

consumption in the country. Retailers offering food, apparel and electronics products will


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experience notable growth, as these are the categories that most Filipinos will continue to

spend money on.

Major Retailers Make More Acquisitions of Smaller Brands To Minimise

Competition and Achieve Dominance2015 witnessed the acquisition of smaller and single-propriety businesses by major retailers

such as SM Retail Inc, Robinsons Retail Group and Puregold Price Club Inc. This particular

move was believed to be one of their strategies to minimise, if not eliminate, competition with

smaller players, especially those in provinces where their presence was not particularly

palpable. This was also seen as their way to gain dominance in the categories in which they

operate.

SM Retail Inc acquired the pioneer in the grocery business, Cherry Foodarama in June 2015.

Although it only has several outlets, all of which are located in Metro Manila, it was known to

have a strong following considering that it began operating during the 1950s. Meanwhile,

Puregold was doing well in terms of acquisitions as it absorbed a number of smaller

supermarkets, namely BudgetLane, Parco, Unilane, and Sioland, which are situated in various

locations within Luzon. Unlike SM Retail Inc and Puregold Price Club Inc, Robinsons Retail

Group acquired several brands outside of grocery retailers. 2014 marked its acquisition of A.M.

Builders’ Depot, which is a Visayan-based builders’ hardware chain with 17 outlets. It also

acquired Saver’s Appliance Depot, which has 24 outlets in several North Luzon provinces.

Outlook

More acquisitions and partnerships are expected between major retailers and small

businesses, especially within grocery retailers over the forecast period. These acquisitions will

help them increase their share and lessen the competition with smaller players that perform

well in the provinces or areas that they have limited reach or have not yet penetrated. This will

result in the dominance of companies such as SM Retail Inc., Robinsons Retail Group and

Puregold Price Club Inc, within the Philippines’ retail landscape. However, this will not discourage small businesses from entering into the competition,

considering that there are still a number of untapped markets in the Philippines that major

retailers have not yet reached. As the country is composed of several provinces, which have

their own language and way of life, small businesses, which are usually operated by locals,

will continue to thrive by leveraging on their knowledge of the people and the locality they are

serving.

the Number of Foreign Brands Continues To Rise Due To the GrowingNeeds and Interests of Filipino Consumers

Due to the economy’s strong performance, the Philippines has become one of the bright spots

within the Asia Pacific Region. Moreover, the purchasing power of consumers also increased

significantly. This resulted in the influx of foreign brands; especially from Europe and America

that are looking for new and dynamic markets to tap into, which can help them grow and

strengthen their brands.

These foreign brands, mainly from modern grocery retailers, and apparel and footwear

specialist retailers partnered with local distributors in order to take advantage of the latter’s

knowledge of the local retail scene and business networks. Puregold Price Club rolled out its

launch of Lawson from Japan to compete with convenience store giants such as 7-Eleven and

Ministop. Mid-range and upscale apparel and footwear brands that were launched in 2014 and

2015 were H&M, Old Navy and Ralph Lauren among others.


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Outlook

Over the forecast period, competition between local and foreign brands will tighten, as many

foreign brands will enter the Philippines’ retail scene due to the booming economy. Most of

these retailers are expected to enter the competition by collaborating with local distributors as

a way to ease their entry, while several will prefer to manage their enterprises on their own tohave total control of the business. Foreign brands operating under other categories such as

health and beauty will also experience an increase in numbers due to Filipinos’ growing

interest in health, nutrition and wellness and beauty.

In order to keep up with the competition, local brands, especially those that are independently

managed, will continue to offer new and exciting items and develop dynamic marketing

strategies to protect their share of the market and gain a new following.

OPERATING ENVIRONMENT

Informal Retailing

While the data about informal retailing remains underdeveloped, it continues to increase, as

there is no existing regulation that restricts people from engaging in it. Informal grocery

retailing in the form of sari-sari stores is one that is easy to set up, and therefore, anyone with

even the smallest amount of capital can start one in the comfort of their own home. Despite

the growing economy, many Filipinos still live on a day-to-day basis due to low incomes. They

prefer to buy daily necessities from sari-sari stores that are located within their neighbourhood

because going to the grocery store would require them to spend on transportation. Moreover,

sari-sari stores allow purchases on credit.

Informal non-grocery retailers also exist in the form of media products stores and electronics

and appliance retailers. These stores are often located in nearby public markets or community

shopping centres often sell new and second-hand gadgets. In addition, they also sell mobile

phones and tablet accessories, and provide repair services at a cheaper cost compared tomajor stores and repair centres located in major shopping centres or establishments. Many

Filipinos, especially those from the low-income segment, continued to patronise them as they

continued to provide products and services that they can afford.

There are also a number of people engaged in selling pirated CDs and DVDs at very

affordable prices, which also target low-income consumers who cannot afford to visit cinemas

or buy original CDs and DVDs. However, they are slowly decreasing in number as many

people are gaining access to the internet via computer shops or their own portable internet

devices that allow them to download or stream films, television series and music. The

government’s anti-piracy campaign also helped to discourage people to enter this kind of

business.

The Bureau of Internal Revenue (BIR) continued implementing Regional Memorandum

Circular No. 7 (RMC-07) which they released last February of 2014. The memorandum

ordered all marginal income earners (MIE) including sari-sari stores, carinderia owners and

tricycle drivers to pay income tax from a portion of their income to improve the overall tax

collection in the country. This move was considered by small business owners as worrisome

because it reduces the meagre income that they earn, which they need to support the

business and the needs of their families.


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Opening Hours

Retailers in the Philippines generally follow standard opening hours. However, minimal

variations can be seen depending on the location of the retail store. Stores located in

shopping centres follow their operating hours, which tend to be 10.00-21.00hrs. Operating

hours are extended until 22.00hrs during Fridays, Saturdays and during mall-wide sales,

accommodate the expected large number of consumers who will visit the shopping centre.

On the other hand, stores that operate outside of shopping centres usually open at 8.00 or

9.00hrs and close at 20.00 or 21.00hrs.

Meanwhile, sari-sari stores, which are situated within the vicinity of the owner’s home, have

longer operating hours. They usually open between 6.00-8.00hrs and close between 21.00-

24.00hrs.

Retailers open even on non-working holidays except those with particular religious

importance. Being a predominantly Catholic country, the Philippines observes holidays such

as Holy Week, where retailers generally close towards the latter half of the week. On other

holidays like Christmas for example, retailers usually open but with shorter operating hours to

allow their employees to celebrate the occasion with their families. 24-hour opening remains limited mostly to convenience stores, with some

chemists/pharmacies and drugstores/parapharmacies choosing to venture into this as well.

Mercury Drug, which is the leading drugstore in the Philippines, opened some of its branches

on a 24-hour basis. It is likely that these operating conditions will only be accommodated by

these retail channels over the forecast period.

Summary 1 STANDARD Opening Hours by Channel Type 2015

Channel 24-houropening?

Monday-Thursday

Friday Saturday Sunday

Supermarkets

No 08.00-21.00hrs

08.00-22.00hrs

08.00-22.00hrs

08.00-21.00hrs

Hypermarket No 08.00-21.00hrs

08.00-22.00hrs

08.00-22.00hrs

08.00-21.00hrs

ConvenienceStores

Yes 01:00-24.00hrs

01:00-24.00hrs

01:00-24.00hrs

01:00-24.00hrs

Source: Euromonitor International

Physical Retail Landscape

Many Filipinos find it easy to shop for grocery and non-grocery items due to the proliferation

of major shopping centres and other standalone retail outlets in Metro Manila and other key

cities in the country. While retail giants’ presence in provincial an d rural areas remains limited,

community shopping centres and smaller retail businesses established by locals continue toanswer consumers’ demand for products and services.

Most of these shopping centres and standalone retail outlets are situated in city centres that

people from various locations can easily access via private and public transportation like

tricycle or jeepney. Some stand-alone retail outlets in Metro Manila are even located in highly

populated barangays or neighbourhoods that people can access via foot.

Since there still remain a number of untapped markets, major retailers like SM and Robinsons

focus on expanding in the provinces to provide consumers with a more satisfying retail

experience. Some of them are also venturing into retail formats outside of their existing

portfolios to accelerate the growth of their business and reach out to more consumers. These


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endeavours are made possible as most municipalities in the country welcome the idea of

building shopping centres and other business establishments as it translates to more

opportunities and income for their locality. Furthermore, the presence of shopping centres in

an area hastens the pace of urbanisation that most municipalities want to attain. Retail spaces

are also not difficult to attain since there remains to a vast land reserve, especially in theprovinces.

Shopping centres, which are usually standalone, serve as a one-stop shop offering all the

items and services that consumers need, which makes them the primary destination for

shopping. Hypermarkets also attracts a number of consumers due to its extensive product

offering which covers grocery and non-grocery items.

While retailers catering to various income levels can be found in shopping centres such SM

and Robinsons, luxury retailers are usually found in shopping centres within business districts

in large cities like Metro Manila. Some shopping centres that house luxury retailers include

Shangri-La Mall in Mandaluyong City, Greenbelt in Makati City and Bonifacio Global City in

Taguig.

Cash and Carry

Cash and carry remained negligible in the Philippines’ retail landscape. Due to tough

competition, the then Pilipinas Makro had been converted into SM Hypermarket outlets by SM

Retail Inc. No new cash and carry outlets were launched within the review period.

For Pilipinas Makro, the brand initially began with a membership policy, but in later years

shifted towards the model of discounters to attract more consumers.

The owners of small businesses such as sari-sari stores continued to have many options

beyond cash and carry for their business’ needs. Retailers, particularly the major ones

operating supermarkets and hypermarkets, continued to increase in number making it difficult

for other retail formats to enter into the competition. A number of smaller supermarkets also

attracted consumers as they also offer a variety of goods at very affordable prices.

Seasonality

Christmas

Date: 25 December.

Shopping season: September-December.

Primary products bought: Fresh food for family meals, Christmas-themed apparel and

homeware, and individual gifts for all ages (with an emphasis on toys, games and apparel for

children).

Retailer strategy: Christmas season in the Philippines starts in September and ends in

January. The months prior to the occasion is brimming with mall-wide sales, which attract

many consumers because most of the retail stores offer discounts of up to 50%. The frequent

use of sales that usually last for three days became more widespread over the review period.

Consumers of all ages are targeted; however, children are often the focus when shopping, as

they are the ones who are given the most gifts during this occasion.

Back to School

Date: First or second week of June.

Shopping season: Mid-April to mid-June.

Primary products bought: School supplies and personal accessories and apparel for children

and young adults.


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Retailer strategy: Most retailers usually offer sales or discounts as early as mid-April to mid-

June on items such as school supplies, apparel, bags and shoes. Some shopping centres

implement mall-wide sales during this period to increase footfall and encourage consumers to

buy other items beyond school supplies.

Payments and Delivery

The majority of Filipino consumers still prefer to use cash in their day-to-day purchases and

transactions as there is still a large percentage of the population that is unbanked or

underbanked. However, despite the high-level dependency on cash of most consumers,

cashless transactions are starting to record notable growth, as more Filipinos now understand

the value of using financial cards versus cash. The efficiency and convenience are much

appreciated as it helps them to attain a less complicated and convenient lifestyle. Moreover,

the rewards that accompany using cards can never be matched when they use cash for

payments.

Although mobile payments like Charge2Phone by Smart Money Inc., Citi Philippines and Visa

are already available, it has yet to pick up. Most consumers who are aware of variouspayment methods prefer to use their cards when transacting and purchasing because of the

attractive rewards or benefits that they receive from banks and issuers.

The shipping infrastructure in the Philippines is dominated by private companies such as LBC,

2GO, Air21 and JRS Express. Most people prefer them, as their branches are more

accessible as they can be found in most shopping centres or other public places. Like

PHLPost, these private courier services also offer a reliable and fast delivery service within

the country.

The primary method of payment preferred by most when doing home or online shopping is

still cash on delivery (COD) as there are still a number of Filipinos that do not have a credit

card. Some also remain sceptical about online payments as it may expose them to card-

related fraud. Cash on delivery (COD) payment is expected to decline in the coming years as

more and more consumers now welcome the use of credit cards and other financial cards onmost of their purchases whether in-store or online.

Emerging Business Models

The digital pop-up store launched by Zalora is one of the new business models that gained

attention in 2015. Fanatics of online shopping were especially elated as they get to visit an

actual store of Zalora where they can personally check and fit the items prior to purchase.

Although it is seen as an effective marketing tool to promote online shopping, the digital pop-

up store is believed to have limited potential. The length of operation, which lasts for

approximately three months per location, may not be enough to generate a decent number of

new customers and significantly increase sales. Moreover, the stores are located in high-class

shopping centres that are accessible only to a small proportion of affluent consumers. Beinglocated in shopping centres also exposes the pop-up stores to competition from other brands,

especially those that offer a wider selection of fashionable goods or items.

MARKET DATA

Table 1 Sales in Retailing by Store-based vs Non-Store: Value 2010-2015

PHP bn2010 2011 2012 2013 2014 2015


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Store-based Retailing 2,421.0 2,528.8 2,704.5 2,858.3 3,002.4 3,182.7Non-Store Retailing 55.0 58.8 64.1 67.9 72.1 76.4Retailing 2,475.9 2,587.6 2,768.6 2,926.2 3,074.5 3,259.1

Source: Euromonitor International from official statistics, trade associations, trade press, company research,

trade interviews, trade sources

Table 2 Sales in Retailing by Store-based vs Non-Store: % Value Growth 2010-2015

% current value growth, retail value rsp excl sales tax

2014/15 2010-15 CAGR 2010/15 Total

Store-based Retailing 6.0 5.6 31.5Non-Store Retailing 5.9 6.8 39.0Retailing 6.0 5.7 31.6



Table 3 Sales in Store-based Retailing by Channel: Value 2010-2015

PHP bn2010 2011 2012 2013 2014 2015

Grocery Retailers 1,489.6 1,556.2 1,665.8 1,754.0 1,841.4 1,962.7Non-Grocery Specialists 787.9 818.8 870.0 922.2 968.5 1,015.1Mixed Retailers 143.4 153.8 168.7 182.0 192.4 204.9Luxury Retailing - - - 5.8 6.3 6.9Store-based Retailing 2,421.0 2,528.8 2,704.5 2,858.3 3,002.4 3,182.7


trade interviews, trade sourcesNote: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is a

duplicate category already accounted for within non-grocery specialists and mixed retailers.

Table 4 Store-based Retailing Outlets by Channel: Units 2010-2015

'000 outlets2010 2011 2012 2013 2014 2015

Grocery Retailers 772.8 780.7 788.6 796.3 803.3 809.8Non-Grocery Specialists 115.9 116.8 117.3 117.9 118.8 119.8Mixed Retailers 0.4 0.4 0.4 0.4 0.5 0.5Luxury Retailing - - - 0.1 0.1 0.1

Store-based Retailing 889.1 897.9 906.3 914.7 922.5 930.2Source: Euromonitor International from official statistics, trade associations, trade press, company research,



Table 5 Sales in Store-based Retailing by Channel: % Value Growth 2010-2015


2014/15 2010-15 CAGR 2010/15 Total


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Grocery Retailers 6.6 5.7 31.8Non-Grocery Specialists 4.8 5.2 28.8Mixed Retailers 6.5 7.4 42.9Luxury Retailing 9.0 - -

Store-based Retailing 6.0 5.6 31.5Source: Euromonitor International from official statistics, trade associations, trade press, company research,



Table 6 Store-based Retailing Outlets by Channel: % Unit Growth 2010-2015

% unit growth2014/15 2010-15 CAGR 2010/15 Total

Grocery Retailers 0.8 0.9 4.8Non-Grocery Specialists 0.9 0.7 3.4

Mixed Retailers 3.6 6.5 36.8Luxury Retailing 0.0 - -Store-based Retailing 0.8 0.9 4.6

Source: Euromonitor International from official statistics, trade associations, trade press, company research,trade interviews, trade sources

Note: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is aduplicate category already accounted for within non-grocery specialists and mixed retailers.

Table 7 Sales in Non-Store Retailing by Channel: Value 2010-2015

PHP bn2010 2011 2012 2013 2014 2015

Direct Selling 47.1 50.4 53.8 55.9 57.9 60.4Homeshopping 0.2 0.2 0.2 0.2 0.2 0.2Internet Retailing 7.5 8.1 10.0 11.8 13.9 15.7Vending 0.2 0.1 0.1 0.1 0.1 0.1Internet Pure Play 6.0 6.2 9.3 11.1 13.4 15.3

RetailersMobile Internet Retailing - 0.0 0.1 0.2 0.4 0.6Non-Store Retailing 55.0 58.8 64.1 67.9 72.1 76.4


Note 1: Vending data captures vending systems installed in public and semi-captive environments only. Forfurther details refer to definitions.

Note 2: Mobile internet retailing and internet pure play retailers not included in non-store retailing total to avoiddouble counting as these categories are already accounted for within internet retailing.

Table 8 Sales in Non-Store Retailing by Channel: % Value Growth 2010-2015


2014/15 2010-15 CAGR 2010/15 Total

Direct Selling 4.3 5.1 28.2Homeshopping 7.3 -2.4 -11.5Internet Retailing 12.9 16.0 110.2Vending -3.9 -13.1 -50.5


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Internet Pure Play Retailers 14.1 20.5 154.3Mobile Internet Retailing 50.5 - -Non-Store Retailing 5.9 6.8 39.0


Note 1: Vending data captures vending systems installed in public and semi-captive environments only. Forfurther details refer to definitions.


Table 9 Non-Grocery Specialists: Value Sales, Outlets and Selling Space 2010-2015

2010 2011 2012 2013 2014 2015

Value sales PHP bn 787.9 818.8 870.0 922.2 968.5 1,015.1Outlets '000 115.9 116.8 117.3 117.9 118.8 119.8Selling Space mn sq m 12.9 13.0 13.2 13.3 13.4 13.6



Table 10 Sales in Non-Grocery Specialists by Channel: Value 2010-2015

PHP bn2010 2011 2012 2013 2014 2015

Apparel and Footwear 89.2 92.0 101.1 106.0 112.2 117.5Specialist Retailers

Electronics and 131.3 137.7 146.0 156.5 159.5 169.4 Appliance SpecialistRetailers

Health and Beauty 160.8 167.6 177.2 188.7 198.2 209.1

Specialist RetailersHome and Garden 158.7 164.4 175.1 185.9 198.1 206.4

Specialist RetailersLeisure and Personal 102.7 106.8 112.6 119.6 126.5 132.3

Goods SpecialistRetailers

Other Non-Grocery 145.3 150.4 157.9 165.5 173.9 180.4Specialists

Non-Grocery Specialists 787.9 818.8 870.0 922.2 968.5 1,015.1


Table 11 Non-Grocery Specialists Outlets by Channel: Units 2010-2015

'000 outlets2010 2011 2012 2013 2014 2015



Health and Beauty 10.8 11.6 12.2 12.7 13.3 13.9Specialist Retailers

Home and Garden 9.5 9.5 9.5 9.5 9.5 9.6


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Other Non-Grocery 57.4 57.5 57.2 56.9 56.7 56.6

SpecialistsNon-Grocery Specialists 115.9 116.8 117.3 117.9 118.8 119.8


Table 12 Sales in Non-Grocery Specialists by Channel: % Value Growth 2010-2015


2014/15 2010-15 CAGR 2010/15 Total

Apparel and Footwear Specialist 4.7 5.7 31.8Retailers

Electronics and Appliance Specialist 6.2 5.2 29.0Retailers

Health and Beauty Specialist Retailers 5.5 5.4 30.0Home and Garden Specialist Retailers 4.2 5.4 30.1Leisure and Personal Goods Specialist 4.6 5.2 28.8

RetailersOther Non-Grocery Specialists 3.7 4.4 24.2Non-Grocery Specialists 4.8 5.2 28.8


Table 13 Non-Grocery Specialists Outlets by Channel: % Unit Growth 2010-2015





RetailersOther Non-Grocery Specialists -0.2 -0.3 -1.5Non-Grocery Specialists 0.9 0.7 3.4


Table 14 Retailing GBO Company Shares: % Value 2011-2015

% retail value rsp excl sales taxCompany 2011 2012 2013 2014 2015

SM Retail Inc 6.7 6.9 7.0 7.3 7.5Mercury Drug Corp 3.0 3.0 3.0 3.0 3.0Puregold Price Club Inc 1.5 2.0 2.5 2.7 2.7


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JG Summit Holdings Inc 1.6 1.9 2.0 2.3 2.3Rustan Group of Cos 1.1 1.1 1.1 1.4 1.4Seven & I Holdings Co Ltd 0.3 0.4 0.5 0.6 0.7 Avon Products Inc 0.6 0.6 0.6 0.6 0.7Hutchison Whampoa Ltd 0.5 0.6 0.6 0.6 0.6

Metro Retail Stores Group 0.4 0.4 0.4 0.4 0.5Gaisano Grand Group of 0.5 0.5 0.4 0.4 0.4

Cos Ace Hardware Corp 0.4 0.4 0.4 0.4 0.4New City Commercial Corp 0.1 0.2 0.2 0.3 0.3Gaisano Capital Group 0.3 0.3 0.3 0.3 0.3 Abenson Inc 0.3 0.3 0.3 0.3 0.3Viscal Development Corp 0.1 0.1 0.2 0.2 0.3 AEON Group 0.2 0.2 0.2 0.2 0.2San Miguel Corp 0.2 0.2 0.2 0.2 0.2Prince Warehouse Club Inc 0.1 0.1 0.1 0.2 0.2Rose Pharmacy Inc 0.2 0.2 0.2 0.2 0.2National Book Store Inc 0.2 0.2 0.2 0.2 0.2PSMT Phils Inc 0.3 - - - -South Star Drug Inc 0.2 - - - -Others 81.3 80.5 79.5 78.1 77.5Total 100.0 100.0 100.0 100.0 100.0


Table 15 Retailing GBN Brand Shares: % Value 2012-2015

% retail value rsp excl sales taxBrand Company (GBO) 2012 2013 2014 2015

SM Department Store SM Retail Inc 2.5 2.5 2.5 2.5Puregold Puregold Price Club Inc 1.7 2.1 2.3 2.3

Mercury Self-Serve Mercury Drug Corp 2.3 2.3 2.3 2.3Robinsons JG Summit Holdings Inc 1.6 1.6 1.8 1.9SM Supermarket SM Retail Inc 1.6 1.6 1.7 1.9Rustan Rustan Group of Cos 1.0 1.0 1.2 1.2SM Hypermarket SM Retail Inc 1.0 1.0 1.0 1.0Save More Supermarket SM Retail Inc 0.7 0.7 0.8 0.97-Eleven Seven & I Holdings Co Ltd 0.4 0.5 0.6 0.7Mercury Drug Mercury Drug Corp 0.7 0.7 0.7 0.7 Avon Avon Products Inc 0.6 0.6 0.6 0.7Watson's Hutchison Whampoa Ltd 0.6 0.6 0.6 0.6SM Appliance SM Retail Inc 0.5 0.5 0.5 0.5SM SM Retail Inc 0.4 0.5 0.5 0.5Gaisano Grand Mall Gaisano Grand Group of Cos 0.5 0.4 0.4 0.4 Ace Ace Hardware Corp 0.4 0.4 0.4 0.4

S&R Membership Puregold Price Club Inc 0.3 0.4 0.4 0.4ShoppingMetro Supermarket Metro Retail Stores Group 0.3 0.3 0.3 0.3NCCC New City Commercial Corp 0.2 0.2 0.3 0.3Gaisano Capital Gaisano Capital Group 0.3 0.3 0.3 0.3Others 82.7 81.8 80.7 80.1Total 100.0 100.0 100.0 100.0


Table 16 Store-based Retailing GBO Company Shares: % Value 2011-2015


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SM Retail Inc 6.8 7.1 7.2 7.5 7.7

Mercury Drug Corp 3.1 3.1 3.1 3.1 3.1Puregold Price Club Inc 1.5 2.1 2.5 2.7 2.8JG Summit Holdings Inc 1.7 2.0 2.1 2.3 2.4Rustan Group of Cos 1.2 1.2 1.1 1.4 1.5Seven & I Holdings Co Ltd 0.3 0.4 0.5 0.6 0.7Hutchison Whampoa Ltd 0.6 0.6 0.6 0.6 0.6Metro Retail Stores Group 0.4 0.4 0.4 0.4 0.5Gaisano Grand Group of 0.5 0.5 0.4 0.4 0.4

Cos Ace Hardware Corp 0.4 0.4 0.4 0.4 0.4New City Commercial Corp 0.1 0.2 0.2 0.3 0.3Gaisano Capital Group 0.3 0.3 0.3 0.3 0.3 Abenson Inc 0.3 0.3 0.3 0.3 0.3Viscal Development Corp 0.1 0.1 0.2 0.3 0.3

AEON Group 0.2 0.2 0.2 0.2 0.2San Miguel Corp 0.2 0.2 0.2 0.2 0.2Prince Warehouse Club Inc 0.1 0.1 0.1 0.2 0.2Rose Pharmacy Inc 0.2 0.2 0.2 0.2 0.2National Book Store Inc 0.2 0.2 0.2 0.2 0.2Goldilocks Bake Shop Inc 0.2 0.2 0.2 0.2 0.2PSMT Phils Inc 0.3 - - - -South Star Drug Inc 0.2 - - - -Others 81.4 80.5 79.5 78.1 77.4Total 100.0 100.0 100.0 100.0 100.0


Table 17 Store-based Retailing GBN Brand Shares: % Value 2012-2015


SM Department Store SM Retail Inc 2.6 2.6 2.5 2.6Puregold Puregold Price Club Inc 1.8 2.2 2.3 2.4Mercury Self-Serve Mercury Drug Corp 2.3 2.4 2.4 2.4Robinsons JG Summit Holdings Inc 1.6 1.6 1.9 2.0SM Supermarket SM Retail Inc 1.6 1.6 1.7 1.9Rustan Rustan Group of Cos 1.0 1.0 1.2 1.3SM Hypermarket SM Retail Inc 1.0 1.0 1.1 1.0Save More Supermarket SM Retail Inc 0.7 0.7 0.8 0.97-Eleven Seven & I Holdings Co Ltd 0.4 0.5 0.6 0.7

Mercury Drug Mercury Drug Corp 0.7 0.7 0.7 0.7Watson's Hutchison Whampoa Ltd 0.6 0.6 0.6 0.6SM Appliance SM Retail Inc 0.5 0.5 0.5 0.5SM SM Retail Inc 0.5 0.5 0.5 0.5Gaisano Grand Mall Gaisano Grand Group of Cos 0.5 0.4 0.4 0.4 Ace Ace Hardware Corp 0.4 0.4 0.4 0.4S&R Membership Puregold Price Club Inc 0.3 0.4 0.4 0.4

ShoppingMetro Supermarket Metro Retail Stores Group 0.3 0.3 0.3 0.3NCCC New City Commercial Corp 0.2 0.2 0.3 0.3Gaisano Capital Gaisano Capital Group 0.3 0.3 0.3 0.3 Abenson Abenson Inc 0.3 0.3 0.3 0.3Others 82.6 81.7 80.6 80.0


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Total 100.0 100.0 100.0 100.0


Table 18 Store-based Retailing LBN Brand Shares: Outlets 2012-2015

sites/outletsBrand (GBO) Company (NBO) 2012 2013 2014 2015

Generics Pharmacy Generics Pharmacy 1,455 1,665 1,880 2,000Franchising Corp

7-Eleven (Seven & I Philippine Seven Corp 829 1,009 1,282 1,562Holdings Co Ltd)

Hapinoy Microventures Inc 780 887 990 997Mercury Self-Serve Mercury Drug Corp 612 640 665 680Ministop (AEON Group) Robinsons Retail Group 336 386 450 520Watson's (Hutchison Watson's Personal Care 315 358 402 430

Whampoa Ltd) Store Philippines IncSouth Star Drug (JG Robinsons Retail Group 218 239 320 360

Summit Holdings Inc)Goldilocks Goldilocks Bake Shop Inc 282 290 300 315Monterey Meatshop Monterey Foods Corp 243 268 275 285

(San Miguel Corp)Mercury Drug Mercury Drug Corp 236 250 265 280Bench Suyen Corp 220 245 252 265Puregold Puregold Price Club Inc 131 205 235 251Robinsons (JG Robinsons Retail Group 148 171 205 233

Summit Holdings Inc)Rose Pharmacy Rose Pharmacy Inc 182 192 203 219National Book Store National Book Store Inc 150 155 160 167Penshoppe Golden ABC Inc 155 157 124 139Save More Supermarket SM Retail Inc 82 93 113 123

Handyman Do It Best Robinsons Retail Group 95 100 108 113(JG Summit HoldingsInc)

Abenson (Abenson Inc) Abenson Ventures Inc 85 85 87 89LCC Liberty Commerical 53 60 68 74

Center IncOthers Others 899,645 907,199 914,139 921,058Total Total 906,252 914,654 922,523 930,160


Table 19 Non-Store Retailing GBO Company Shares: % Value 2011-2015


Avon Products Inc 27.9 27.4 27.4 27.7 28.1Rocket Internet GmbH - 2.5 3.1 5.0 7.0Tupperware Brands Corp 5.1 5.1 5.3 5.5 5.6Mary Kay Inc 2.0 2.0 2.0 2.0 2.0Shoecat Inc 1.7 1.7 1.7 1.8 1.8Nu Skin Enterprises Inc 1.7 1.7 1.7 1.7 1.7Herbalife Ltd 1.1 1.0 1.1 1.1 1.1USANA Health Sciences Inc 1.0 1.0 1.0 1.1 1.1Ever Bilena Cosmetics Inc 0.8 0.8 0.9 0.9 1.0


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Amway Corp 0.8 0.8 0.7 0.7 0.7Forever Living Products 0.7 0.6 0.6 0.5 0.5

International LLC Amazon.com Inc 0.5 0.4 0.4 0.4 0.4 Ayala Corp 0.3 0.3 0.3 0.3 0.4

Splash Corp 0.1 0.5 0.6 0.3 0.3eBay Inc 0.2 0.2 0.2 0.2 0.2Homeshopping Network Inc 0.2 0.2 0.2 0.2 0.2Others 55.9 53.8 52.8 50.7 48.1Total 100.0 100.0 100.0 100.0 100.0


Note: Vending data captures vending systems installed in public and semi-captive environments only. Forfurther details refer to definitions.

Table 20 Non-Store Retailing GBN Brand Shares: % Value 2012-2015

% retail value rsp excl sales tax

Brand Company (GBO) 2012 2013 2014 2015

Avon Avon Products Inc 27.4 27.4 27.7 28.13rd Party Merchants Rocket Internet GmbH - 0.1 2.6 5.4Mary Kay Mary Kay Inc 2.0 2.0 2.0 2.0Natasha Shoecat Inc 1.7 1.7 1.8 1.8Tupperware Tupperware Brands Corp 1.7 1.7 1.8 1.8Nutrimetics Tupperware Brands Corp 1.6 1.7 1.7 1.8Nu Skin Nu Skin Enterprises Inc 1.7 1.7 1.7 1.7Herbalife Herbalife Ltd 1.0 1.1 1.1 1.1USANA USANA Health Sciences Inc 1.0 1.0 1.1 1.1Ever Bilena Ever Bilena Cosmetics Inc 0.8 0.9 0.9 1.0Zalora Rocket Internet GmbH 1.3 1.7 1.1 0.8lazada Rocket Internet GmbH 1.2 1.3 1.3 0.7

Amway Amway Corp 0.8 0.7 0.7 0.7Forever Living Forever Living Products 0.6 0.6 0.5 0.5International LLC

myRegalo Ayala Corp 0.3 0.3 0.3 0.4Splash Splash Corp 0.5 0.6 0.3 0.33rd Party Merchants Amazon.com Inc 0.2 0.2 0.2 0.2eBay eBay Inc 0.2 0.2 0.2 0.2Shop TV Homeshopping Network Inc 0.2 0.2 0.2 0.2 Amazon Amazon.com Inc 0.2 0.2 0.2 0.1Others 55.6 54.7 52.7 50.1Total 100.0 100.0 100.0 100.0


Note: Vending data captures vending systems installed in public and semi-captive environments only. Forfurther details refer to definitions.

Table 21 Non-Grocery Specialists GBO Company Shares: % Value 2011-2015


Mercury Drug Corp 9.5 9.5 9.6 9.6 9.6SM Retail Inc 3.1 3.5 3.7 3.8 3.9Hutchison Whampoa Ltd 1.7 1.8 1.8 1.9 2.0JG Summit Holdings Inc 0.8 1.5 1.6 1.7 1.7 Ace Hardware Corp 1.2 1.2 1.3 1.4 1.4


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Abenson Inc 0.9 1.0 1.0 1.0 0.9Rose Pharmacy Inc 0.6 0.6 0.6 0.6 0.7National Book Store Inc 0.6 0.6 0.6 0.6 0.6 Automatic Appliances Inc 0.6 0.6 0.6 0.6 0.5Golden ABC Inc 0.5 0.5 0.5 0.4 0.5

Fast Retailing Co Ltd - 0.0 0.2 0.3 0.4Semicon Inc 0.4 0.4 0.4 0.4 0.4Suyen Corp 0.2 0.3 0.3 0.3 0.4Generics Pharmacy 0.2 0.2 0.2 0.3 0.3

Franchising CorpHBC Inc 0.2 0.2 0.2 0.2 0.2Western Marketing Corp 0.2 0.2 0.2 0.1 0.2True Value Hardware Corp 0.1 0.1 0.1 0.2 0.2Toys "R" Us Inc 0.1 0.1 0.1 0.1 0.2adidas Group 0.1 0.1 0.1 0.1 0.2Nike Inc 0.1 0.1 0.1 0.1 0.2South Star Drug Inc 0.6 - - - -Others 78.4 77.6 76.8 76.1 75.9Total 100.0 100.0 100.0 100.0 100.0


Table 22 Non-Grocery Specialists GBN Brand Shares: % Value 2012-2015


Mercury Self-Serve Mercury Drug Corp 7.3 7.4 7.4 7.4Mercury Drug Mercury Drug Corp 2.2 2.2 2.2 2.2Watson's Hutchison Whampoa Ltd 1.8 1.8 1.9 2.0SM Appliance SM Retail Inc 1.5 1.6 1.6 1.6SM SM Retail Inc 1.4 1.5 1.5 1.5

Ace Ace Hardware Corp 1.2 1.3 1.4 1.4 Abenson Abenson Inc 1.0 1.0 1.0 0.9South Star Drug JG Summit Holdings Inc 0.7 0.7 0.7 0.7Rose Pharmacy Rose Pharmacy Inc 0.6 0.6 0.6 0.7Handyman Do It Best JG Summit Holdings Inc 0.6 0.6 0.6 0.6National Book Store National Book Store Inc 0.6 0.6 0.6 0.6Our Home SM Retail Inc 0.4 0.4 0.5 0.6Uniqlo Fast Retailing Co Ltd 0.0 0.2 0.3 0.4Semicon Semicon Inc 0.4 0.4 0.4 0.4Bench Suyen Corp 0.3 0.3 0.3 0.4Robinsons JG Summit Holdings Inc 0.3 0.3 0.3 0.4 Automatic Centre Automatic Appliances Inc 0.3 0.3 0.3 0.3Blims Fine Furniture Automatic Appliances Inc 0.3 0.3 0.3 0.3Generics Pharmacy Generics Pharmacy 0.2 0.2 0.3 0.3

Franchising CorpPenshoppe Golden ABC Inc 0.2 0.2 0.2 0.2Others 78.9 78.1 77.5 77.4Total 100.0 100.0 100.0 100.0


Table 23 Non-Grocery Specialists LBN Brand Shares: Outlets 2012-2015

sites/outletsBrand (GBO) Company (NBO) 2012 2013 2014 2015


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Generics Pharmacy Generics Pharmacy 1,455 1,665 1,880 2,000Franchising Corp

Mercury Self-Serve Mercury Drug Corp 612 640 665 680Watson's (Hutchison Watson's Personal Care 315 358 402 430

Whampoa Ltd) Store Philippines IncSouth Star Drug (JG Robinsons Retail Group 218 239 320 360

Summit Holdings Inc)Mercury Drug Mercury Drug Corp 236 250 265 280Bench Suyen Corp 220 245 252 265Rose Pharmacy Rose Pharmacy Inc 182 192 203 219HBC HBC Inc 188 188 188 180National Book Store National Book Store Inc 150 155 160 167Penshoppe Golden ABC Inc 155 157 124 139Rusty Lopez Rusty Lopez Enterprises 113 110 107 118

IncHandyman Do It Best Robinsons Retail Group 95 100 108 113

(JG Summit HoldingsInc)

Abenson (Abenson Inc) Abenson Ventures Inc 85 85 87 89Oxygen Golden ABC Inc 65 65 78 85SM Appliance (SM Star Appliance Center Inc 63 67 71 73

Retail Inc) Ace Hardware (Ace Ace Hardware 53 60 64 65

Hardware Corp) Philippines IncRobinsons (JG Robinsons Retail Group 40 42 52 62

Summit Holdings Inc)Expressions Expressions Stationery 45 45 49 54

Shop IncSportshouse Sportshouse 40 46 50 53

International Leisure IncSM Homeworld (SM Homeworld Shopping Corp 47 50 51 51

Retail Inc)Others Others 112,878 113,181 113,606 114,342

Total Total 117,255 117,940 118,782 119,825


Table 24 Non-Grocery Specialists LBN Brand Shares: Selling Space 2012-2015

selling space '000 sq mBrand (GBO) Company (NBO) 2012 2013 2014 2015

Handyman Do It Best Robinsons Retail Group 131.4 138.4 148.8 155.6(JG Summit HoldingsInc)

National Book Store National Book Store Inc 135.7 140.4 148.1 154.6 Ace Hardware (Ace Ace Hardware 99.1 112.2 119.6 121.5Hardware Corp) Philippines Inc

Mercury Self-Serve Mercury Drug Corp 77.7 81.2 84.4 86.3Watson's (Hutchison Watson's Personal Care 62.4 69.8 78.4 83.8

Whampoa Ltd) Store Philippines IncBench Suyen Corp 57.7 64.3 69.4 73.0Generics Pharmacy Generics Pharmacy 40.7 46.6 52.6 56.0

Franchising Corp Abenson (Abenson Inc) Abenson Ventures Inc 45.6 45.6 46.7 47.8SM Appliance (SM Star Appliance Center Inc 40.7 43.3 45.9 47.2

Retail Inc)South Star Drug (JG Robinsons Retail Group 26.0 26.6 32.3 36.3


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Summit Holdings Inc)Mercury Drug Mercury Drug Corp 26.6 28.2 30.0 31.7Uniqlo (Fast Fast Retailing 3.3 6.6 17.6 29.7

Retailing Co Ltd) Philippines IncSM Homeworld (SM Homeworld Shopping Corp 26.5 28.3 28.9 28.9

Retail Inc)Penshoppe Golden ABC Inc 30.4 30.8 25.3 28.4Our Home (SM Retail Casamia Furniture 21.5 23.0 24.2 25.6

Inc) Center IncExpressions Expressions Stationery 20.2 20.3 22.0 24.3

Shop IncRose Pharmacy Rose Pharmacy Inc 20.2 21.3 22.5 24.3Sportshouse Sportshouse 17.4 18.0 19.3 20.5

International Leisure IncRobinsons (JG Robinsons Retail Group 11.8 12.4 15.3 18.2

Summit Holdings Inc)Toby's Quorum International Inc 16.3 17.8 17.8 17.8Others Others 12,253.3 12,337.4 12,395.2 12,481.2Total Total 13,164.7 13,312.5 13,444.4 13,592.7


Table 25 Forecast Sales in Retailing by Store-based vs Non-Store: Value 2015-2020

PHP bn2015 2016 2017 2018 2019 2020

Store-based Retailing 3,182.7 3,321.9 3,460.3 3,603.7 3,752.5 3,908.3Non-Store Retailing 76.4 78.9 81.7 84.3 87.1 89.9Retailing 3,259.1 3,400.8 3,542.0 3,688.0 3,839.7 3,998.2

Source: Euromonitor International from trade associations, trade press, company research, trade interviews,trade sources

Note: Forecast value data in constant terms.

Table 26 Forecast Sales in Retailing by Store-based vs Non-Store: % Value Growth2015-2020

% constant value growth, retail value rsp excl sales tax

2015/2016 2015-20 CAGR 2015/20 TOTAL

Store-based Retailing 4.4 4.2 22.8Non-Store Retailing 3.3 3.3 17.7Retailing 4.3 4.2 22.7

Source: Euromonitor International from trade associations, trade press, company research, trade interviews,trade sourcesNote: Forecast value data in constant terms.

Table 27 Forecast Sales in Store-based Retailing by Channel: Value 2015-2020

PHP bn2015 2016 2017 2018 2019 2020

Grocery Retailers 1,962.7 2,063.3 2,160.6 2,260.4 2,362.4 2,468.6Non-Grocery Specialists 1,015.1 1,041.6 1,070.0 1,099.6 1,131.1 1,164.3


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Mixed Retailers 204.9 217.0 229.6 243.7 259.0 275.5Luxury Retailing 6.9 - - - - -Store-based Retailing 3,182.7 3,321.9 3,460.3 3,603.7 3,752.5 3,908.3


Note 1: Forecast value data in constant terms.Note 2: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is a

duplicate category already accounted for within non-grocery specialists and mixed retailers.Note 3: No forecast data available for luxury retailing.

Table 28 Forecast Store-based Retailing Outlets by Channel: Units 2015-2020

'000 outlets2015 2016 2017 2018 2019 2020

Grocery Retailers 809.8 816.0 821.7 827.1 832.0 836.5Non-Grocery Specialists 119.8 121.4 123.5 125.1 127.4 129.9Mixed Retailers 0.5 0.5 0.5 0.5 0.6 0.6

Luxury Retailing 0.1 - - - - -Store-based Retailing 930.2 937.9 945.8 952.8 960.0 967.0


Note 1: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is aduplicate category already accounted for within non-grocery specialists and mixed retailers.

Note 2: No forecast data available for luxury retailing.

Table 29 Forecast Sales in Store-based Retailing by Channel: % Value Growth 2015-2020


2015/2016 2015-20 CAGR 2015/20 TOTAL

Grocery Retailers 5.1 4.7 25.8Non-Grocery Specialists 2.6 2.8 14.7Mixed Retailers 5.9 6.1 34.5Luxury Retailing - - -Store-based Retailing 4.4 4.2 22.8


Note 1: Forecast value data in constant terms.Note 2: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is a

duplicate category already accounted for within non-grocery specialists and mixed retailers.Note 3: No forecast data available for luxury retailing.

Table 30 Forecast Store-Based Retailing Outlets by Channel: % Unit Growth 2015-2020


Grocery Retailers 0.8 0.7 3.3Non-Grocery Specialists 1.3 1.6 8.4Mixed Retailers 3.1 3.3 17.5Luxury Retailing - - -Store-based Retailing 0.8 0.8 4.0


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Note 1: Luxury retailing not included in store-based retailing total to avoid double counting as luxury retailing is aduplicate category already accounted for within non-grocery specialists and mixed retailers.

Note 2: No forecast data available for luxury retailing.

Table 31 Forecast Sales in Non-Store Retailing by Channel: Value 2015-2020

PHP bn2015 2016 2017 2018 2019 2020

Direct Selling 60.4 61.6 63.1 64.5 65.9 67.5Homeshopping 0.2 0.2 0.2 0.2 0.2 0.2Internet Retailing 15.7 17.0 18.4 19.6 20.9 22.1Vending 0.1 0.1 0.1 0.1 0.1 0.1Internet Pure Play 15.3 - - - - -

RetailersMobile Internet Retailing 0.6 0.9 1.1 1.4 1.7 2.0Non-Store Retailing 76.4 78.9 81.7 84.3 87.1 89.9


Note 1: Forecast value data in constant terms.Note 2: Vending data captures vending systems installed in public and semi-captive environments only. For

further details refer to definitions.Note 3: Mobile internet retailing and internet pure play retailers not included in non-store retailing total to avoid

double counting as these categories are already accounted for within internet retailing.Note 4: No forecast data available for internet pure play retailers.

Table 32 Forecast Sales in Non-Store Retailing by Channel: % Value Growth 2015-2020


2015/2016 2015-20 CAGR 2015/20 TOTAL

Direct Selling 2.0 2.3 11.8Homeshopping 4.8 3.7 19.8Internet Retailing 8.4 7.1 40.7Vending -6.0 -4.0 -18.4Internet Pure Play Retailers - - -Mobile Internet Retailing 35.5 25.9 216.7Non-Store Retailing 3.3 3.3 17.7


Note 1: Forecast value data in constant terms.Note 2: Vending data captures vending systems installed in public and semi-captive environments only. For

further details refer to definitions.


Note 4: No forecast data available for internet pure play retailers.

Table 33 Non-Grocery Specialists Forecasts: Value Sales, Outlets and Selling Space2015-2020

2015 2016 2017 2018 2019 2020

Value sales PHP bn 1,015.1 1,041.6 1,070.0 1,099.6 1,131.1 1,164.3Outlets '000 119.8 121.4 123.5 125.1 127.4 129.9


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Selling Space mn sq m 13.6 13.8 13.9 14.2 14.4 14.6



Table 34 Forecast Sales in Non-Grocery Specialists by Channel: Value 2015-2020

PHP bn2015 2016 2017 2018 2019 2020




Home and Garden 206.4 210.9 216.3 222.4 229.4 237.0



Other Non-Grocery 180.4 183.7 187.7 192.4 198.0 204.5Specialists

Non-Grocery Specialists 1,015.1 1,041.6 1,070.0 1,099.6 1,131.1 1,164.3



Table 35 Forecast Non-Grocery Specialists Outlets by Channel: Units 2015-2020

'000 outlets2015 2016 2017 2018 2019 2020




Home and Garden 9.6 9.6 9.6 9.7 9.8 9.9Specialist Retailers

Leisure and Personal 7.7 7.8 7.9 8.1 8.2 8.4Goods Specialist

RetailersOther Non-Grocery 56.6 56.9 57.5 57.5 58.1 58.7

SpecialistsNon-Grocery Specialists 119.8 121.4 123.5 125.1 127.4 129.9


Table 36 Forecast Sales in Non-Grocery Specialists by Channel: % Value Growth2015-2020


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2015/2016 2015-20 CAGR 2015/20 TOTAL

Apparel and Footwear Specialist 2.8 3.4 18.4

RetailersElectronics and Appliance Specialist 3.5 2.9 15.2

RetailersHealth and Beauty Specialist Retailers 3.0 2.5 13.3Home and Garden Specialist Retailers 2.2 2.8 14.8Leisure and Personal Goods Specialist 2.4 2.7 14.5

RetailersOther Non-Grocery Specialists 1.8 2.5 13.4Non-Grocery Specialists 2.6 2.8 14.7



Table 37 Forecast Non-Grocery Specialists Outlets by Channel: % Unit Growth 2015-2020





Retailers

Other Non-Grocery Specialists 0.5 0.8 3.8Non-Grocery Specialists 1.3 1.6 8.4


DEFINITIONS

This report analyses the market for retailing in Philippines. For the purposes of the study, the

market has been defined as follows:

Store-based retailing

Grocery retailers

Modern grocery retailers Convenience stores

Discounters

Forecourt retailers: chained forecourt retailers; independent forecourt retailers

Hypermarkets

Supermarkets

Traditional grocery retailers

Independent small grocers

Food/drink/tobacco specialists

Other grocery retailers


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Summary 2 Research Sources

Official Sources Bureau of Food & Drugs (BFAD)

Department of Trade & Industry

National Statistics Office, Republic ofPhilippines

Philippine Securities & Exchange Commission

Philippine Star

Trade Associations Association of Filipino Franchisers Inc

Direct Selling Association of the Philippines

Drugstores Association of the Philippines(DSAP)

Pampanga Supermarket & Groceries Association

Philippine Amalgamated Supermarkets Association Inc

Philippine Franchisers Association

Philippine Retailers Association

Trade Press ABS-CBN News

Business Insight Malaya

Business World Online

Manila Bulletin

Manila Times

Philippine Business

Sun Star Cebu Network Online

The Philippine Daily Inquirer

Source: Euromonitor International

Date post:	07-Jul-2018
Category:	Documents
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Retailing in the Philippines

Documents