Sari-sari stores in Davao City to thrive vs 7-Eleven
Philippines’ corner stores called ‘sari-sari stores’ will be affected by growing competition from convenience stores sprouting in Davao City but they will continue to survive, according to a local government official.
Ivan C. Cortez, officer-in-charge of Davao City Investment Promotions Center (DCIPC), said, in an interview with Sun Star Davao, that the increasing number of 7-Eleven stores in the city will affect small retailers’ sales especially those of the ‘sari-sari’ stores.
However, Cortez said that ‘sari-sari’ stores will continue to thrive as their market is different from convenience stores.
‘Sari-sari’ stores, considered as neighbourhood stores, sell a variety of products in retail from a cigarette stick, shampoo sachets, to a small pack of peppercorn. They are ubiquitous in residential areas and sometimes offer goods on credit.
The market of 7-Eleven and other convenience stores, on the other hand, are mainly young professionals.
“7-Eleven is an upscale sari-sari store with 24 hours service, this will have an effect on local sari-sari store, on the survival rate, because 7/11 is getting the bulk the sales,” added Cortez.
7-Eleven, the largest convenience store chain in the Philippines and operated by Philippine Seven Corp. (PSC), has more than 20 stores in the city.
PSC aims to open 70 stores in Davao City in June this year and 120 stores by 2018 in the entire region of Mindanao.