ILLUSTRATION BY
RUTHMACAPAGAL
Preparing and seasoning her every day meal with ready-to-mix flavorings have become a common practice for 24-year-old Maica Aquinde these days.
“It’s a good way to stretch the budget, especially when cooking at home and you want to get the feel, the taste of eating out,” she says, particularly citing the preparation of stir-fried dishes, as well as stews.
She explains that a well-seasoned meal makes her feel like she is eating at one of her favorite restaurants, a practice that can increasingly become expensive if done regularly.
Spice mixes and seasonings can also bring out the “soul” of a dish, she says, making a bland meal soothing to the “heart.”
Aquinde is but one of the many Filipinos that have turned to diskarte or resourcefulness during a year of fluctuating inflation that has nevertheless remained a constant drag to the pockets.
The latest Sari IQ report by Philippine startup Packworks emphasizes that Filipinos are getting madiskarte or resourceful this year, based on buying trends seen in sari-sari stores, the colloquial term for small neighborhood stores.
In its report, which drew data from Packworks’ network of over 300,000 sari-sari stores, sales of seasoning mix items this year soared by 80 percent compared with the previous year.
Purchases of recipe mix sales also surged by 72 percent, the report says.
Additionally, it says that seasoning mix was sold in 69 percent more sari-sari stores, while recipe mix saw an even greater reach as it was purchased at 79 percent more of these small neighborhood retail stores.
Commenting on the data, Packworks says these trends reflect the resourcefulness of Filipino households, which are stretching their budgets by buying cost-effective additives to enhance cheaper ingredients sourced from wet markets.
“The resilience of Filipinos shines through in the way they adapt their purchasing habits to make ends meet,” Packworks chief data officer Andoy Montiel says in a statement.
“These insights highlight not only the shifting preferences of sari-sari store customers but also their enduring ingenuity in navigating economic challenges,” he adds.
As prices continue to rise, many Filipinos find ways to make their money go further, the company adds.
Inflation, as measured by the consumer price index, picked up to 2.5 percent year-on year in November following the onslaught of powerful typhoons hit food supply.
Year-to-date, inflation averaged 3.2 percent, as food inflation accelerated to 3.4 percent during the month.
Fastest growing
The same Packworks report also shows that sari-sari stores in Region V recorded the highest sales growth this year, with transactions of over P616 million in gross merchandise value (GMV).
“The sales growth in Bicol can be attributed to the increase in the number of sari-sari stores in our network in the region,” Montiel says.
“Additionally, we’ve observed that rural, agriculture-based regions like Bicol remain more dependent on sari-sari stores than modern trade stores such as groceries.”
Other regions that topped this year’s list are Region IV-A with P1.9 billion, Region III with P1.02 billion, Region II with P979 million, Ilocos Region, Region I with P811 million, Region VII with P695 million.
Packworks unveiled these insights during its first-ever Sari-Sari Store Innovation Summit in Taguig City. The event brought together key figures and decision-makers from some of the country’s most prominent fast-moving consumer goods (FMCG) brands, distributors and policymakers to delve into how technology and collaboration can address the challenges faced by sari-sari stores, from digitalization to economic empowerment.
Former Department of Trade annd Industry (DTI) Undersecretary Ed Sunico, the keynote speaker, highlights the role of sari-sari stores in the country.
“Sari-sari stores remain the fastest-growing channel compared to modern trade per year-on-year, serving as an indispensable part of the sales ecosystem in the Philippines. Despite this, many stores are still operating informally, do not have access to government support and financing, and are behind in technology adoption,” Sunico says.
He notes that public-private partnerships are essential to empowering the sector, citing the DTI’s “Tindahan Mo, e-Level Up Mo!” program, launched in collaboration with organizations like Packworks to support and digitalize micro, small and medium enterprises.
The event also featured a panel on leveraging data and technology to transform the retail supply chain. Moderated by Packworks chief marketing officer Ibba Bernardo, the panel included industry leaders like Miko David, president of David & Golyat; Jojo Malolos, CEO of Paymongo; Richard Sanchez, sales director of Unilever RFM (Selecta) and Jill Que, sales director of Alaska Milk Corp.
“Together with our partners, we are committed to providing sari-sari stores with business success that they would not have achieved without technology. As we build our network of stores, let’s imagine a future for them beyond digitization,” says Packworks CEO Bing Tan.