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Shelf parties are not good news for Filipinos Christmas
MANILA, Philippines – Karl Benson Molina de Rizal would normally look forward to the start of the “ber” months, as this also means work. Molina, a full-time talent development manager who earns on the sidelines hosting events, said this year is different, not thanks to the pandemic.
“Usually as soon as September rolls around, I get inquiries about my services for weddings, corporate events, and Christmas parties,” Molina, 31, said in an interview. “No one has come close yet and I have a feeling that would be the case for the rest of the quarter.”
The coronavirus is proving to be the Grinch of Christmas this year, and the impact can never be more obvious in the Philippines, where large family and corporate gatherings often mark the longest Christmas season in the world.
The ban on mass gatherings of more than 10 people is wiping out plans for the holiday season and leaving an entire industry employing some 402,000 people with no reason to celebrate. “Live events prior to COVID-19 would usually generate an estimate of P1.5 billion in the country’s GDP (gross domestic product) during the Christmas season,” said Shakira Villa Symes, lead coordinator of the National Coalition of Events in Alive.
“The top-grossing events are corporate end-of-year events for telecommunications companies and call center companies, he said in an email response to inquiries.
So far, the industry group, formed at the height of the closings in March to help members, has seen 97 local businesses shut down due to a consequent drop in bookings for weddings, concerts and even fashion shows. The revenue losses this year have reached a staggering P133.1 billion and a gloomy Christmas isn’t making things look happy.
Virtual celebrations may become the norm, but the moderate scale of such occasions is unlikely to outweigh traditional live gatherings. “Right now, 35% of the live events industry has been buoyed through virtual events and cross-platform…” said Symes.
“The remaining 65% is the considerable decline in the industry that affects the performing arts and theater sector, as well as the concert and musical events sector,” he added.
Beyond industry, the consequences can be dire. The lack of large holiday events would mean moderate sales on everything from food to gifts that normally come with large gatherings. Jollibee Foods Corp., the local fast food brand that caters for these events, is hopeful that the benefits of the digital shift will “carry over” into Christmas and help offset its P19 billion in net losses through June.
Similarly, the overall economy is likely to suffer. Consumer spending, which accounts for 70% of annual economic output, plunged to a record 15.5% year-on-year in the second quarter, bringing confidence that suffered a record low. There would be no vacation bonuses, while a drop in remittances abroad would ultimately affect the purchasing power of families.
“I think the holiday celebration for both companies and organizations will be very toned down,” George Barcelon, president emeritus of the Philippine Chamber of Commerce and Industry, said in a telephone interview.
Acting Secretary for Socioeconomic Planning Karl Kendrick Chua is equally unsure of a Christmas boom. “The consumer’s perspective depends on how the economy will perform, and this depends on how open the economy can be,” he said in a Viber message.
But people like Molina expect the worst. “I think that due to our government’s poor response to the pandemic, the events industry will continue to be affected in the coming quarters,” he said.
“Things are not getting back to normal,” Molina said.
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