VOL. 6 ISSUE 51 • SUNDAY - MONDAY, MAY 26-27, 2013
www.edgedavao.net
P 15.00 • 20 PAGES
EDGEDAVAO Serving a seamless society
CASH VERSUS CARD
Why is Davao still a cash economy? By Neil Bravo
D
avao City is still a cash society, far from the global trend of card economy.
Tjader P. Regis, marketing director of NCCC Group of Companies, revealed that Davao remains a cash economy with only around 20 percent of consumers engaged regularly in card transactions. The NCCC Group of Companies runs such retail chains as the NCCC
Mall Davao, Choice Supermarket and HB1. Despite the trend in global commerce, Davao has not yet reached the level where it has accepted the use of cards and electronic transaction platforms according to Regis. “It’s still 80-20 (cash to card ratio),” said Regis during the official announcement of the NCCC-EC PayGaTE Distribution partnership on Thursday.
among the contributory factors for Davao economy being cashbased are largely due to the attitude of Dabawenyos to shop with cash and the limited accessibility to credit card subscription due to the stringent screening process banks put premium on card approvals. The low penetration rate, however, still reflects the current low penetration rate of e-commerce in the Philippines which is presently at 3
percent. Market analysts, nevertheless, foresee things to change with the current tremendous growth of internet usage in the country. The increase in internet usage is felt more noticeably in electronic transactions. Regis said more Dabawenyos use electronic transactions in paying their bills. Utilities like electricity, telecommunications, and cable tele-
FCASH VERSUS CARD, 10