The Philippines’ mobile commerce (m-commerce) sector is projected to contribute around $11.1 billion (P632.9 billion) to the country’s digital economy in 2025, accounting for about 25.9% of total digital transactions, according to UnaCash, a provider of financial solutions.
This anticipated growth represents a 20.4% increase from 2024, with m-commerce transactions expected to hit $9.2 billion this year. The m-commerce segment includes purchases made on smartphones, tablets, and other mobile devices, where demand for flexible payment options is driving expansion.
UnaCash reports that “Buy now, pay later” (BNPL) solutions are fueling m-commerce’s growth, expected to cover 30% of m-commerce volume in 2024. Younger consumers, particularly those tech-savvy and keen on payment flexibility, are increasingly attracted to BNPL options, which allow purchases in installments without requiring upfront payment.
The rise in m-commerce is supported by a steady increase in smartphone usage. In 2023, 73.7% of Filipinos owned smartphones, compared to 51.2% globally and 62.1% across Southeast Asia. This, combined with the popularity of e-wallets for financial management, is encouraging more digital transactions.
“Mobile commerce is reshaping consumer expectations in the Philippines, with BNPL contributing to its impact,” said Erwin Ocampo, head of product for UnaCash.
He highlighted that adapting to mobile-first approaches, including BNPL, can strengthen retailers’ competitiveness and build customer loyalty in a market shifting toward mobile transactions.
M-commerce is estimated to comprise 13.2% of the total retail market in the Philippines, which is projected to reach $83.7 billion (P4.7 trillion) by 2025, showing a significant opportunity for retailers to capitalize on this digital shift.