PH e-commerce market to hit P500Mn by 2025
The value of e-commerce transactions in the Philippines is expected to reach nearly P500 billion (US$9.5 billion) by 2025 with a compound annual growth rate (CAGR) of 15.8%
According to leading data and analytics company GlobalData, this growth will be driven by alternative e-commerce payment tools, which accounted for 31% of the total e-commerce value last year.
GlobalData senior analyst Nikhil Reddy said, “The pandemic has pushed the adoption of e-commerce payments in the country, as wary consumers increasingly favored online shopping to avoid getting exposed to disease vectors.”
He added that consumers were also drawn to alternative payment tools due to their convenience, speed, and reward benefits.
In the Philippines, digital wallets GCash, Maya, PayPal, and GrabPay have been the leading alternative payment solutions since the pandemic started.
Reddy added that the government has been taking extra measures to push electronic payments in the country.
For one, the QR PH program has already been extended to merchant payments, both online and in-store payments, enabling consumers to make interoperable mobile-based payments.
“With the growing adoption of QR code-based solutions among merchants and government initiatives to push electronic payments, alternative payments are poised to disrupt the country’s overall consumer payments space,” Reddy concluded.
