Mobile commerce (m-commerce) in the Philippines is projected to hit USD 11.1 billion (approximately PHP 632.9 billion) in 2025, representing 25.9% of the nation’s digital commerce market, according to a recent analysis by UnaCash, a provider of in-app and in-store financial solutions.
This anticipated growth marks a significant 20.4% increase from 2024’s expected m-commerce level of USD 9.2 billion.
The sector, encompassing online purchases made through devices like smartphones, smartwatches, and tablets, has been expanding rapidly in response to changing consumer preferences and technological advancements.
A major contributor to this surge is the ‘Buy now, pay later’ (BNPL) option, which UnaCash estimates will account for nearly 30% of the m-commerce volume next year.
BNPL services appeal to consumers seeking financial flexibility, particularly younger, tech-savvy Filipinos who value the convenience of installment-based payments.
“Mobile commerce is reshaping consumer expectations in the Philippines, with BNPL contributing to its impact,” said Erwin Ocampo, head of product at UnaCash.
“This growth signals a critical turning point for retailers, a move where adopting mobile-first strategies such as integrating BNPL options can not only capture the growing digital audience but also enhance customer satisfaction. This also includes driving repeat purchases and staying competitive in an increasingly mobile-driven economy. It’s clear that those who adapt to this shift will see long-term gains in market share and customer loyalty.”
In 2023, m-commerce generated USD 7.8 billion (PHP 433.7 billion), accounting for 24% of the total digital commerce revenue. This marked a significant 37.3% increase compared to 2022, showcasing an average annual growth rate of 67.6%.
The Philippines’ high smartphone penetration rate of 73.7% in 2023 has fueled this digital shift, surpassing the global average of 51.2% and Southeast Asia’s 62.1%.
The widespread adoption of electronic wallets has also supported m-commerce expansion, becoming the preferred financial tool for many Filipinos.
The convenience of e-wallets and their integration with e-commerce platforms have further encouraged consumers to transact online.
UnaCash projects that m-commerce will constitute 13.2% of the Philippines’ total retail market, which is forecasted to reach USD 83.7 billion (PHP 4.7 trillion) by 2025.
The company also estimates there are around 87.4 million digital commerce users in the country, exceeding the population aged 15+ by 6%, indicating a strong digital reach among younger audiences.
UnaCash has been proactive in adapting to these trends by upgrading its BNPL services to include point-of-sale loans accessible via its partner merchants. This aligns with the company’s goal to bridge financial gaps through innovative solutions and data-driven strategies, ensuring that more Filipinos have access to flexible payment options.
“Our analysis confirms that the growth of m-commerce, bolstered by BNPL, is a vital part of the digital ecosystem that retailers should harness,” Ocampo added.
