The Rise Of Online Marketing In The Philippines - APEX Global (2024)

FAQs

How does online marketing affect the Philippines? ›

Digital marketing, specifically social media and email marketing, effectively generates purchase intention from Filipino consumers, according to a study. Digital marketing has a strong impact on businesses in the Philippines, especially in promoting tourism and recovering from the COVID-19 crisis.

Almost half of all Filipino social media users also follow “influencers or other experts” in social media at 43.9%, the highest in the world, while the worldwide average is only 22.6%, the report said.

The most effective marketing strategies in the Philippines include benefit segmentation, practice-based segmentation, stakeholder approach, and personalized marketing through digital marketing.

Digital marketing in the Philippines is a flourishing industry. Recent studies concluded that ad spending in the country is continually increasing, reaching $18.8 billion in 2022, a 3.87% increase from the previous year. By 2027, the nation's e-commerce sector is expected to be worth nearly $26 billion.

Data from the Philippine Department of Trade and Industry (DTI) reports that in 2020, eCommerce raised the country's GDP by 3.4%, or USD 12 billion. The DTI is also optimistic about the growth of local Commerce enterprises. New e-commerce companies rose from 500,000 in 2020 to 750,00 by 2021.

The explosive surge of e-commerce in the country happened during the height of the Covid-19 pandemic, where most traditional retail stores are mandated closed, and people are forced to undergo quarantine at home. Filipinos' lifestyles are becoming increasingly digital.

The Philippines now ranked fourth in terms of spending time on social media, with an average user spending three hours and 34 minutes. Leading the list was Kenya with three hours and 43 minutes, followed by South Africa with three hours and 41 minutes and Brazil with three hours and 37 minutes.

The Philippines was home to 86.75 million social media users in January 2024, equating to 73.4 percent of the total population. A total of 117.4 million cellular mobile connections were active in the Philippines in early 2024, with this figure equivalent to 99.3 percent of the total population.

Facebook reigns supreme as the most widely used social media platform in the Philippines. The platform leads every social media platform, boasting an impressive 96% market penetration among internet users aged 16 to 64.

It was revealed that social media marketing is effective in terms of getting the attention (M=3.90), interest (M=4.06), and desire (M=3.92) of the respondents towards the ads seen in the social media.

Why is marketing important in the Philippine economy? ›

In the Philippines, marketing strategy plays a crucial role in adapting to economic liberalization by enhancing efficiency, reducing costs, and fostering transparent and profitable business relationships.

1. Increases their online visibility. With the right digital marketing strategy, you can get your business found by your target customers, no matter how saturated your market or niche is. The key is to provide value to your audience and implement strategies that will bring that value straight to their doorstep.

Controversial issues in the Philippines in 2024 include minimizing killings in anti-drugs operations, establishing a fund for the drug war, potential ICC investigation resumption, debt, and inflation concerns.

The Philippines have been called the social media capital of the world because of their extraordinarily high usage time of about three hours per day. Facebook, TikTok, and Instagram have emerged as the leading platforms used monthly by Filipino internet users.

It was revealed that social media marketing is effective in terms of getting the attention (M=3.90), interest (M=4.06), and desire (M=3.92) of the respondents towards the ads seen in the social media.

Almost half (46%) of surveyed Filipino Social Commerce sellers struggle to create and curate content for their pages – a trend reflected across the region. 41%, meanwhile, find it challenging to stay on top of the platform's algorithms, and therefore, are unable to fully capitalize on the platform to stand out.

Social media has had various impacts in the Philippines. It has been used as a strategic tool for increasing brand awareness and running marketing campaigns, leading to more measurable campaign results and potential revenue growth for businesses.