Wednesday, 19 November 2025, 7:13 pm

    Filipinos love online shopping, but delivery costs bite

    The Philippines has the highest level of consumer optimism in e-commerce across Southeast Asia, according to Blackbox Research’s new Insight Report, “The Next Leap for E-Commerce in Southeast Asia.”

    The country scored 7.93—outperforming Vietnam and Malaysia—reflecting strong trust in online shopping and digital payments.

    But the report warns that this confidence is rising faster than the systems needed to support it. Logistics costs in the Philippines take up 20 to 30 percent of an order’s value, more than double the rate in mature markets, while gaps in regulatory enforcement put local micro, small, and medium enterprises (MSMEs) at a disadvantage.

    Blackbox founder and CEO David Black said Filipino consumers’ trust in the digital economy is “remarkable,” but stressed that infrastructure and policies must catch up so MSMEs can grow with rising demand.

    The study identifies five key levers needed to turn strong consumer confidence into long-term competitiveness. It highlights the country’s strength in platform competitiveness — 87 percent of experts say local platforms effectively support the e-commerce ecosystem. However, high consumer expectations for fast delivery and strong customer service remain a major challenge, particularly for MSMEs that lack the technology and logistics capacity to keep up.

    Nearly 60 percent of experts say deeper collaboration between platforms, government, and MSMEs is essential for sustainable growth. Logistics modernization emerges as the most critical need, with delivery times ranging from 24 to 48 hours in major cities to as long as two weeks in rural areas.

    The report calls for targeted public-private investments in last-mile networks, micro-fulfillment centers, and regional logistics hubs to lower costs and improve service reliability.

    Black said the Philippines’ e-commerce story “is about growth as much as it is about connection,” noting that strong consumer trust is already in place. What the country needs now, he said, is coordinated action to build the infrastructure that can turn optimism into sustained commercial competitiveness.

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