Filipinos splurging on home appliances amid pandemic

This is part of the emerging trends in the new normal, as noticed by Villar-owned home builder, AllHome.

AllHome’s appliances sales accounted for 40 percent of total sales in the second quarter as market interest in such home appliances and essential items grew despite varying levels of community quarantines, officials said over the weekend.

AllHome vice chairman Camille Villar said the company’s wide range of products contributed significantly to sales growth, despite the imposition of a modified enhanced community quarantine (MECQ) and general community quarantine (GCQ) in most of AllHome’s areas of operation. 

“During the second quarter of the year, appliances contributed 40 percent of our sales, generated by our tactical pop-up stores placed near All Day Supermarkets. We recognized and capitalized on our AllValue retail ecosystem, of which AllHome is an integral part,” Villar said.

AllValue chairman Manuel B. Villar Jr. said the community lockdown has pushed AllHome to find new channels to bring its products and services closer to its customers. 

For instance, he said, AllHome has introduced alternative ways to shop for home and hardware needs while still ensuring safety of its customers. 

These include the website, via chat with an AllHome personal shopper thru AllHome’s Viber Community where promos are posted regularly;  and purchase via AllHome Builders Centre Shopping Community.

As the country moved to a more relaxed GCQ, AllHome’s sales saw improvement, with shoppers resuming home projects and select businesses started reopening.

Camille Villar said due to the pandemic, shoppers had a surplus of time at home, and their respective incomes were diverted from travel and non-essential entertainment to renovations and passion projects. 

“This period presented opportunities to continue and start DIY home improvement projects, while others bought new kitchen appliances to further culinary hobbies and refrigerator and freezers to assist their business ventures. Some purchased air conditioners to make their home cool and comfortable at the height of summer during the second quarter. With the new normal of work from home arrangements and online classes, AllHome saw an increase in sales of furniture and equipment for home office and virtual classes,” she also said.

These shifts in shopper behavior cushioned somehow the disruption caused by the pandemic such as closure of stores and stoppage of construction activities during the ECQ. 

The Bangko Sentral ng Pilipinas reported in a recent survey that the upper-middle economic class priority levels on home furnishing remained the same—both online and in-store.

Nielsen Philippines online survey Pandemic Impact on Shopping Behavior, fielded in April 2020 at the height of the COVID-19 situation meanwhile showed that ABC1 segments are more positive that online shopping habits will continue post ECQ. 

It further stated that the purchase of appliances and furniture in the ABC demographic remained unchanged by ECQ. 

Shoppers from the same segments foresee returning to usual online shopping for home appliances after the community quarantine.

The National Economic and Development Authority (NEDA) also urged  businesses to make online shopping easy, affordable, and secure for shoppers so that they need not go out to buy what they need and want.