The Standard 29th Anniversary Sect F

CYAN MAGENTA YELLOW BLACK

SECTION F FEBRUARY 29, 2016

THE DIGITAL GENERATION WITH 54% of the Philippine population falling in the 0-24 age bracket, it is very clear that youth is the majority. This means that digital natives now compose more than half of the population. With a fertility rate above the replacement rate at 3.0 births per female in the Philippines, it is safe to say that this is a situation that will not be changing for a very long time.

CYAN MAGENTA YELLOW BLACK

For the younger consumer population of digital natives, their facility in the use of technology and connectedness ensures that the internet is definitely the biggest point of contact. Unlike the previous generations of digital immigrants who still maintain some degree of distrust, the younger groups are more comfortable with doing everything online: connecting with their peers, learning, finding things, falling in love,

doing business, buying, selling and more.

Connectedness also allows this generation more access to information. They are quickly made aware of issues affecting them and their country, which makes them the best vectors for advocacies and issues awareness. Connectedness, plus the passion of youth is why advocacies that have hardly gained headway in previous decades are now rapidly gaining ground now.

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29th Anniversary editorial@thestandard.com.ph

E-CommErCE, m-CommErCE and thE ConnECtEd GEnEration It Is a fact. E-commerce and m-commerce are still on the rise. While many would say that the past decade (and its experience with the bursting of the dotcom bubble in its earlier years) may mean that the digital space is too crowded, the fact remains that for a fast-growing market like southeast Asia, the cycle has not yet gone past its growth phase.

Internet and smartphone penetration’s rapid increase in 2014 and 2015 ensure massive opportunities for commerce on the web, particularly on mobile. The Philippines with its 41% Internet penetration – higher than that of the region’s 32%– represents a promising market of around 44 million users, with steady growth expected, particularly in the area of mobile. In fact, according to Euromonitor International, mcommerce is expected to reach US$9 million in both Philippine and Thai markets by 2018.

Smartphones and mcommerce In 2014, the Philippines grew by 60% in terms of retail volume, with recorded sales of

smartphones hitting 10.8 million units for the year. This number may even be higher considering the gray market and the underground economy.

This growth was largely fuelled by the entry of low-cost phones – not just from the local and secondary brands, but from the top brands – as part of the efforts to push subscribers into using more data.

The low costs are key: whereas in previous years, smartphones cost upwards of Php30,000, the number of sub- Php 10,000 and subPhP5,000 units and models have grown exponentially in the past several years, making them more affordable particularly

to younger consumers with less disposable income.

Opportunities for mcommerce The increased smartphone penetration through low-cost phones aimed at younger customers equals increasing opportunities in mobile commerce.

Internet retail appeals more to younger consumers as they are generally more t e c h n o l o g y- s a v v y, digita lly-connected and highly exposed to e-commerce. Younger consumers are also more open to its novelty, as well as have more propensity for impulse buying, making them more receptive to internet shopping.

New developments, like iOS and Android

apps make it easier for consumers to get updates on new products.

Lazada, Zalora and other retailers have developed applications for mobile, with other industries are jumping into the app craze . Banks are now creating mobile apps for their customers, as are different businessesfood companies, individual clothing brands and more.

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Some analysts attribute the growth of m-commerce in the Philippines to the booming business process outsourcing (BPO) industry. International working hours and night shifts make the 24/7 nature of m-commerce much more viable than regular shopping.

Peer influence via social media applications, as well as a greater willingness to accept information through mobile applications, have also contributed to the growth of the mobile phenomenon.

While older Filipinos are still uncertain about online payments, and prefer Cash on Delivery arrangements, younger users are more comfortable, particularly with known secure online payment systems such as Paypal, G-Cash, Smartmoney, Dragonpay, Pesopay and the like.

Physical payment centers such as banks, convenience stores and pawnshops now also accept payments for online transactions, addressing half the discomfort of making online payments.

Still has more potential Many experts say that mobile commerce in the Philippines still has not yet reached its peak. Compared with internet usage statistics, particularly on social media, current mobile commerce statistics prove that there is still much room to grow.

But with more players, more education, more tools –most likely coming from a population of digital natives, we can be quite certain that we will see rapid acceleration in the growth of mcommerce in the Philippines.

Senator Maria Lourdes 'Nancy' S. Binay

M

y WARMEST GREETINGS and congratulations to The Standard on its 29th anniversary.

Over the years, we have all witnessed the transformations that The Standard has gone through. It underwent a media merger, endured several management turnovers, and most recently, settled to the "tallboy" print format.

Despite these various changes, The Standard continues to strive on, innovating and adapting to these fast-changing times.

This brings to mind the words of Italian political thinker Niccolo Machiavelli, "Whosoever desires constant success must change his conduct with the times."

This rings true for The Standard as it continues to improve to this day, ever vigilant in its mission to "define the news."

With this year's theme - "Driving the Change: The Standard 29th Anniversary Special," I pray that The Standard remains faithful to its readers by delivering its own kind of reportage - timely, concise and unvarnished.

On its 29th anniversary, I wish that The Standard's resilience and tenacity may be imbued by its next generation of employees, empowering them to face new hurdles and challenges that the future may bring.

Mabuhay ang The Standard at ang malayang pamamahayag!

Senator Maria Lourdes 'Nancy' S. Binay

Fast FaCts about mobilE rEtail • Mobile traffic constitutes more than 50% of daily traffic of Lazada.com.ph; • Since its launch in early 2014, the Lazada Mobile App downloads have grown 18% month-on-month on iOS and Android; • Each Mobile App and Mobile Browser user spends an average of 5 minutes shopping online; • Mobile App users shop more regularly and make more purchases per year;

• 60% of those who shop via mobile are female customers between the ages of 24-35; • Most mobile users shop during their lunch breaks (in the hours of 11:00 AM-1:00 PM) and before they go to bed (in the hours of 9:00 PM -10:00 PM); • Fashion, Health and Beauty, Electronics, as well as Home and Living items are currently the most search and bought items via mobile (From Lazada.com.ph)

YOUR WORLD MADE BETTER San Miguel Corporation is one of the Philippines’ largest and most diversified conglomerates, with sales accounting for 6.2% of the country’s gross domestic product in 2014. We are a beverage and food company, but we are also an oil refiner and marketer, a power generation company, and a builder and operator of vital infrastructure projects.

As a leading Philippine company, we are giving our nation all the support it needs to expand and grow. With the completion of our 88.85-kilometer Tarlac-Pangasinan-La Union Expressway, we will help push progress and accelerate trade and tourism throughout the Philippines’ Northern region.

It’s one of the many things we do to help build a better world for the next generation.

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29th Anniversary editorial@thestandard.com.ph

Globe backs Mobile DesiGn awarD in aDobo DesiGn awarDs asia Supports new category to encourage use of digital technologies in addressing social challenges

As the purveyor of the Filipino digital lifestyle and thought leader in digital design, Globetelecom is partnering with adobo Design Awards Asia in recognizing the best and the brightest talents in design for digital and interactive media.

Globe Senior Vice President for Corporate Communications Yoly Crisanto

Specifically, Globe is supporting the Mobile App Design for Social Good, which will recognize entries in the mobile application format that present creative solutions to social issues. In addition,Globe is also supporting sub-categories under Digital/Interactive category, which will recognize entries that are interactive interface, or motion designs used for digital problems.

“With a growing number of our population now going digital, we should be able to tap on fresh talent with this new category. We are happy to collaborate with adobo magazine and the D&AD in coming out with the Mobile App Design for

Social Good category to bring out the innovative spirit among many Filipinos,” Globe Senior Vice President for corporate communications Yoly crisanto said.

“By supporting this award, we continue our course of being the purveyor of the Filipino digital lifestyle,” crisanto emphasized.

More entries from the Southeast Asia region are expected this year, which is expected to further enhance creative excellence in the Philippines and in the region. Deadline for submission of entries will be on February 27, 2016 while awards night will be held on April 8, 2016 and celebrated along with adobo magazine’s 10th anniversary. this year’s adobo Design Awards Asia will also be undertaken in partnering with D&AD, a British educational charity that promotes excellence in design and advertising. Originally launched in 2007, the competition covers over 20 categories and is open to all creative enthusiasts, professionals, freelancers and students. the competition has since grown to include international entries, raising the bar even higher to parallel global standards of creative excellence. Students and freelancers will get a chance to showcase their fresh ideas and be critiqued by established names from both advertising and design.

“We would like to thank Globe telecoms for presenting this year’s Mobile App Design for Social Good award. We at the adobo Design Awards Asia are very excited to have a company that is held in such high esteem as Globe to be part of this year’s awards. It is very heartening for us to see you support a mobile application that aims to present creative solutions to social issues or problems,” said Angel Guerrero, founder and editor-in-chief of adobo magazine.

Mobile start-up raises private capital PItAcA Digital Services (PDS) has successfully raised funding from private institutional and individual investors for iRegalo, its highly innovative online service. iRegalo allows Filipinos anywhere the convenience of sending gifts or electronic gift certificates (EGcs) to their loved ones directly from their phones or computers.

Serving the large and growing remittance market, iRegalo uses state-of-the-art EGc technology to make sending gifts simple and easy. PDS was advised by carillion Partners, a provider of strategic, business, investment, and financial advice and services to investors and investees in the private equity, venture capital, and private debt space.

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29th Anniversary editorial@thestandard.com.ph

WE LIVE in the age of wanderlust. Today, traveling from one place to another is no longer an indulgence but has turned into an excursion that Filipinos can do on a weekly basis. There used to be a time when traveling was exclusive for the elite but as seen in the trend last year, it is now considered to be the Filipino’s favorite pastime.

Whether scurrying to travel the best sights of the world or simply traveling on road trip to a nearby destination, Filipinos are now hungrier than ever to see the world.

QUENCHING WANDERLUST IN 2016: THE STORY OF TRAVEL IN THE PHILIPPINES Because of this, there is a shift in the priorities of Filipinos, instead of simply investing all of their money in the tangibles of life, Filipinos are more aware of the joy brought about by experiences. Today’s generation firmly believes in securing the future but they are also very much aware of the here and now. Because of this, they are able to place greater emphasis in experiencing life and simply going for it. Travel is no longer planned out months before but can be done spontaneously.

And this affects the nation positively because today, the country is filled with citizens who are curious. No longer confined by the four walls of the country, more and more Filipinos are encouraged to look beyond what they have grown up in in order to develop a stronger sense of self. This is reflected in the way they view the country and how it can improve. This kind of mindset has shifted an entire generation making them more aware of what’s happening in the country in an effort to match what is being done elsewhere.

Even the Department of Tourism (DOT) has seen the steady spike in what they believe is a national craze. DOT Secretary Ramon Jimenez is quick to say that the number of Filipinos that has traveled within the country alone has grown steadily in the past year. What’s even more exciting is the fact that Filipinos are taking greater interest in exploring the different parts of the country. Included in their bucket list is not just the many different sights of the world but also to the many previously unchartered destinations in the country. The interest is not only growing the Filipinos as individuals but also fueling the country as a whole.

The Essence of Travel Without a doubt, social media has fueled the fire for Filipinos to travel. Through social media, Filipinos are given more information about traveling that was previously not available to them. Numerous information can now be found with a click of a mouse and the easy access to this entire catalogue of information has inspired Filipinos to stop thinking about trips and just go for it.

Articles shared on Facebook, how-tos posted on different news agencies, and picturesque photos found on Instagram have inspired a generation to just get up and leave. Traveling is more than just booking

a flight and a hotel; it has been associated with experience. The link to social media and how quickly one can share information is also associated with the excitement.

Filipinos also want to get out of the city. Their day jobs consume their weekdays which is why long weekends are savored by packing their bags and going to the. Filipinos no longer plan ahead; they simply pick a destination and go for it without thinking twice. Gone were the days of prestigious travel, today, travelers are more concerned with what they expe-

rience and gain from traveling rather than the luxurious side of it.

The increase in spending power due to a stable economy also adds to the heightened desire to “see the world” that would eventually enhance who they are and their sense of it.

Why Filipinos Travel In the past year alone over 47 million Filipinos traveled across the country. This is a 2 million jump from the 45 million who traveled in 2013. For quite some time now, Filipinos have always associated the

word travel with seeing different parts of the world without realizing the beauty found in their own country.

The interest of foreign news outlets, celebrities, and bloggers in the country and visiting the best beaches has propelled the Filipino people to do the same.

Our strikingly beautiful beaches, which has been reviewed in different foreign news outlets has also been a source of inspiration for Filipinos to see what other nationalities are seeing in our country.

According to DOT’s Jimenez, traveling is no longer reserved for a very few but has become a growing industry that is easily becoming a pillar for the booming economy.

Added data provided by the United Nation World Tourism Organization or the UNWTO specified Filipino as part of the world’s top travel spenders.

And this is because traveling has become a way of life for most Filipinos. More than it being a luxury, once-a-year expenditure, it has already become something to do on a monthly, sometimes even a weekly basis.

For Filipinos, traveling is exciting and new. What used to be out of reach is now easily accessible and what used to be seen as a luxury is now easily attainable. The widespread of packages and cheaper airfare is also one of the main reasons why Filipinos travel.

Fueling the Local Economy A large part of the bolstering local economy can be attributed to the growth in the Filipino’s interest to travel locally. More and more Filipinos are traveling to the best parts of the country while In late 2014 alone, the tourism industry contributed over P1.4 trillion to the local economy as studied by the World Travel and Tourism Council or the WTTC. Their 2015 report stated that the total contribution of the sector is expected to increase even more in the next twenty years.

A large part of this number can be reflected in the fueling of many local economies. Since more and more people are traveling in the different parts of the country, more jobs are made and better opportunities are given. The latest trend in traveling among the young ones is finding spots that aren’t infiltrated by tourists yet. And this helps the country as a whole because now spending is no CONTINUED ON F7

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MOBILE START-UP... From F4 At the signing of the agreement, iRegalo Chairman Manolo Aquino said, “We are glad to successfully conclude this funding exercise. We believe that iRegalo will be a key driver of innovation serving the remittance market.” iRegalo President Martin Nery added, “We are partnering with a host of merchants who will enable us to extend our reach across the country. We believe iRegalo will provide compelling convenience and tremendous value to our kababayans supporting their families here.”

“We are delighted to have helped make possible the launch of iRegalo, which promises to be a game changer in the Philippines’ e-commerce landscape and to profoundly improve the way working Filipinos send their love to distant families for whom they sacrifice so much,” remarked Carillion Managing Director Mari Gomez. “Post-investment, we feel privileged that we shall play a continuing role in iRegalo’s story, by contributing strategic inputs aimed at growing and strengthening PDS’s enterprise value.”

About PDS and iRegalo: Pitaca Digital Services is a start-up led by telecom and consumer products experts. Its launch platform, iRegalo, offers control and convenience to the online Filipino remittance market. iRegalo gives Filipinos working away from home a worry-free means of providing for their families’ needs. With just a few clicks, Filipinos can send flowers and gadgets to family and friends anywhere in the Philippines. Soon, iReg- Seated (L-R): Martin Nery, iRegalo President; Manolo Aquino, iRegalo Chairman; Mari Gomez, Carillion Managing Director. alo users will be able to send EGCs honored at participating Standing (L-R): Andrew Fernandez, iRegalo Head of Marketing; Gilbert Paras, iRegalo Director and CFO; Norvin Villa, Carilhospitals, clinics, drugstores, supermarkets, and other mer- lion Investment Analyst; and Gerald Baldivia, Carillion Managing Director. chant types all over the country.

does so to experience life and not simply be in a hotel room. This is the reason why more and more people are opting for these “experience” packages in order to fully make the most of their trips. These packages define what the generation is looking for: fun and adventure. Instead of just shopping and being in a hotel, they crave experiences that are unique and one that they can share with friends. The more unique the places and experiences, the more attractive it can be.

Aside from this, seat sales, piso fares, and even travel expos (which are always filled to the rafters) are also extremely popular in the country. Just in the first week of February 2016 alone, Manila opened its doors to the first travel expo and people from all over the country flocked to the three-day event. This is a clear sign of the common Filipino’s priority: to relax and see much of the world as they can.

Affordable airfares as offered above is also one of the reasons why it has become easier to simply pack your bags and go. This is good news for the country because as spending power increases, more of it is given back to the country through travel and excursions.

Truly, traveling is now embedded in the Filipino lifestyle. Traveling is a lifestyle and will continue to be so in the years to come.

QUENCHING... From F6 longer concentrated in Metro Manila but rather distributed almost evenly among the different places in the country.

Gaining traction in recent years aside from the favorites Boracay, Palawan, Cebu, and Baguio is Zambales, Batanes, Bukidnon, and Batanes. In fact, it is through the advent of social media that these places were discovered and fully enjoyed.

The investment of travel in the country has also fueled foreign investments. These investments can be seen in property growth in the travel industry bringing in more resorts, hotels, and similar endeavors.

Also more and more foreigners are also bringing in more business for the country by choosing to travel to the Philippines. Upon the discovery of the many beautiful sights in the country, foreigners make the Philippines their top destination.

The Convenience of Traveling In today’s day and age of social media and technology, just about everyone can access websites that provide cheaper packages in the most convenient ways.

Instagram accounts such as Access Travel PH and Destination Getaways are easily accessed by millennials and packages that include airfare, accommodations, and even fun tours that are very different from what one has been accustomed to.

More than fancy hotels, these small travel agencies bank on experiences. More than booking you a first class ticket, they rely on the differences in your experiences. The typical traveler

W ELCOM E TO YO UR MO DE RN S UBURBAN COMMU NIT Y

X) e xpr te E Cavi Manila-

Regarded as the future city of the South, the sprawling 700-hectare estate is masterplanned to offer fundamental mixed-use components – from a wide range of horizontal residential options, sports themed retail with healthy dining selections, a central business district, hotel, educational institutions, and entertainment that are seamlessly integrated with generous open spaces that allow opportunities for social convergence and encourage efficient movement in everyday life.

Location: Daang Hari, Cavite Developer: Ayala Land Inc.

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Vermosa. A new way to live. A new way to achieve. A new way to engage.

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Redefining suburban living, this future city will showcase the Vermosa Sports and Lifestyle Complex that will house world class sports facilities including an Olympic size pool, oval track, motocross track, bike skills trail, and the country’s first Sports Science Laboratory.

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From Ayala Land, developer of the Makati Central Business District, Bonifacio Global City, Nuvali, and Ayala Alabang, comes another signature development, Vermosa.

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Fuel your passion for a healthy and active lifestyle.

Artist’s Perspective of Vermosa Sports & Lifestyle Complex

Alabang Exit Filinvest Exit Muntinlupa

Muntinlupa Cavite Expressway

Susana Heights Exit

Only 13kms south of Ayala Alabang and accessible via the new Muntinlupa Cavite Expressway (MCX) and Daanghari Road