CEBU, Philippines — Quick-commerce platform provider foodpanda vowed to be part of the development of micro, small and medium enterprises (MSMEs) in the Philippines.
During the recently concluded GO Negosyo MSME Summit 2022, foodpanda Philippines Managing Director Daniel Marogy said the use of digital technologies is here to stay even in the post-pandemic world, thus, foodpanda wants to help Pinoy MSMEs in maximizing digitalization.
“Small and medium enterprises – should learn how to adapt in order to survive. That’s where we can come in and help,” he said.
In the Philippines, more than 99 percent of enterprises are MSMEs.
Organized by GO Negosyo founder Joey Concepcion, the Summit’s theme was on the digitalization of MSMEs, including the usage of and support coming from digital platforms.
As the country’s leading online quick commerce platform, foodpanda has thousands of partner merchants and shops in their food delivery and grocery services, a majority of which are MSMEs.
At the Summit, Concepcion also shared that MSMEs also account for the majority of the local jobs at 63 percent noting that the Philippines should capitalize on digitalization to elevate the businesses and drive robust growth in the lives of MSMEs.
“At foodpanda, a huge chunk of our vendors and merchants includes up-and-coming, high-potential small restaurants, local mom-and-pop stores, and home-based online businesses and our goal is to beef up our partnerships with them and turn that potential into reality. Through the use of online channels, we are creating added income and revenue streams for them,” Marogy added.
The event was also graced by President Ferdinand Marcos Jr., who underscored that supporting MSMEs is among the top priorities of the current administration.
Helping the government with this endeavor is US Ambassador to the Philippines MaryKay Carlson.
Carlson shared in the summit that the US supports the growth of the country’s digital economy and encourages more MSMEs to participate.
“While the pandemic has brought plenty of challenges, many MSMEs have also discovered opportunities to improve their businesses. An encouraging trend is the rapid digital transformation of businesses and the growing move to e-commerce,” she added.
While the growth of MSMEs may indicate an uptick in the economy, small businesses still face a serious problem with lack of financing and capital, which Marogy noted can be answered by digitalization.
“By joining a digital platform like foodpanda, entrepreneurs with little capital will have an affordable yet competitive alternative to start their business because they can think less about the cost of rent, utility expenses, and other traditional business expenses,” he explained.
“On the other hand, stores and restaurants looking to scale further can have both a physical presence through their retail storefront and an online presence through our platform,” Marogy noted explaining further that this type of evolution is the marriage of online and offline commerce.
Several digital platform services also came together at the event to emphasize the importance of MSMEs being linked to the value chains of bigger corporations, which is how their business models are designed. Marogy also supported this idea, saying that inclusion is achieved by making it possible for MSMEs to participate in the digital economy.
Marogy mentioned how foodpanda is helping many local restaurants in the country to earn additional revenue through online channels. In the same way, he added, consumers will have access to faster and convenient delivery of their goods while delivery partners will have the opportunity to make a living. “It is an effective and helpful cycle that will continue to exist as long as digital platforms like us operate. As a platform, it is our role to bring all these sides of the market together and connect them to each other.”