Revenge spending, entry of more foreign players

By Rizal Raoul S. Reyes

Joey Roi Bondoc, research manager of Colliers Philippines said the rebound is because people enjoy greater mobility these days as they are more free to go to the malls restaurants and other establisments.

“Revenge growth is getting a huge lift because of the opening of more flagship stores, revival of interest in experiential retail, more foreign retailers occupying mall space, consumption-led gross domestic product growth and income tax cuts to result in greater disposable income,” said Colliers

Philippines research head Joey Roi Bondoc in the company’s recently held Philippine Property market briefing for the first quarter of 2023 in Makati City.

Bondoc noted that there was vast improvement in terms of human traffic from 50-60 percent of pre-Covid levels up to 90 to 100 percent in the first quarter of 2022. Furthermore, he observed a proliferation of flagship stores in Glorietta 3 (Foot Locker), Powerplant Mall (New Balance), SM North EDSA (SM Watsons’ 1000th branch).

According to Colliers, there will be a 2.5-percent growth in rents this year after a 11-percent growth in 2022. According to the Philippine Statistics Authority, the hotels and restaurants segment posted a growth of 28 percent in 2022 from a measly 4.6 % in 2021 in the growth per consumption segment. “The rebound is due to greater mobility,” Bondoc said.

Rising in the east I N t he eastern part of the National Capital Region (NCR), the latest brands that will establish their presence in the Pasig-San Juan area include Fridays, Dean and De Luca, Hush Puppies, Harlan+Holden, Crocs, MN+LA and Vitos barbeque.

To maximize the boom brought by revenge spending and at the same time achieve a stronger branding position, the Bistro Group recently opened six new restaurants at the East Wing of the Estancia Mall to satisfy diverse palates: Italianni’s, Texas Roadhouse, Randy’s, Denny’s, TGIFridays and Modern Shanghai. Plus, there’s also Buffalo Wild Wings