Appliances and Electronics
Specialists in the Philippines
Euromonitor International
March 2023
APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
LIST OF CONTENTS AND TABLES
KEY DATA FINDINGS.................................................................................................................. 1
2022 DEVELOPMENTS ............................................................................................................... 1
Improving economy encourages greater spending on non-food items ..................................... 1
Buy now, pay later becoming more prominent .......................................................................... 1
E-commerce expanding across the appliances and electronics specialists channel ................ 2
PROSPECTS AND OPPORTUNITIES......................................................................................... 2
Economic recovery will help drive demand in the appliances and electronics specialists
channel ..................................................................................................................................... 2
E-commerce will continue to thrive at appliances and electronics specialists ........................... 2
Partnerships with finance companies will become increasingly important ................................ 3
CHANNEL DATA .......................................................................................................................... 3
Table 1
Table 2
Table 3
Table 4
Table 5
Table 6
Table 7
Appliances and Electronics Specialists: Value Sales, Outlets and
Selling Space 2017-2022 ............................................................................. 3
Appliances and Electronics Specialists: Value Sales, Outlets and
Selling Space: % Growth 2017-2022 ........................................................... 3
Appliances and Electronics Specialists GBO Company Shares: %
Value 2018-2022 .......................................................................................... 3
Appliances and Electronics Specialists GBN Brand Shares: % Value
2019-2022 .................................................................................................... 4
Appliances and Electronics Specialists LBN Brand Shares: Outlets
2019-2022 .................................................................................................... 4
Appliances and Electronics Specialists Forecasts: Value Sales,
Outlets and Selling Space 2022-2027 .......................................................... 4
Appliances and Electronics Specialists Forecasts: Value Sales,
Outlets and Selling Space: % Growth 2022-2027 ........................................ 5
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APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
APPLIANCES AND ELECTRONICS
SPECIALISTS IN THE PHILIPPINES
KEY DATA FINDINGS
▪ Retail value sales increase by 8% in current terms in 2022 to PHP264 billion
▪ SM Retail Inc is the leading player in 2022, with a retail value share of 5%
▪ Retail sales are set to rise at a current value CAGR of 9% (2022 constant value CAGR of 5%)
over the forecast period to PHP398 billion
2022 DEVELOPMENTS
Improving economy encourages greater spending on non-food items
With the economic recovery as well as the easing or lifting of COVID-19 restrictions in 2022,
this year was seeing growth in the sales of appliances and electronics specialists. Not only was
this being driven by increased foot traffic in malls and other shopping centres, but higher
spending power among consumers was also encouraging the replacement of or new purchases
of products like air conditioners, refrigerators, smart TVs etc sold at major chains like Abenson
or SM Appliance. Growth in this channel was also supported by an improvement in the price
points at appliances and electronics specialists, with XTREME Appliances, for example, which
prides itself on its affordable appliances, having significantly expanded its presence in recent
years, while also making its lines available in other appliances and electronics specialists, such
as Abenson. The greater mobility is not only about the back-to-office order, but also a return to
school, with both factors boosting demand at appliances and electronics specialists in 2022. For
example, Abenson marketed back-to-school deals that offered laptops and PCs with maximised
savings to support students returning to school.
Buy now, pay later becoming more prominent
Buy now, pay later was one of the driving forces in the growing demand for appliances and
electronics products in 2022. Retailers such as Abenson and SM Appliance, for example, have
tie-ups with banks such as Bank of the Philippine Islands and Banco de Oro to offer zerointerest instalment payment plans. Retailers are also increasing their offer of financial services,
such as Home Credit, under which a retailer will have exclusive offers for shoppers opting for
Home Credit. For example, Abenson offers free 2-month amortisation for consumers making
purchases using Home Credit, which was encouraging shoppers to replace their appliances and
electronics.
Newcomer Atome is taking digitalisation and financial inclusion further by not only tying up
with large chains of appliances and electronics specialists, but also independent outlets located
near residential areas. Under Atome’s payment scheme, a shopper can enjoy a zero-interest 3month instalment payment plan when they purchase from retailers that work with Atome. This
therefore allows shoppers to avoid interest fees as well as enjoying a lower initial outlay when
making a purchase, which helps drive their accessibility to big-ticket items from appliances and
electronics specialists.
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APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
E-commerce expanding across the appliances and electronics
specialists channel
Accessibility continued to be important in 2022, which goes well beyond the expansion of
physical outlets. SM Retail led the e-commerce drive, particularly with the launch of its ShopSM
app. Abenson and SM Appliance utilised their e-commerce sites to offer strong product listings
for shoppers who did not want to leave their homes. Same-day delivery is guaranteed for some
Abenson and SM Appliance items, depending on the location of the shopper. Ease of ordering,
delivery and setting-up are big attractions for consumers when it comes to online shopping.
There is also a growing recognition that marketplaces like Lazada and Shopee are also key
channels when it comes to driving sales in appliances and electronics. By being present at
events such as 10.10 Sale and 11.11 Sale, retailers like XTREME are finding new sources of
growth for this channel. XTREME joined the 11.11 Sale on the Lazada and Shopee sites in
November 2022, with promotions in these marketplaces during the sale helping to offer
particularly good deals to consumers on products ranging from air conditioners, to Android TVs,
microwaves or washing machines.
PROSPECTS AND OPPORTUNITIES
Economic recovery will help drive demand in the appliances and
electronics specialists channel
After the electronics and appliance specialists channel began its recovery in 2022, it is
expected to continue seeing positive growth rates in current value terms over the forecast
period, albeit not returning to its 2019 sales levels until 2024. The recovery will be supported by
the fact that some electronics and appliance products are seen as necessities by many
consumers, with brands’ aggressive marketing and promotions anticipated to support this
perception. Concerns about having a home that is able to function as an office or school set-up
will likely continue over the forecast period, even in the post-pandemic period, with needing to
have connectivity for both work and school purposes still fresh in consumers’ minds after the
pandemic’s home seclusion, helping to maintain demand for products such as laptops and PCs.
Making the home a place for entertainment, as was needed during lockdown, will continue to be
seen over the forecast period. Fundamentally, seeing the home as a well-rounded place for
multiple purposes that go beyond home entertainment will support purchases in this channel.
E-commerce will continue to thrive at appliances and electronics
specialists
Accessibility will continue to shape purchases of appliances and electronics, which makes it
important for retailers to ensure they have a digital presence that offers easy shopping. With
major players like Abenson, SM Appliance and XTREME all having enjoyed success in
developing their e-commerce capabilities, this should encourage other appliances and
electronics specialists to support their bricks-and-mortar outlets with a strong e-commerce
presence. E-commerce can be a powerful tool in terms of generating demand because of the
potential it has for offering exclusive discounts and deals that are not available on in-store
purchases. The forecast period will also see increased smartphone penetration, which will
further bolster opportunities for apps and app-based purchases.
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APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
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Partnerships with finance companies will become increasingly important
Alongside the country’s anticipated economic recovery, the forecast period will continue to
see a rise in financial inclusion of consumers in the Philippines, which should be able to carry
over into purchasing capabilities for products at appliances and electronics specialists. With the
success of buy now, pay later (BNPL) offerings, consumers who have no access to credit cards
will continue to enjoy avenues like BNPL to help them purchase items in instalments and
therefore reduce the initial cash outlay. The partnerships between appliances and electronics
specialists and finance companies are also anticipated to become more robust over the forecast
period, which will have a positive impact on demand for products in this channel as consumers
will turn to finance companies to help them buy big-ticket items despite their budgetary
constraints.
CHANNEL DATA
Table 1
2017-2022
Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space
Value sales PHP million
Outlets
Selling Space '000 sq m
Source:
2017
2018
2019
2020
2021
2022
286,238.6
9,987.0
6,953.4
303,191.5
10,326.0
7,168.0
321,213.2
10,665.0
7,407.3
264,569.0
10,561.0
7,328.4
245,248.0
10,439.0
7,229.0
263,618.0
10,640.0
7,435.0
Euromonitor International from official statistics, trade associations, trade press, company research,
trade interviews, trade sources
Table 2
Appliances and Electronics Specialists: Value Sales, Outlets and Selling Space:
% Growth 2017-2022
% growth
Value sales PHP million
Outlets
Selling Space '000 sq m
Source:
Table 3
2022
2021/22
2017-22 CAGR
2017/22 Total
7.5
1.9
2.8
-1.6
1.3
1.3
-7.9
6.5
6.9
Euromonitor International from official statistics, trade associations, trade press, company research,
trade interviews, trade sources
Appliances and Electronics Specialists GBO Company Shares: % Value 2018-
% retail value rsp excl sales tax
Company
SM Retail Inc
Abenson Inc
Robinsons Retail Holdings
Inc
Suntouch Technology Corp
Western Marketing Corp
Anson Marketing &
Commercial Inc
Automatic Appliances Inc
© Euromonitor International
2018
2019
2020
2021
2022
7.4
4.7
3.0
8.0
4.8
2.9
7.1
4.1
2.2
5.8
3.3
2.0
4.7
3.2
2.0
0.6
0.5
0.6
0.5
0.4
0.5
0.4
0.9
0.4
0.3
1.0
0.4
0.3
0.3
0.3
0.2
0.1
0.1
3
APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
Others
Total
Source:
83.6
100.0
84.9
100.0
87.1
100.0
88.3
100.0
Appliances and Electronics Specialists GBN Brand Shares: % Value 2019-2022
% retail value rsp excl sales tax
Brand
Company (GBO)
SM Appliance
Abenson
Robinsons
Xtreme
Western Appliance
Anson's
Automatic Centre
Others
Total
SM Retail Inc
Abenson Inc
Robinsons Retail Holdings
Inc
Suntouch Technology Corp
Western Marketing Corp
Anson Marketing &
Commercial Inc
Automatic Appliances Inc
2019
2020
2021
2022
8.0
4.8
2.9
7.1
4.1
2.2
5.8
3.3
2.0
4.7
3.2
2.0
0.6
0.5
0.4
0.5
0.4
0.9
0.4
0.3
1.0
0.4
0.3
0.3
82.9
100.0
0.2
84.9
100.0
0.1
87.1
100.0
0.1
88.3
100.0
Euromonitor International from official statistics, trade associations, trade press, company research,
trade interviews, trade sources
Table 5
Appliances and Electronics Specialists LBN Brand Shares: Outlets 2019-2022
sites/outlets
Brand (GBO)
Abenson (Abenson Inc)
Robinsons Appliances
SM Appliance
XTREME Appliances
Western Appliance
Anson's
Automatic Centre
Others
Total
Source:
82.9
100.0
Euromonitor International from official statistics, trade associations, trade press, company research,
trade interviews, trade sources
Table 4
Source:
Passport
Company (NBO)
Abenson Ventures Inc
Robinsons Retail Holdings
Inc
SM Retail Inc
Suntouch Technology Corp
Western Marketing Corp
Anson Marketing &
Commercial Inc
Automatic Appliances Inc
Others
Total
2019
2020
2021
2022
132
92
132
92
132
91
133
90
88
20
16
87
5
19
15
91
42
19
14
86
44
20
14
20
10,297
10,665
20
10,191
10,561
10
10,040
10,439
12
10,241
10,640
Euromonitor International from official statistics, trade associations, trade press, company research,
trade interviews, trade sources
Table 6
Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and
Selling Space 2022-2027
Value sales PHP million
Outlets
Selling Space '000 sq m
Source:
Note:
2022
2023
2024
2025
2026
2027
263,618.0
10,640.0
7,435.0
288,174.0
10,888.0
7,666.0
306,383.0
11,060.0
7,827.0
318,638.0
11,170.0
7,932.0
329,791.0
11,268.0
8,024.0
339,685.0
11,353.0
8,105.0
Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Forecast value data in constant terms
© Euromonitor International
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APPLIANCES AND ELECTRONICS SPECIALISTS IN THE PHILIPPINES
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Table 7
Appliances and Electronics Specialists Forecasts: Value Sales, Outlets and
Selling Space: % Growth 2022-2027
% growth
Value sales PHP million
Outlets
Selling Space '000 sq m
Source:
Note:
2022/23
2022-27 CAGR
2022/27 Total
9.3
2.3
3.1
5.2
1.3
1.7
28.9
6.7
9.0
Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources
Forecast value data in constant terms
© Euromonitor International
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