Threads of change: Exploring Shopee’s impact on Taytay Tiangge sellers

18 hours ago 5

Upgrade to High-Speed Internet for only ₱1499/month!

Enjoy up to 100 Mbps fiber broadband, perfect for browsing, streaming, and gaming.

Visit Suniway.ph to learn

Noneng, 47, has been selling ready-to-wear (RTW) clothes in Taytay Tiangge for almost 14 years. He has witnessed first-hand how the tiangge (flea market) changed significantly. From a muddy, dark, and dimly lit area into a busy and vibrant marketplace.

(Before, the tiangge was just in one place. Even if you had eight plastic bags with goods to sell, you could expect to sell all of it. Now, there are so many… Even the big buyers, they now have stalls here.)

“Kasi dati, isang pwesto lang ang tiangge. Kaya kahit may dala kang eight na plastic (ng paninda), i-expect [mong] maubos mo ‘yun. Ngayon, napakadami na… Yung mismong big buyers namin, may pwesto na rin,” he shared.

He crafts his own patterns and designs for children’s wear, catering to kids ages one to five years old. With prices as low as ₱25, his stylish and affordable products make quality clothing accessible to a wide range of customers.

Noneng’s business is one of the thousands that give life to Taytay’s economy. Since its humble beginnings in the 1950s and 1960s, the tiangge has flourished into a bustling hub, housing 23 major associations of local RTW clothing manufacturers — each consisting of hundreds of sellers and stalls.

Numerous associations, including IGPAI Garments Center, BAGPI Taytay, MySeoul Tiangge, Masuerte 4JC, Fashion House, SD Tiangge Mall, 168 Tiangge, Tiangge ng Taytayeños, CME Originals, and many more.

Dubbed the Garments Capital of the Philippines, Taytay continuously attracts millions of bargain hunters and resellers nationwide who flock to its tiangge for high-quality yet affordable garments. According to the Business Permit and Licensing Office (BPLO) of Taytay, Rizal, the market generates an average annual revenue of ₱8.8 million.

“Ang tianggehan lang talaga ang nagbo–boost sa Taytay… Kapag narinig mo ‘yung tiangge, ‘Ano kaya ‘yung magandang tianggehan? Ah, Taytay na talaga ‘yung kilala,’” said Adjerah Mallari, a Local Economic Development and Investment Promotion Office (LEDIPO) staff, explaining the tiangge’s significant contribution to the town’s economy.

(The flea market is the only activity that boosts Taytay [economy]… If you hear the word tiangge, ‘What’s a nice flea market place?’ Ah, it’s Taytay that comes to mind.)

The marketplace continues to thrive, solidifying its identity as the heart and soul of Taytay — until the pandemic hit.

Unmasking the challenges

Like everything else, the tiangge’s operations came to a complete halt as lockdowns and strict health protocols disrupted everything the community once relied on.

Many stalls were forced to close down, cutting off the lifeline for many sellers like Noneng. “Umiyak ako noon. Ang dami kong stocks, pero noong mag-decide na close lahat, sobrang iyakan ‘yun.” he confessed.

(I cried back then. I had so much stocks, but when the decision to close all came, so many cried.)

With people forced to stay inside their houses, the shift to online shopping happened so naturally and almost instantly. E-commerce platforms such as Shopee and Lazada quickly made their way into the daily lives of Filipinos, offering convenience and the ability to shop safely from within the comfort of their homes.

According to Statista (2023), in the second quarter of 2022, Shopee solidified its position as the leading business-to-consumer (B2C) e-commerce platform in the Philippines, drawing approximately 72 million monthly web visitors.

While e-commerce platforms like Shopee have greatly helped many sellers keep their businesses afloat, traditional market sellers like Noneng — who rely on the physical presence of their customers — are facing significant challenges.

Shopee in different perspectives

For Cecilia Cruz, a tiangge seller of 10 years, Shopee’s influence has left her once thriving business struggling to compete.

“Dati bumibenta ako ng ₱100,000. Ngayon, wala na. Hindi ko na makuha yung ₱100,000 na yun… Wala pa yung Shopee, Shopee na ‘yan. Noong nagkaroon na ng online shop, doon mas naging apektado,” she explained, describing how her customers decreased as fewer people visit the tiangge because of the option to shop online.

(Before, I could sell P100,000 worth of goods. Not anymore. I can no longer get P100,000. Even before Shopee. When online shops emerged, that’s when we got affected.)

“Usually kasi, sa Shopee, mga Chinese ‘yan. Dapat mga Pilipino ang tangkilikin natin, eh halos lahat dito [sa tiangge] mga Pilipino.” Cecilia added.

(Usually, it’s Chinese who are behind Shopee. We should patronize Filipinos. Almost all of us here in the flea market are Filipinos.)

She has also experienced having her product designs stolen and sold online. Cecilia narrated how some buyers would visit her stall and purchase her products, only for them to imitate the pattern using cheaper fabrics to sell for a lower price online.

Upon interviewing, one of the reasons some tiangge sellers resist using Shopee to sell their products is the significant cost of seller fees. Shopee charges sellers’ commission fees, which vary based on the type of product being sold, transaction fees (2.24%), and platform shipping fees (4.48%).

RTW sellers on Shopee, under the fashion category, are required to pay an 8.74% commission fee.

Furthermore, additional service fees are charged to sellers under specific seller programs, such as Live Xtra (3.36%), Coins Cashback (3.36%), and Mega Discount Vouchers (4%). While these fees provide sellers with advantages like increased shop exposure, boosted sales, and livestream vouchers, many sellers operating on tight profit margins view these fees as a major drawback.

For them, the added costs make it difficult for them to maximize their earnings.

“Ang Taytay Tiangge kasi mas mura, kami ang factory. Ang online, papatungan pa nila ‘yun plus yung bayad sa Shopee. Kaya malaki diperensya.” stated Cecilia, pertaining the downside of purchasing products online.

(It’s cheaper in Taytay tiangge, we’re the factory. In online, they add on other charges plus the fee of Shopee. So, the difference is big.)

E-commerce as opportunity

While some sellers, like Cecilia, view Shopee as a competition, other sellers see it as an opportunity to grow their business.

Currently, there are 60 Taytay Tiangge sellers utilizing Shopee to market their RTW clothes. Out of 60, 21 stores are labeled as “preferred,” indicating that they are active sellers who provide a quality online shopping experience to customers.

One of those is Shane, a seller both in tiangge and on Shopee. She has been using the platform since last year.

Although there are countless sellers who offer similar products at a lower price, Shane, instead of regarding them as competitors, chooses to keep up with them and match their prices.

“Sinasabayan namin sila ng presyo, kasi kumbaga nasa amin yung item… Bibigyan din namin sila para fair lang kasi may store kami, may benta pa rin kami, may mga walk-ins.” said Shane.

(We match their prices, the item is with us so to speak…. We also sell to them so it’s fair because we have a store, we still have sales here, we have walk-ins.)

She also highlighted one key advantage of using Shopee while selling in the tiangge: it serves as a source of extra income, especially during times when their stall gets poor sales.

For instance, Shane earns ₱5,000 from her stall in Taytay Tiangge, but with her Shopee store — despite having only started last year — she has already seen her earnings grow to double digits.

This highlights how the shift to online shopping poses both an opportunity and a challenge for local markets like Taytay Tiangge.

Rebuilding life after loss

As more people transition to online shopping, the local government unit (LGU) of Taytay, Rizal, has launched strategic initiatives to help the municipality recover from economic losses and support tiangge sellers.

Evans Garcia, one of the board of directors of ILoveTaytay Garments Producers Association Incorporated (IGPAI) and the garment representative for the Civil Society Organizations (CSO) in the Taytay Development Council, elaborated on their initiatives to equip sellers with the skills and tools needed to keep up with the digital marketplace.

They partnered with the Philippine E-Commerce Association (PECA) and TikTok Shop Philippines to conduct seminars and training aimed at educating sellers, especially older ones, about e-commerce platforms.

“Pinapatrain namin yung mga bawat tianggehan [kung] paano mag-online selling. And then, si Mayor, meron siyang tinayo na office, yung Smile I.T. Lab… Information Technology Hub siya, na doon ka pwede turuan on anything digital, marketing, pag-open ng Facebook account, ng Gmail.” she said.

(We train each stall in the flea market how to do online selling. And the Mayor, he set up an office, Smile I.T. Lab… [it’s an] information technology hub where they are taught anything digital, marketing, how to open a Facebook account, Gmail.)

However, even when the restrictions eased up, the tiangge struggled to regain its pre-pandemic glory. In response, the LGU launched the Taytay Tiangge Night Market to draw shoppers back, revitalize the marketplace, and boost economic activity.

“First time magkaroon ng billboard ng Taytay. Tapos kung nakikita niyo, yung mga bus, puro may nakalagay na tarpaulins for promotions. Then, ti-nap [din] yung media channels para i-promote yung night market ng tiangge.” Evans shared, highlighting their extensive marketing campaign efforts to raise the foot traffic of the tiangge.

(It was the first time Taytay got a billboard. And then if you saw it, the buses, they had tarpaulins for promotions. Then they also tapped media channels to promote the night market of the tiannge.)

For them, the emergence of technology is inevitable, and rather than resisting it, the goal is to integrate it into their traditional ways of doing business.

Moving forward

Noneng and Cecilia, who have been in the tiangge business for decades, remain firm in their plans to continue selling solely at Taytay Tiangge for the coming years.

The rise of e-commerce platforms has undeniably reshaped the retail landscape, impacting businesses of all sizes, especially traditional markets like Taytay Tiangge. But, while some sellers are adapting to this change, many continue to prefer in-person sales, valuing buyer-and-seller interaction.

“Once na nag-post ka [online], asahan mo na bukas, may kagaya ka na. Mas maganda, kung nasaan ka (tiangge), doon ka lang. Ang pag-spread ng item, nasa customers na ‘yun. Hindi para i-spread mo sa social media, hindi. Talo ka doon,” Noneng asserted.

(Once you post online, you can expect that tomorrow, someone has the same already. It’s better whereever you are in the flea market, you stay there. The spread of the item, it’s up to the customers already. It’s not for spreading on social media, no. You’ll lose there.)

For him, Taytay Tiangge is an ideal place for resellers or anyone looking for garments at favorable prices. He further explained: “Unlike sa mga online, expected mo na ‘yun — may patong na si online seller doon sa bibilhin mo.” (Unlike with online, you expect that already, the online seller has a surcharge already to what you’re buying.)

Sharing the same sentiments, Cecilia Cruz has considered taking her business online, but she chose not to since it is a bigger competition.

“Kasi yung mga [buyer] namin, reseller na namin sila… Ayaw namin yung marami. Dagdag trabaho. [Yung] time namin kulang pa ‘dun sa (tiangge). Paano pa kami makakapag-online? Usually sila yung nag-oonline. Kami yung wholesaler, sila yung retailer,” Cecilia shared.

(Because our buyers, they’re already our resellers…. We don’t want that many. It adds to our work. We don’t even have enough time for the flea market. How do you expect us to do online selling? Usually, they’re the ones doing online. We’re the wholesaler, they’re the retailer.)

She also believes that shopping in person at Taytay Tiangge offers a better customer experience. It allows them to closely examine the product, try it on, and even negotiate prices with sellers — advantages that online platforms like Shopee cannot provide.

It’s not against progress, but the idea of additional work like packing orders, printing waybills, and shipping packages can be overwhelming, particularly for older sellers who are unfamiliar with Shopee’s operations and are already juggling the demands of their physical stalls.

The future of Taytay Tiangge may be uncertain, but one thing is clear for now: both the sellers and the LGU are committed to keeping the marketplace alive. Whether through adapting to change or finding new ways to thrive on their own. – Rappler.com

(Rejina Aniano, Charmie Cepe, and Dave Jacinto are 3rd-year journalism students from the Polytechnic University of the Philippines. This story was originally produced as a final requirement for their Business and Economics Journalism subject.)