VINICIUS AMNX AMANO-UNSPLASH

ALCOHOLIC beverages recorded higher sales during the Father’s Day celebrations, according to a study by local sari-sari store startup Packworks and sociocultural research firm Fourth Wall.

Packworks said Chinese wine posted an 84% sales growth during the Father’s Day celebration this year, followed by food items such as peanut butter spread and bread rolls, which saw growth rates of 55% and 51%, respectively, based on data from its Sari IQ business intelligence tool.

“The Sari IQ data suggests that while food is becoming less prominent among ordinary customers’ demand, alcoholic beverages remain on top in their market baskets on Father’s Day,” Packworks Advanced Analytics and Insights Manager Arch Gabriel Tesorero said in a statement on Monday.

“Furthermore, the findings shed light on the evolving nature of consumer preferences during Father’s Day, implying Filipinos are exploring and embracing a wider variety of products to enhance their celebrations,” he added.

Packworks said nonfood items also recorded higher sales during the Father’s Day celebration this year, such as candles and razors, which had growth rates of 75% and 44%, respectively.

The sales results for Father’s Day 2023 were similar to last year as Packworks data showed that the demand for vodka doubled on the same day in 2022, while aluminum foil sales rose 772%, rice sales increased 216%, powder soup mix sales rose 215%, and flour sales climbed 157%.

The surge in alcohol sales came as the country’s inflation rate eased to 5.4% in June compared with 6.1% in May due to slower price increases for food, transport, and utilities.

“The inflationary difference could have adversely affected the demand for comfort food, as it discouraged people from purchasing them. This could explain the fragmentation of the top demanded product on Father’s Day,” Fourth Wall Research Director John Brylle L. Bae said.

Meanwhile, Mr. Bae said the ties of Filipino fathers to alcohol could be traced to cultural upbringing.

“In our culture, drinking is strongly associated with macho culture, and in the Filipino context, it is seen as a measure of one’s manliness. Therefore, regardless of economic changes, one can expect that any Filipino festivity that ‘celebrates’ a man will likely include inuman (drinking session), and, thus, alcoholic beverages,” Mr. Bae said.

Founded in 2018, Packworks is a local startup that provides a business-to-business platform that helps improve the efficiency and management of sari-sari or small family-owned stores.

The company’s Sari IQ tool uses data analytics to examine and predict consumer behavior across product categories and locations across the Philippines, allowing retailers and multinational brands to make data-driven decisions that boost sales for sari-sari store owners and expand their product offerings to a larger customer base. — Revin Mikhael D. Ochave

Neil