Packworks

Streamlining supply chains and increasing resilience for Filipino retail store owners

PROBLEM:

Nearly 90 per cent of micro and small businesses in Philippines are owned and run by women, however most of them lack digital tools for inventory and sales management.1 This results in a lack of data availability for the FMCG companies leading to inefficient flow of goods in the supply chain between FMCG companies, distributors, and last‑mile micro‑retailers.

SOLUTION:

Enabling FMCG companies to have full visibility of their inventory movement across the various layers of their supply chain to the last mile of small businesses, helps them understand demand behavior enabling implementation of detailed trip planning and streamlining of
delivery execution.

Packworks, connects with sari‑sari stores (microstores) around the country and collects real‑time inventory and sales data at the last mile by integrating their platform with FMCG clients. The platform offers point‑of‑sale, inventory management, and online procurement to micro‑store owners, enabling them to streamline their operations and access a larger selection of products at a lower cost. It utilizes data to reduce the number of trips required to fulfill the same volume of goods resulting in lower overall diesel consumption of the supply chain, and therefore lower CO2 emissions.

Impact Thesis:

Through this investment, ADB Ventures is looking to support inventory and sales digitalization at micro‑retail businesses primarily owned by women, to facilitate increased store sales and more efficient logistics/fuel savings in the supply chain.

ABOUT PACKWORKS:

Packworks, a B2B technology platform, operating in the Philippines, is currently optimizing deliveries to more than 200,000 micro‑retailers, the majority of which are women‑owned. An initial study by Packworks suggests that real time data and analytics increases store sales up to 35 per cent and reduces logistics costs by 10‑20 per cent via pre‑ordering and consolidation positively impacting the livelihood of the micro‑entrepreneurs.

Theme:

Green Supply Chain

Investment Executed:

December 2022

ADB Ventures will invest in Packworks in August 2022*. It provided seed financing in July 2021

Impact SDGs:

Target Impact:

Climate Mitigation, Financial Inclusion & Gender Equality

Packworks aims to reach increase the sales revenue of 70,000 women-owned micro retailers and plans to mitigate 60,000 tonnes of CO2 emissions by 2026 through fuel savings.