Filipino shoppers are finding their way back to physical retail stores after indulging in digital shopping developed during the pandemic, confirming that “old habits die hard”, according to a market research.

A study by tech-enabled market research firm, Agile Data Solutions Inc. revealed that in-person shopping remained a significant habit despite online shopping boom. The nationwide study  through its Hustle PH mobile app aimed at providing directional scenarios and insights into lasting Filipino consumer behavior trends.

Although the study reveals that consumers prefer to buy familiar commodities online, 77 percent of them still prefer a hands-on approach when it comes to discovering and evaluating unknown products.

Consequently, this trend suggests that the sensory appeal and visceral experience of on-site shopping are far from being outdone by the convenience of online shopping, and brick-and-mortar stores may increasingly serve as venues for product launches and trials, the study said.

In contrast, only 33 percent of the respondents believe online shopping can only serve as an alternative to in-store purchases rather than a complete replacement.

Of those surveyed, 45 percent stated they had made a purchase in a physical store less than a week ago, while 54 percent reported having ordered something online during the same timeframe. The close percentages indicate a strong inclination among consumers to maintain a balance between in-store and online shopping experiences.

Furthermore, the study results highlight several key factors that contribute to the continued appeal of traditional in-store shopping. But the study also showed that growth in digital shopping habits among Filipinos is significantly influenced by price, discounts and convenience.

Price is the first thing Filipino shoppers check online, with many using digital platforms as a virtual price catalog to canvass and compare deals from different stores. This newfound ability to easily browse multiple retailers without being geographically bounded or dealing with notoriously bad traffic conditions has become particularly important for highly price-sensitive consumers.

Notably, 92 percent of surveyed adults were able to save money by purchasing essential items online. The study also found that Filipinos prefer online shopping platforms like Shopee and Lazada, with 76% of respondents taking advantage of sales and vouchers and 34% utilizing free shipping promos to save money.

The study further revealed that a significant proportion of consumers engage in bulk buying of familiar, fast-moving consumer goods (FMCGs) and commodities, such as diapers, tissue rolls, and other household essentials. These products, which are already well-known to customers, tend to receive the most attention online and
drive higher basket purchases when coupled with great bulk deals.

Of those surveyed, 50 percent practice bulk buying, with 28 percent citing attractive discount prices as the primary motivation, while 26 percent highlighted the need to stock up on essential products as a crucial factor. Furthermore, 16 percent of respondents noted the time-saving convenience of fewer trips to physical stores as an advantage.

This trend raises the question of whether brick-and-mortar stores may see a shift towards smaller purchases of FMCGs and commodities as consumers increasingly turn to online platforms for bulk buying these familiar products to maximize savings and convenience.

The boom of online shopping platforms and the emergence of “revenge spending” after long series of lockdowns have also fueled 45 percent of shoppers to buy items they like on the spot. While 83 percent compare prices on different online shopping platforms before making an impulse purchase, 91 percent  said they plan and set a budget for their online purchases, and 89 percent said they have a savings goal they want to achieve before they purchase online.
Despite the increasing appeal of online shopping, 28 percent of Filipino shoppers have voiced their biggest concern about the authenticity and quality of products they receive.

As a result, shoppers increasingly rely on product reviews to guide their purchasing decisions, seeking reassurance before taking the plunge. Other prominent concerns include the safety of packaging and the duration of delivery time, with 17 percent and 15 percent of respondents ranking them as their second and third most important issues, respectively.

Additionally, 71 percent of surveyed shoppers prefer cash on delivery (COD) as their top payment method, not because they lack knowledge of tech integrations but because they lack trust in the product delivered – if it is delivered at all.