E-wallet Use Jumps 75% in Sari-Sari Stores, Fueling Digital Transformation - Packworks Report

24 October 2025 Manila, Philippines — Sari-sari stores are rapidly digitalizing their operations, driven by a significant increase in e-wallet use, according to a new report from Filipino tech startup Packworks.

The report used their internal transaction records as the starting point to conduct a direct survey of more than 2,000 sari-sari store owners within Packworks' nationwide network of 300,000+ stores from January to August 2025.

According to the data, half of the store owners surveyed reported a 75% increase in e-wallet usage in their store operations between January and August. The remaining respondents also saw substantial growth: 20% experienced a 100% increase in usage, another 20% saw a 50% increase, and 10% reported a 10% rise.

Store owners largely attribute this growing adoption to increased consumer demand, as their customers are also turning to e-wallets to buy goods, access funds, and settle bills at their local stores. 

“Maraming nang nagpapa-cash-in at cash-out at bumibili gamit ang mga e-wallet. Dahil dumarami, gusto namin masabayan ang pangangailangan nila. Nakakatulong din naman ito sa amin para magkaroon kami ng dagdag kita,” (A lot of our customers are making cash-in and cash-out transactions aside from buying products with e-wallets. Since more customers are using them, we want to keep up with their needs. It also helps us earn a little extra), said Marijane Rea, a sari-sari store owner from Laguna.

Store owners are using e-wallets for a variety of business operations. About 40% use the platforms for in-store payments, 30% for bill payments, and the remaining 30% for cash-in and cash-out transactions.

This digital shift is quickly becoming a critical source of revenue. Around 13% of store owners say their e-wallet earnings equal their revenue from physical goods. Among the rest of the respondents, e-wallets still contribute significantly: 66% say that about 20% of their revenues come from e-wallet use, and the remaining 21% say their e-wallet earnings account for 10% of their total revenue.

GCash and Maya are the widely used e-wallets, with 85% of store owners reporting using GCash for their business transactions and 15% using Maya.

“Bukod sa kita namin sa tindahan, nagkaroon kami ng dagdag kita sa paggamit sa mga e-wallet kasi meron kaming tubo na PHP 10 hanggang PHP 20 sa pag-cash-in at cash-out, o di kaya tuwing nagbabayad ng kuryente, tubig, o internet ang mga customer,” (Besides the income we earn from the store, we also get extra earnings from using e-wallets because we earn a profit of PHP 10 to PHP 20 from cash-in and cash-out transactions, or whenever customers pay for electricity, water, or internet bills), said Rachel Miguel, a store owner from Bacolod. 

To increase their transaction capacity and meet surging customer demand, sari-sari stores are strategically using up to five e-wallet accounts. According to the report, with each account having a monthly limit of PHP 100,000 to PHP 500,000, the combined monthly transaction capacity is up to PHP 3.5 million.

This trend supports the 30% of store owners’ interest in upgrading their e-wallets to business accounts to maintain a higher monthly limit of PHP 1 million.

Data from the Bangko Sentral ng Pilipinas indicated that approximately 57% of total retail transactions were cashless in 2024, highlighting the increasing use of digital payments for everyday purchases and financial transactions.

Packworks Chief Platform Officer Hubert Yap highlights that sari-sari stores are rapidly embracing digital tools such as e-wallets to diversify their services and grow their businesses.

“The surge in e-wallet use proves that sari-sari stores are rapidly evolving into vital digital hubs for their communities. Aside from simply selling 'tingi' physical items, they are now diversifying their product range, offering high-margin, value-added financial services and integrating digital tools such as our app to fundamentally improve their operations and function as near-frictionless nano-banks for the neighborhoods they serve. These findings show that sari-sari stores have been at the forefront leading this digital transformation at the grassroots level,” cited Yap, “And there's an urgent need to support these micro-entrepreneurs with the right fintech to ensure they can fully capitalize on this opportunity, as they often say in sari-stores, a peso saved is a peso earned!” 

For more studies and data trends insights in sari-sari stores, you may visit http://packworks.io/ or Packworks’ Facebook page to learn more.

Mindanao Rising: Tapping Growth Amid Logistics Challenges

Mindanao is rapidly establishing itself as one of the Philippines’ strongest growth centers, opening up new markets for businesses traditionally centered in Metro Manila and Luzon. 

Northern Mindanao has officially crossed the trillion-peso economy mark in 2024, boasting a 6.0% growth rate that exceeds the national average. The region’s 42 ecozones and over 100 active enterprises highlight its growing appeal to investors, while consumer demand is surging – NielsenIQ projects Mindanao as the frontrunner in FMCG growth by 2025.

Yet for businesses outside the region, growth potential alone is not enough. Significant geographical distance, fragmented supply chains, limited visibility, and the need for operational precision make expansion a challenging and daunting task. This creates a crucial gap between opportunity and reality that needs to be bridged by a reliable logistics partner.

"Mindanao’s market offers a massive opportunity, but it has to be earned," said Vin Perez, Ninja Van Philippines Country Head. “Those who can consistently deliver across the region will be the ones to benefit as demand accelerates.”

Coverage to Unlock Growth

Infrastructure investments such as the Davao International Airport and Davao International Container Terminal have created favorable conditions for trade, but a logistical divide remains. Mindanao's varied geography and dispersed population present unique challenges for consistent and comprehensive delivery. 

Only a handful of logistics providers can operate at scale in Mindanao. Ninja Van Philippines is among them, complementing infrastructure developments with a robust multimodal transport system to cover 95% of the region, excluding only Basilan. A combination of dedicated air and land haul services feeds parcels to Mindanao, while a fleet of around 2,500 active riders ensures localized last-mile delivery across communities.

"In a market where speed and reliability are paramount, a logistics partner is more than just a delivery service—they are the competitive advantage businesses need to serve the region and keep pace with its rapid economic growth," Perez noted.

From Visibility to Local Know-How

For businesses managing operations from Metro Manila, distance often means blind spots. Limited visibility, long transit times, multiple handoffs, and inconsistent data can lead to delays, errors, overstocking, or missed sales. 

Ninja Van's advanced end-to-end tracking system addresses this by providing continuous visibility into every stage of the product's journey, giving shippers a single, centralized view of their operations. 

“Transparency empowers businesses to make informed decisions and react quickly to any potential delays, providing a single source of truth for all parcel data,” Perez explains.

But while infrastructure and technology are essential, deep local knowledge is what truly differentiates a logistics partner, especially for last-mile deliveries. Ninja Van riders and operations staff are hired from the communities they serve, giving them a firsthand understanding of the area's geography and cultural nuances. In communities without house numbers or mapped streets, this hyperlocal familiarity becomes crucial in the face of obstacles like weak network signals or incorrect pins.

“Fast delivery, reliable routing, and lower rejection rates all stem from one key differentiator: people on the ground,” notes Perez. “In last-mile logistics, having a local know-how makes all the difference. Our people know which barangay captain to ask, which landmarks matter, and how to adapt when the map does not match reality.”

To scale operations quickly without losing local nuances, Ninja Van also partners with regional service contractors. Ultimately, this combination of advanced visibility and deep local knowledge creates a supply chain that is not only reliable but also adaptable, enabling businesses to maintain operational precision, reduce costs, and ensure a seamless customer experience, which are all crucial for building a strong brand in a new market. 

Sari-sari Stores See Sales Spikes After Record-Breaking Typhoon Season in PHL in 2024 - Packworks Study

3 September 2025 Manila, Philippines — Amidst the damages brought by a record-breaking typhoon season in the Philippines, sari-sari stores exhibited high resilience and a signal source of supply for neighboring communities affected by storms.

This is the latest insight from Filipino tech startup Packworks.io, which analyzed over a million monthly sales transactions from more than 300,000 sari-sari stores nationwide through its business intelligence platform, Sari IQ.

Packworks researched historical data from 2024 on sari-sari stores in some of the hardest-hit areas in the Philippines. Among those measured were Batangas from Region IV-A, Cagayan and Isabela from Region II, and Albay, Camarines Norte, Camarines Sur, and Catanduanes from Region V.

Data reveals that sari-sari stores in these areas saw an overall 27% increase in average daily gross merchandise value (GMV) and a 50% rise in transactions a month after six typhoons hit between October 23 and November 18.

The year 2024 holds the record for the most decommissioned names in a single season since the Philippine Atmospheric, Geophysical, and Astronomical Services Administration (PAGASA) began the current naming scheme in 2001, with eight typhoon names due to the significant damage and destruction they caused.

These sales trends were driven mainly by the provinces located in the Bicol region, which saw a combined 50% spike during a typhoon and a further 26% increase in average daily GMV after a typhoon hit. The Bicol region, located on the southeastern part of Luzon, is one of the first major landmasses to be hit by typhoons entering the Philippine Area of Responsibility (PAR) and often bears the brunt of a typhoon's strength, creating an urgent need for supplies and driving increased demand for essential goods from sari-sari stores. Notably, Camarines Norte saw a staggering 105% increase in the average GMV after a typhoon hit.

“These data findings challenge the common belief that micro businesses are less resilient during bad weather conditions. Through presence and grit, our store owners have figured out how to persevere and even positively thrive amid natural calamities, creating real business value and opportunities while aiding in the community's recovery.” said Packworks Chief Data Officer Andoy Montiel.

Packworks' data also examined buying habits in sari-sari stores during typhoons compared to before they hit in the analyzed areas. Findings reveal that cigarettes and gin were the top-selling items during typhoons, suggesting a continued demand for these discretionary goods even in times of crisis. Gin saw the highest GMV percentage change, with a median increase of 14% among seven affected provinces, while cigarettes followed with a 12% median increase among six provinces. Meanwhile, easy-to-eat items were also top purchases, with powdered coffee recording a midpoint GMV increase of 10% in six provinces and biscuits a 2% GMV median increase in seven provinces.

There were further shifts in the buying trends after a typhoon hit, as communities began their recovery, notably detergent became one of the top-selling items across five provinces with a 7% GMV share, causing a temporary spike in demand for cleaning supplies for typhoon-stricken households. 

"With the uncertainty of climate change, our data analytics asserts the stable role of sari-sari stores as a reliable, responsive, and vital part of the grassroots retail ecosystem during a crisis. True to the idiom: ‘when it rains it pours’ – understanding these just-in-time, on-the-ground realities is key to informing businesses and policymakers with a prepared plan and help realize a more agile supply chain logistics to better serve communities when they need it most," Packworks Chief Platform Officer Hubert Yap said.

According to PAGASA, an average of 20 tropical cyclones enter PAR each year, with eight to nine typhoons making landfall in the country’s regions. The country is forecast to brace for 7 to 15 tropical cyclones from September 2025 to February 2026.

For info about Sari IQ and to uncover more seasonal data trends in sari-sari stores, you may visit http://packworks.io/ or Packworks’ Facebook page to learn more.

Tanay MSMEs Tackle Tech Tools to Grow and #BeCyberSmart

Micro-, small-, and medium-sized enterprises (MSMEs) in Tanay, Rizal are learning about tools and solutions that can boost their businesses, while also taking vital steps to stay safe online and #BeCyberSmart.

Through a learning session organized by PLDT Inc. (PLDT) and Smart Communications, Inc. (Smart), small business owners from the community learned about PLDT Enterprise’s solutions that can enable better customer communication and expand internet access, empowering them to operate more efficiently and reach wider markets.

“As we celebrate MSME Month, our goal is to empower entrepreneurs with innovative solutions that not only strengthen their operations, but also protect their digital presence,” said Rafael P. Davila, PLDT Enterprise SMBiz Luzon Head. “Through PLDT Enterprise’s products and services, we equip MSMEs with the right tools to grow and secure their businesses in an increasingly digital world.”

A key part of the program was the #BeCyberSmart segment, where business owners learned how to identify and avoid online threats such as phishing, text scams, love scams, and social engineering. These practical lessons emphasized how digital safety is vital for building customer trust and maintaining uninterrupted business operations.

“We want to build confidence among local entrepreneurs, as they navigate the digital landscape,” said Stephanie V. Orlino, AVP and Head of Stakeholder Engagement Team at PLDT and Smart. “Through our #BeCyberSmart program, we are enabling business owners to make smarter, safer decisions online and protect their businesses and customers.”

For many participants, the learning session was an eye-opening experience.

“The #BeCyberSmart session taught us how to spot suspicious websites and protect our online accounts,” shared Carmela Centeno, Operational Manager at Casablanca Tanay Hotel and Café. “It reminded us to always think before we click and to be more vigilant when conducting business online. This knowledge is crucial as we continue to operate and grow in the digital space.”

PLDT and Smart’s efforts to promote digital inclusion and safety support the United Nations Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth. By equipping MSMEs with the tools and knowledge to succeed and stay secure online, they contribute to building a more inclusive and resilient digital economy.

Mercato Centrale Partners with Peddlr to Power Small Food Businesses' Growth

Metro Manila, August 1, 2025 — Mercato Centrale Group, the country’s leading food business incubator, has partnered with tech solutions provider Peddlr Philippines Inc. to provide digital tools that help small food entrepreneurs streamline operations and scale their businesses. 

The strategic collaboration introduces Peddlr’s point-of-sale and analytics platform to food Micro, Small, and Medium Enterprises (MSMEs) within the Mercato ecosystem, supporting their shift toward data-driven and tech-enabled operations.

The partnership was formalized by leadership teams from both organizations during the contract signing, including Mercato Centrale’s CEO RJ Ledesma and General Manager Dan Aguilar, along with Peddlr’s Head of Product Kendrick Chan and Go-to-Market Senior Associate Janri Tomioka.

“This partnership is a vital part of Mercato Centrale’s vision,” said  Ledesma. “It’s not enough to serve great food. Our vendors need to understand operations, manage finances, and build customer relationships. With Peddlr, they can take control of their business using practical and accessible tools.”

Peddlr’s mobile app streamlines operations for food businesses by offering point-of-sale functions, inventory tracking, QRPH-enabled payments, and real-time sales monitoring. Once available only to larger enterprises, these tools are now being extended to MSMEs through the partnership with Mercato Centrale.

“Access to analytics changes the game for our vendors,” said Aguilar. “They can now run promos more effectively, adjust pricing, and monitor margins. It’s an essential upgrade for today’s entrepreneurs.”

To bridge the digital divide, the partnership includes training and onboarding support for vendors with limited digital experience or older devices. It also establishes a secure data-sharing ecosystem that connects Mercato Centrale directly with its merchant network,  enabling more targeted initiatives and enhanced support for MSMEs. For partners with older tech devices or less digital experience, the organizations plan to provide training and onboarding so they can also utilize these digital features.

Mercato and Peddlr aim to bring these tools to hundreds of vendors across Metro Manila, enabling them to grow smarter and more sustainably in an increasingly competitive food landscape. 

Quezon City Opens Applications for Startup QC Cohort 4 – Professional Category

04 July 2025 Quezon City, Philippines — The Quezon City Government, through its Startup QC Program, is now accepting applications for its Cohort 4 – Professional Category as part of the city’s ongoing commitment to building a vibrant innovation ecosystem and supporting high-potential Filipino startups.

The Startup QC Program offers selected early-stage startups the opportunity to receive up to PHP 1 million in equity-free grants, hands-on mentorship, capacity-building sessions, and access to a growing network of investors, incubators, and innovation partners. The program is designed to help founders sharpen their business strategies, scale their solutions, and prepare for long-term sustainability.

Through the leadership of Mayor Joy Belmonte, Quezon City is building a future-ready economy by empowering Filipino founders to solve real-world problems through innovation. The Startup QC Program plays a key role in this vision by providing entrepreneurs with the platform, tools, and support they need to grow and thrive.

Since its launch in 2022, the StartUp QC Program has partnered with Launchgarage Innovation Hub to successfully run three cohorts under the professional category. Through this collaboration, the program has supported 16 professional startups from diverse industries, ranging from technology, sustainability, education, and the creative economy. Launchgarage has played a key role in designing and delivering the program’s content, mentoring startups, and guiding them through their growth journeys. The program’s alumni exemplify the strength of Filipino innovation, with several gaining national and international recognition, attracting investments, and entering global markets.

Notable alumni include:

• EdukSine – an award-winning streaming platform for Filipino indie films, featured in ASEAN and UN events for the youth and entrepreneurs.

• Wika Media – creators of accessible AR/VR learning tools, recently showcased in Japan and Singapore.

• Lithos Manufacturing – a climate-tech startup providing clean water solutions to disaster-affected areas, with pilots launched across the Philippines.

• Kwentoon – a digital storytelling platform for youth, promoting literacy and Filipino culture through comics and manga, with growing partnerships in the education and publishing sectors.

• Hibla Ph - a culture-based fashion startup bringing Philippine weaves to the global stage, with showcases in Japan, China, and the UK.

• NYHA Robotics – a social impact venture making STEM education more inclusive through localized robotics kits and teacher training programs.

These startups represent the future of inclusive, impact-driven entrepreneurship—and the growing influence of Quezon City as a hub for innovation in the Philippines.

Interested applicants must be early-stage startups registered in the Philippines, with innovative solutions that demonstrate strong market potential and measurable impact. 

Applications are now open through the Quezon City eServices portal. For more information on the application guidelines and other details, you may visit qceservices.quezoncity.gov.ph.

More Growth for Filipino Entrepreneurs with Smart e-load

Mobile services provider Smart Communications, Inc. (Smart) has teamed up with D One Legacy PH Corp to enable more growth for Filipino entrepreneurs and expand access to e-load and telco services nationwide.

Aside from that, this partnership also provides D One Legacy PH Corp members with an additional source of income by enabling them to offer Smart’s value-packed prepaid products to their customers.

"Our collaboration with Smart Communications is more than just a business venture; it is the foundation for financial empowerment and entrepreneurial growth for Filipinos across the country," said Louie Bantigui, Founder, CEO, and President of D One Legacy PH Corp. "We are driven by the mission to provide accessible, profitable, and future-forward business opportunities that allow individuals to take control of their financial futures. This partnership represents a stepping stone for countless Filipinos who are ready to explore the digital marketplace and thrive in it."

An emerging company committed to reshaping the health, wellness, and digital industries in the Philippines, D One Legacy PH Corp continues to provide its members with business initiatives to create profitable ventures, such as selling e-load.

Smart e-load has been one of the fastest selling products for retailers since it was introduced in 2003. A world-first innovation in mobile communication, Smart e-load marked the birth of prepaid services, democratizing access to mobile communication for Filipinos and enabling easier communication across the nation and overseas.

“Our partnership with D One Legacy PH Corp strengthens our mission to empower Filipino entrepreneurs by providing innovative e-loading solutions. By combining Smart’s reliable mobile services with D One legacy’s dynamic business network, we are creating new income opportunities and expanding access to digital connectivity nationwide,” said Jesus “JM” Miguel Jr., National Key Account Manager at Smart Communications.

“This partnership also enables us to provide convenient customer access to prepaid load and help D One Legacy PH Corp achieve their growth targets as they venture in the e-loading business with Smart,” said Christian So, Assistant Vice President and OIC-Head of National Key Accounts at Smart.

Alongside expanding access to e-load, Smart also continuously expands its mobile network, covering 97% of the population nationwide, enabling Filipinos to be more productive, entertained, and stay connected with its 4G/LTE and 5G network, allowing them to access their essential productivity, entertainment, gaming, and other favorite apps on the go. 

These initiatives are in keeping with PLDT and Smart's commitment to narrowing the digital divide and enabling access to communications to more Filipinos across the country, contributing to the United Nations Sustainable Development Goals (UNSDG), particularly on SDG 9 – Industry, Innovation, and Infrastructure. 

SM Supermalls Empowers MSMEs’ Future through Inclusive Resilience

For SM Supermalls, resilience remains an essential pillar in its pursuit of sustainability. Without safe, secure, and prepared communities, the vision of sustainable development becomes difficult to achieve. This is why the company believes that promoting resilience is not only a matter of operational readiness but a responsibility to the communities and businesses that form the backbone of the economy.

At the heart of this commitment are micro, small, and medium enterprises (MSMEs). These businesses are often the most vulnerable to disruptions brought about by natural and man-made hazards. Yet, they represent a critical force in the national economy---generating jobs, driving local commerce, and sustaining livelihoods. Recognizing their importance, SM Supermalls has made it a priority to help cultivate an MSME sector that is resilient.

Across its network, close to 70 percent of SM Supermalls’ tenants are currently MSMEs. These businesses operate under unique lessee contracts that acknowledge their specific needs and challenges. To support them, SM not only provides space but also promotes an environment that values preparedness and long-term continuity.

SM Supermalls’ most notable resilience initiative for its MSME tenants is a dedicated Business Continuity Planning (BCP) program launched in 2024. This capacity-building initiative enables businesses to develop tailored Business Continuity Plans and implement adaptive measures to reduce the impact of disruptions.

SM’s tenants are each provided with free access to 5GB of remote digital storage where they can securely store critical business documents such as their BCPs, permits, registrations, and insurance policies, among others. In the event of a disaster, access to these documents becomes seamless, allowing faster processing of insurance claims and a quicker return to operations.

To further scale its impact, SM Supermalls established a public-private partnership with the Department of Trade and Industry (DTI), formalized through a Memorandum of Agreement in 2024. Together with ARISE Philippines, a United Nations Office for Disaster Risk Reduction (UNDRR)-affiliated private sector alliance for disaster resilience, the partnership aims to ensure that 6,000 MSMEs have robust BCPs by the end of 2027.

This collaboration is led by DTI Regional Operations Group Undersecretary Blesila Lantayona and Bureau of Small Medium Enterprise Development (BSMED) Director Emma Asusano, alongside SM Supermalls’ Corporate Resilience Department. The shared goal is clear: to safeguard MSMEs nationwide through proactive preparedness.

One key feature of the initiative is the SM-DTI Calamity Recovery (CARE) Booth, activated during times of calamity. Located in malls with communities impacted by disasters, the booth serves as an accessible touchpoint for MSMEs needing post-disaster support---providing a practical and timely response mechanism that bridges the gap between public resources and private needs.

Additionally, SM Supermalls regularly hosts scheduled BCP workshops for MSMEs in collaboration with DTI. These workshops are conducted in centralized SM locations across various regions and are open to both SM tenants and DTI-assisted MSMEs. During these sessions, business owners are introduced to the various risks posed by different types of disasters and are guided step-by-step in developing their own BCPs. These plans are tailored to the unique nature and geographical location of their operations, and the sessions extend to the BCP testing and validation phase to ensure practical application and effectiveness.

The participants are given one month to finalize their BCPs, which must be approved by their business management and submitted to DTI. Since the program’s launch in September 2024, over 1,500 MSMEs have already undergone training, with more scheduled in the months ahead.

“Resilience is not built overnight, and requires education, commitment, and collaboration across different sectors. Knowing this, SM Supermalls continues to invest in long-term resilience not just for its business, but for the broader ecosystem of MSMEs it supports,” said SM Supermalls President Steven Tan. “In doing so, we are reinforcing the fundamental truth that sustainable progress is only possible when communities and businesses are prepared to face the challenges of tomorrow.”

Sari-Sari Stores Grapple with Rising Prices Despite Declining Inflation - Packworks Study

27 June 2025 Manila, Philippines — Despite the nationwide decline in inflation, prices of various goods continue to rise in sari-sari stores across the Philippines.

New data from Filipino tech startup Packworks, which analyzed more than one million monthly sales transactions from its network of over 300,000 sari-sari stores nationwide through its mobile app and business intelligence tool, Sari IQ, tracked price movements across multiple product categories from 2023 to 2025. The analysis revealed that costs continue to climb despite a general decline in inflation, with some categories experiencing average price increases of at least 11% across various regions nationwide.

Key findings include significant retail price increases across the board for items like baby oil and baby powder. Notably, a 50-milliliter (ml) bottle of Johnson’s regular baby oil increased by 17%, from PHP 42.00 in 2023 to PHP 49.00 in 2025. Meanwhile, a 100-gram pack of Tender Care baby powder rose by 25%, from PHP 40.00 to PHP 50.00. These price hikes were observed in at least five regions: Ilocos Region (Region I), Cagayan Valley (Region II), Central Luzon (Region III), MIMAROPA (Region IV-B), and Bicol Region (Region V).

The study also found that 11 different SKUs within the confectionery and snacks category experienced at least a 13% increase in retail price. For example, the 50-gram pack of Lala Fish Crackers Classic, a popular and usually affordable sari-sari store snack, saw its price surge by 27%, rising from PHP 18.00 in 2023 to PHP 23.00 today. These spikes were recorded in stores based in Regions II and IV-B. Another popular item, the 150-gram pack of Fres candy, recorded a 16% price increase across all its variants, now at PHP 42.00, up from PHP 36.00 two years ago. The candy brand is now more expensive in at least nine regions, including Regions I, II, III, IV-B, V, VI (Western Visayas), VII (Central Visayas), and VIII (Eastern Visayas).

Packworks Chief Data Officer Andoy Montiel highlights the vulnerability of sari-sari stores, saying even a slight increase in their wholesale purchase price can directly affect end consumer pricing.

“Sari-sari stores are known for their thin profit margins. While they operate as viable businesses, they also serve as extended pantries and community hubs for their neighbors. Even a slight increase in wholesale prices reveals how vulnerable micro-retailers are to cost shifts upstream. This creates a ripple effect, especially in low-income communities where these stores are the primary source of daily essentials,” Montiel said.

The upward price trend stands in contrast to the declining national inflation rate. In 2023, the country's Year-on-Year (YoY) inflation rate was 6.0%, then significantly dropped to 3.2% the following year. It decreased further to 1.9% from January to May 2025, hitting a low of 1.3%, the lowest since November 2019.

Packworks' data also looked at the pricing trends with the country’s main staple commodity, rice. A five-kilogram pack of premium rice rose from PHP 235.00 (PHP 47.00/kg) in 2023 to PHP 295.00 (PHP 59.00/kg) in 2024, reflecting a PHP 60 increase. This aligned with the Philippine Statistics Authority (PSA) and Department of Agriculture (DA) reports, which cited rice inflation and retail prices ranging from PHP 50 to PHP 58 per kilo during the period.

From January to May 2025, the price slightly dropped by 3.39% to PHP 285.00 (PHP 58.00/kg), following the DA's imposition of a maximum suggested retail price (MSRP) on imported rice. However, it remains higher than the national average of PHP 50.54 per kilo for well-milled rice. The data also noted similar price variations in the repacked rice or tingi-tingi bigas bundles that are usually informal SKUs but are frequently sold in sari-sari stores at smaller increments to make purchases more affordable or abot-kaya for its neighborhood customers.

Packworks Chief Executive Officer Bing Tan emphasizes the importance of helping sari-sari stores thrive amidst economic shifts.

"Sari-sari stores are more than just retail outlets, but a lifeline for millions of Filipinos. Our latest analysis reveals gaps between national macroeconomic reports and the grassroots micro-retail reality. These insights can act as early indicators to inform distribution chains and policymakers of where support and aid are most needed. It is our hope that by sharing this timely data, we will be able to shed a brighter light on the challenges in practical pricing our store owners face in serving their communities." 

Sari-sari stores serve as the primary source of daily essentials for around 94% of Filipinos.

For more info about Sari IQ and to uncover more in-depth data trends in sari-sari stores, you may visit http://packworks.io/ or Packworks’ Facebook page to learn more