SARI-SARI store sales jumped 90 percent in March following the Iran war, an officer of business-to-business digital platform Packworks said on Thursday.
“This signals a preemptive move by store owners to secure inventory before logistical costs trickle down to retail prices,” said Hubert Yap, chief platform officer of Packworks, whose Sari.PH pro app connects sari-sari stores directly to suppliers to purchase goods at lower prices.
Based on over 1 million transactions, gross merchandise value (GMV) across 300,000 stores increased by 89.34 percent to P3.73 billion in March from P1.97 billion in February.
“The most notable surge occurred on March 21, when GMV skyrocketed by 265 percent,” Yap said, noting that double-digit fuel price hikes was announced five days earlier on March 17.
Grassroots-level concerns on the oil shock were noticeable, Packworks said. One store owner from Masbate, for instance, said stocking up was due to worries about supplies running out and possible delays in deliveries.
In some regions, delivery lead times have reportedly stretched to three weeks, forcing retailers to prioritize bulk purchasing of fast-moving goods.
“As the backbone of local communities, sari-sari stores continue to demonstrate resilience in times of disruption. However, they remain highly vulnerable to price fluctuations and logistical challenges, highlighting the need for continued support,” said Yap.
A shift in grassroots consumer behavior has also emerged. Households which traditionally practiced “tingi,” or small-quantity, daily purchases have been buying goods in larger quantities.
While spending increased, transaction volumes grew by 17 percent.
In March, average basket size grew 77 percent, to P597-P1,560 from P337-P1,097 in February, said Packworks.
The Cordillera Administrative Region topped the list with a 101.7-percent increase in basket size purchases at P1,560 from the previous P773.
The National Capital Region was second with 85 percent at P733 from P396, while the Bangsamoro Autonomous Region in Muslim Mindanao was third with 80.2 percent (P892 from P495).
Cigarettes accounted for the highest sales gain at P234 million, followed by detergents (P116 million), gin (P66 million), powdered coffee (P55 million), and chips and dips (P45 million).
Other essential goods with high sales were soda, biscuits, powdered milk and canned items.
“With rising oil and commodity prices, our data suggests that store owners are proactively adjusting purchasing strategies. Larger basket sizes and increased inventory indicate a shift toward preparedness for potential supply disruptions,” Packworks chief data officer Andoy Montiel said.
