Digital payments help MSMEs’ quick growth
Among the businesses that have started accepting digital payments, those taking cards witnessed the most significant turnover increases
Daily TribuneAmong the businesses that have started accepting digital payments, those taking cards witnessed the most significant turnover increases
International digital payments firm Visa’s survey on small and medium-sized businesses (SMEs) in the Philippines showed 51 percent of women-led SMEs and 56 percent of micro-businesses experienced revenue growth with digital payments adoption.
Given that women constitute over half of Asia’s population and SMEs’ vital role in the economy, maximizing women’s economic potential could add $89 billion annually to the Asia Pacific economy including in the Philippines.
Department of Trade and Industry data showed that 99.5 percent of businesses in the country are micro, small and medium enterprises (MSMEs) with almost 50 percent of them in wholesale and retail trade, generating 65 percent of total employment.
Furthermore, micro, small and medium enterprises (GDP).
The Visa study found that managing businesses has become easier for 72 percent of the surveyed SMEs in the Philippines.
GCash dominates
Electronic wallets, predominantly GCash, dominate as the main provider of digital payment for SMEs, especially those that are female-led (61 percent) who were surveyed in the Philippines.
Visa has partnered with GCash to introduce the new GCash Card — giving millions of unbanked Filipinos access to the benefits of owning a payment card.
Among the businesses that have started accepting digital payments, those taking cards witnessed the most significant turnover increases (83 percent).
Digital payments provide instant transfers and enable cashless transactions for an enhanced commerce experience.
Visa supports SMEs in the Philippines by offering widespread acceptance and robust protection for both merchants and customers, guarding against fraudulent activities.
“My business has grown since I introduced digital payment methods. I appreciate the convenience, speed, and the ability to easily track payment records. It provides my customers with a convenient cashless payment option, too. I hope to expand my business beyond the Philippines so enabling cross-border payments will help me grow my customer base,” Guaya Melgar, CEO and co-founder of Mochi, a billing and collections platform, said.