Go: Retail sales picking up with shopping rush

CEBU, Philippines — The Christmas shopping rush has kicked in.

Philippine Retailers Association-Cebu President Robert Go said Christmas retail spending is driven by both household consumption and corporate affairs this holiday season.

"Holiday shopping has already started since more shopping activities come when 13th month pay and bonus are distributed this month," Go told The FREEMAN.

This trend normally drives retail sales during the holiday season, he said.

He said retailers have already stocked up for the surge in demand this month.

The PRA official said the retail sector in general expects a 10% growth this year on the back on the continued economic growth.

He said the stronger dollar also increases the spending power of Filipino families receiving dollar remittances from abroad.

"This is a good sign, which means there are more money to be spent by OFW families," Go noted.

Go believes retail sales will pick up this week through the Christmas day and will rise again to the period leading to the New Year's celebration.

"With the expected rise in sales, this year will likely be good for retail," he said.

Go cited the products that usually increase in demand during Christmas include food (particularly noche buena products), gadgets, and clothing.

"Millennials are driving sales of personal goods such as gadgets and older baby boomers are driving appliances," he added.

Christmas is the busiest time for retailers as demand usually doubles or even more.

Consumers have started filling up shopping centers as they have received their Christmas bonuses and 13th month pay.

Holiday spending usually peaks few days before December 24, with last-minute shopping usually driving the demand.

He noted the retail sector remains robust due to sustained economic growth and increasing remittances sent home by Filipino workers abroad.

"The BPO sector continues to go up although slowing down but still up versus last year," Go said.  (FREEMAN)