Failed Attempt At Doing Some Domestic Philippines Sales

Posted by Michael Michelini on Jul 30 2010

So last week i thought it would be fun to have the staff here try to sell some of products in the Philippines, starting with our exclusive new product, the electrapour. Had a carton shipped over from china last week from a friend.

Takes about a week to arrive (via EMS) and we get a note on the door that we have to go to post office customs center to pay customs and claim it….

Well, i was smart enough to put it in maries name, as i knew if my white ass foreign self were to claim it (1) i cant do business in philippines now (2) they would definitely charge me the fullest amount of tax….

So after our night shift, 3 of us hopped on the bus and headed over. Its near the airpprt, there is only buses, and traffic in manila is horrible…so it took about 2 hours (leaving at 7 am arribing at 9am), but the bus did have air conditioning and i watched the end of “the punisher” movie and then most of “face off” @all in english, with english subtitles, aeesome(. So after a 19 minute walk next to the airport …….

Jen and marie went inside, while i sat outside the customs office, flipping down my new shades…hehe. As we were all certain if i had gone inside then it would be an expensive transaction….(stupid white guys)

Im sitting out in this hot bus stop about 45 min….wish i had a better internet package on my local filipino mobile phone…..so I get bored and decide to walk in and take a look.

THEY ARE WAITING FOR THE BIG BOSS – about 6 workers sitting around desks in the warehouse doing nothing, but they have to wait for the big boss to check the package and “determine” the customs fee.

So Marie advises I just sit back outside…..so I do…..Later Jen comes to me outside and says it will be 200 pesos (about 6 dollars), I’m like no problem and give her the cash to bring inside. Well, waiting another 10 or 15 minutes, I’m calling Marie……she brings out a RECEIPT for over 3,300 pesos (70 us dollars) …the declared VALUE is $75……..She shows me the “receipt” they made, hand written…..with so many different fees it made US customs look like nothing! JEEEEZ, I said no freakin’ way i’m gonna pay this, they can keep it.

Marie tells me one of the guys she was flirting with gave his mobile phone.  The guys inside were asking Marie and Jen who I was, was I their boyfriend….haha, they told them I was their CUSTOMER.  Anyway…..the customs workers told the girls they could help them get the package in a few days after work, meeting up for drinks at a bar…  UNBELIEVABLE, right????  Hey, whatever it takes I guess, right.  But this system makes no sense, I guess its made up as they go, and how they feel that day…..

Later talking to others, Louie tells me that the customs officials are the first people in the country to benefit from its corruption.  I guess this is why Filipinos JAM as much checked luggage on the airplanes they can…..knowing anything they were to mail to their home country would be taxed out of control!!!!  Sad world……this holds back its country’s people from receiving new and innovative products, and wastes money in the business flow…..

I ask for 1 piece out of the box to take, and we walk back to the bus……sooo annoyed….we did take a trip to the nearby MOA (Mall of Asia) which is the 3rd largest mall IN THE WORLD. The 2 ahead of it are in China they tell me. It was pretty massive mall.  Right along the sea, I get my TACO (man, do I love tacos, missed them so much since being in China so long) – had a San Mig beer, and then headed back to Quezon city.

What an experience…..just sharing the corruption and inefficiency witnessed today.  Sad.  I’ll get these pourers, really, through some family connection or some flirting girls.  Crazy world, but again, gotta be flexible right….

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  • BillyBob Fudsucker

    Electraour is “new”? Haven’t you been trying to pimp that dog for about a year and a half? And didn’t you claim that electrapour’s successful competition, flashing bottle pouers, gave bartenders “seizurs”? Or did I just imagine all of that?

  • http://blog.michaelmichelini.com mike

    yup, working hard my friend, working hard. thanks for commenting

  • http://www.facebook.com/daviddho David Ho

    Next time have them dress up before heading to customs – aye I hear having a pretty girl with a brass tongue is worth her weight in gold when dealing with customs here as well brother – hand written receipt from customs is a bit out there though :)

  • http://blog.michaelmichelini.com mike

    “welcome to the Philippines” is often what I’m told…

    then I think back to the TIC (this is China) crack…

    I guess each country has its own……way…….

    working on what to do with this customs situation. I have a friend’s aunt saying she can get them, but wants a cut of sales.

  • http://www.mailini.com/blog/397 中国/菲律宾的有些东西并没那么便宜…… | 迈理倪的中文博客-美国人在深圳

    [...] 税收(关税)——就像我上次说的,我没能把一些东西带到菲律宾境内去,这些国家的进口税非常高。这是因为他们想鼓励人们买本国产的东西,而不是国外进口的东西,而且,因为在这些国家的海关里,存在着“走后门”和其他腐败现象。 这使得税收和关税如此高,以至于当商品流入这些国家时,这些进口公司总要赚钱回本的,对不对?所以他们就得加价转嫁到终端消费者的身上。 [...]

  • Justin Miramontes

    Just had a fantastic! (/sarcasm) first time experience with Philippine’s customs. Holy hell, what a process. I was able to convince them it wasn’t for commercial purposes, but I will need a few more run throughs to get down to the baseline customs fee (about P1,100) for my products. This article helped though, thanks :D

  • http://blog.michaelmichelini.com Michael Michelini

    Glad this article helped….just gotta keep on going back and bargaining ….

    Please follow up here and let me know how your experience with Philippines customs went …

    Good luck!!!

About

American ecommerce guy, I've been living in South China - Shenzhen, Hong Kong, Dongguan (+ a touch of Philippines) since end of 2007.

Successfully selling online since 2004, took it fulltime early 2007. Love international business & connecting, and working on ways to give hard working people global opportunities. (Read More...)

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