While most small business owners and startups based in the Philippines understand the importance of having a website for developing brand equity and driving conversions, many struggle with creating websites that are genuinely useful for Filipino consumers. As a result, many local businesses underinvest in their own online properties and continue to lean on restrictive third-party e-commerce platforms like Facebook Marketplace, Shopee, Lazada, and others, missing out on a serious avenue for growth.
Fortunately, entrepreneurs don’t have to reinvent the wheel to build a successful website. In many cases, all that needs to be done is to continuously address friction points in online processes that cause customers to leave websites or abandon their carts while being mindful of the ways Filipino consumers are different from their foreign counterparts. Here, we’ll explore several common friction points that Filipino customers frequently face on local e-commerce websites:
1) Limited Payment Options
Many local e-commerce websites fail to get the traction they need because they don’t provide Filipino consumers with the payment options they’re most comfortable with. While Filipinos are now quite familiar with e-commerce, many still prefer to pay in cash. Given this knowledge, consider offering cash on delivery (COD) if it’s a feasible option to integrate into your logistics process.
Moreover, while it’s always a good idea to offer payments through bank transfers and credit cards, it’s important to remember that a lot of Filipinos still do not have access to mainstream financial services. Even those with bank accounts and credit cards may hesitate to use these for online payments due to a lingering distrust of e-commerce. As such, it may be a good idea to make use of an online payments gateway that will help you accommodate customers who might instead prefer to have their online payment processed through secure digital wallets such as Maya. Specific Maya plugins for popular e-commerce platforms like Shopify and WooCommerce can also make integrating these payment options a breeze.
With this in mind, online entrepreneurs should always strive to offer the payment methods that their customers want.
2) Local Language Barriers
One significant friction point for Filipino customers is encountering e-commerce websites that are not available in local languages, particularly Tagalog, Cebuano, or Ilocano. If a website is only available in English, chances are that it will only be able to engage middle- and upper-class Filipino users, as individuals from these cohorts are likely to have more exposure to the language. While most other Filipinos are fairly literate in English, many are still most comfortable with content written in their mother tongue.
If a website targets a lower middle or working-class audience, offering multilingual support and ensuring that key website elements, including product descriptions and navigation, are available in preferred local languages can greatly enhance the user experience (UX). In turn, this superior UX can result in repeat visits, more engagement, and better conversion rates for a website.
3) Lack of Mobile Optimization
Given that almost every adult Filipino owns a smartphone but not a desktop computer, it should come as no surprise that the vast majority of Philippine online traffic is generated through mobile devices. If you already manage a Philippine e-commerce site, chances are that upwards of 90% of its traffic originates from smartphones and tablets.
Unfortunately, not all local websites are well-optimized for local users. The main reason for this seems to be the fact that web development and design overwhelmingly take place on desktop computers, with mobile optimization often occurring as an afterthought, if it happens at all.
A lack of mobile optimization can lead to a poor user experience, making it difficult for customers to browse and make purchases. By consciously employing responsive design and continuously testing for intuitive mobile navigation, local e-commerce sites can ensure success in the Philippine market.
4) Slow Website Loading Speeds
Though local internet speeds have improved in the past few years, many Filipinos still have limited access to broadband internet. This means that resource-intensive websites are not going to be accessible or usable for many local users, particularly in remote areas with limited digital infrastructure.
Given this, local online entrepreneurs should avoid building overly complex websites and focus on creating a speedy user experience (UX). Compressing images, minimizing scripts, and leveraging caching techniques can help improve loading speeds on existing websites. Ideally, however, websites targeted at Filipino users should be developed for optimal loading speeds from the ground up.
5) Inadequate Return and Exchange Policies
In the Philippines, hassle-free return and exchange policies have been a driver for e-commerce adoption, helping build trust and distinguishing online businesses from traditional stores with non-liberal return and exchange rules. Online businesses that want to capture a bigger slice of the Philippine market should, therefore, avoid creating return policies that are unclear, restrictive, or difficult to understand. While some losses are inevitable, a clear and customer-friendly return and exchange policy can enhance customer confidence and encourage repeat purchases, ultimately driving business growth.
6) Complex Checkout Process
Complex and time-consuming checkout processes will likely lead to cart abandonment, particularly in less mature e-commerce markets like the Philippines. Simplifying the steps required to complete a purchase, minimizing form fields, and offering guest checkout options can help streamline the process and improve conversion rates. Ready-to-use third-party internet payment solutions like Maya Checkout can also be implemented on existing sites to create a smoother experience for visitors. Moreover, plug-and-play solutions like Maya’s Shopify and WooCommerce plugins will make the integration of payment solutions even easier for businesses whose websites make use of these popular e-commerce platforms.
By understanding and addressing the common issues that Filipino customers encounter in e-commerce websites, small business owners can improve their sites’ UX, drive customer satisfaction, and lay the foundations for future success. Continuously performing customer-centric optimizations should, over time, help local entrepreneurs build lasting relationships with Filipino shoppers, positioning them for growth in the rapidly expanding world of Philippine e-commerce.
