Eight in 10 Filipinos have cut back on their spending on non-essential items as concerns over finances linger.
Results of PwC’s 2023 Global Consumer Insights Pulse survey showed 53 percent of Filipino consumers reported being concerned about their personal financial situation with the current economic climate and cost of living impact.
That is slightly higher than the 48 percent average of Asia-Pacific consumers.
The report showed 80 percent of Filipinos were cutting back on non-essentials of which 16 percent stopped altogether and 64 percent were holding back.
That is 15-percentage point higher compared to the 65 percent of respondents in Asia-Pacific as a whole.
The survey also said over the next six months, Filipino consumers expect to spend less on the following categories – fashion (50 percent), home entertainment (46 percent) and consumer electronics (45 percent).
Filipino consumers are taking action to be able yo cope with increasing prices.
About 61 percent said they will buy certain products only when they are on promotion; 53 percent said they will shop with retailers offering better value while 47 percent will switch to a cheaper brand of product.
Overall, the Global Consumer Insights Pulse showed consumer demand is softening.
Consumers’ search for value will affect the marketing strategies of businesses which are themselves facing expanding cost pressures. – Irma Isip
