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A look into the warehousing business boom in the Philippines

E-commerce has been experiencing a sudden boom as Filipino consumers continue to flock to digital marketplaces. Many businesses are now searching for warehousing services or warehousing businesses in the Philippines, causing an increased demand for warehousing.

A 2020 study done by Colliers Philippines revealed that the pandemic disrupted the country’s consumer-driven economy. Retailers are innovating their processes to remain relevant and competitive with the changing landscape. This resulted in increased partnerships with logistics firms and warehousing businesses across the Philippines to reach consumers wherever they may be. 

In nine months alone of the previous year, the warehouse sector recorded a gross value of Php 118.4 billion. This accounts for 31% of the gross value added to the transport and logistics sector, an all-time high for the warehousing business in the Philippines.

The report also indicated that the average rental costs in Metro Manila ranged from Php 220 to Php 570 (per square meter). This is higher than provincial rentals which only cost Php 160 to Php 240 in Northern and Central Luzon. 

This demand for warehousing will likely continue post-pandemic and will be sustained by the continued shift of retailers to E-commerce. However, the main driver will still be the growing demand for online shopping.

If you’re looking for a partner to help you out with warehousing services in the Philippines, here are a couple of things you need to look out for:

Business Flexibility

Look for a warehousing partner that can be flexible when it comes to your needs. It’s a must for them to have warehouses in different locations, especially in key areas where you want to concentrate your business. This ultimately reduces the risk of having your products stuck in one place, giving you enough leverage to manage unforeseen circumstances.

Quick Delivery

It’s not enough that they are present across the country. What you need is a partner that can provide quick deliveries wherever your customers may be. It’s a definite plus for your business if you can offer customers same-day or next-day delivery. You should also consider cutting down delivery time for provincial areas.

Cheaper Shipping Fees

You haven’t even started, but savings are already at arm’s reach. Having warehouses in various locations also means shorter shipping distances from a warehouse to your customer. Because travel time and distance are shorter, it is only natural that shipping or delivery fees are significantly lessened.

With these things in mind, you now know how to choose the best warehousing business in the Philippines. But aside from these, go for a partner you know you can trust, and one that can help you scale your business.

Look no further because Payo offers warehousing services in the Philippines like no other! Aside from those mentioned above, it has a wide range of services that can help you manage your business in the digital space, including Live Customer Support, Last Mile Management, and a Fulfillment Service. Why go with different partners for each when Payo can already provide you with everything?


So if you need help in figuring out how warehousing works and how it can benefit your business, you can sign up with Payo today or send us a message at [email protected]. We’ll be right there with you!