I hear a lot of people on various blogs, including this one, complaining about being “over charged”. They go on and on because they get charged higher prices than the local people pay. It comes up all of the time. In fact, I have heard dozens of times from people that Filipinos are “racists” because they charge higher prices for foreigners than they do for locals.
It is true that at times, I see foreigners getting charged higher prices. I will say, though, that the higher prices are most often charged to those foreigners who are more naive and generally less well informed. There are ways to combat being charged higher prices.
These higher prices generally don’t come into play if you go to established stores. Places like malls, businesses that use cash registers and such. If you go to a modern store where they use a scanner to read the bar code on a product and the cash register automatically charges the price based on the bar code, getting overcharged based on who you are or what color your skin is basically does not happen.
It has always bothered me, though, that people say that higher pricing for foreigners is based on Filipino racism. I have come across some Filipinos that I have thought to be racist, but not too many. I have also come across racist Americans, British, Aussies and any other nationality. There are racists everywhere in the world. Racism is something that I abhor, it bothers me a lot. I personally do not believe that the practice of charging a higher price for foreigners is based on racism. I mean, for one thing, the practice happens for people of all races. Feyma, my Filipina wife used to get charged “premium” prices from time to time when we first moved here because the people here could tell from her actions and the way that the talked that she was “from the States”. She is the same race as the other Filipinos, so it could not have been racism. Whites, Blacks, other Asians and so on experience this kind of pricing. Because of this, I see no way that it can be a racist thing.
Instead of being based on race, I think that it is based on means. If a person has the means to pay a bit more, they are charged a bit more. Is that right? No, I don’t think it is. I personally think that all people should be charged the same price. However, that belief on my part is based on my upbringing and the culture that I come from. The culture here is different, and under this culture you pay based on your means. If you are very poor you don’t pay quite as much as the rich guy. You and I might not like that, but I don’t feel it is something to stress over.
In the vast majority of instances the difference in price is only a few pesos. If you are talking about huge price differences that is not a cultural difference, that is a rip off, and that is wrong in any culture.
Pricing differences you don’t know about
This past week, I came across something that brought this topic to my mind. I have so many things going on in my life that it has lead to serious information overload. It is hard for me to keep track of everything going on in my life. I need to organize better in order to smooth out my life. Because of that, I am thinking of starting to use Evernote. Evernote is a note taking software, and a real organizational tool that is very powerful. I used it for a short time a couple of years ago, but did not follow through. I am about to change that, though, and get serious about getting more organized. As part of my research into this Evernote software, I was looking at their pricing. They have 3 different plans. A free plan with somewhat limited features. A “Plus” plan that gives you more features. Or you get the whole enchilada when you go for the “Premium” plan.
As I looked into these plans, it came to my attention that the pricing varies based on what country you are in. Have a look at this:
Evernote Pricing Plans
| Evernote Plans | Philippine Price | USA Price |
| Evernote Basic | Free | Free |
| Plus Plan | P550/year ($11.83/year) |
$24.99 per year |
| Premium Plan | P1,100/year ($23.65/year) |
$69.99 per year |
You get all the same features no matter which country you are in. Of course, every country has its own pricing, but I am only comparing the USA and the Philippines, just to make a point.
Are the people at Evernote racist? If you think that Filipinos are racist due to their pricing policies then you should also think that Evernote is racist, because they are doing the exact same thing, but even with a larger difference in pricing! I mean for premium you pay $69.99 per year in the USA compared to $23.65 per year in the Philippines. That is almost triple the price!
It is not only Evernote. I subscribe to Spotify so I can listen to music while I am out walking. I like their service. In the USA, from what I can find on the Internet, it seems that the price is about $10 per month for Spotify service. If you are in the Philippines it is P139/month, which is $2.99 per month. That again is about three times more for US customers.
So, this variable pricing is not just something that happens in the Philippines. It is happening to you in your home country, you just don’t realize it.
How to avoid being overcharged in the Philippines
I have lived in the Philippines for nearly 17 years now. I have been around the block a time or two over those years. I know that in my early years of living here, I was overcharged. I am sure I knew it at the time, although I don’t ever remember getting worked up about it. I mean, the price difference is usually very minimal, so it is not something to get too stressed about.
These days, though, I don’t get overcharged. I don’t think I ever get overcharged. If I it does happen to me, it is very rare. in almost every case I can think of, I pay the same price that my wife would pay, or any other Filipino would pay.
Don’t shop in the public markets
If you are worried about being overcharged, don’t shop at the Public Markets or from Street Vendors. Those are the places you could possibly get overcharged. Like I said earlier in this article, if you go to the real department stores or grocery stores where they use real cash register systems with bar code scanners, you will not be charged a price any different from what other people pay. Now, generally, goods are a bit cheaper at the public market compared to the department store, but at least you will pay the same price as everybody else if you go to SM, Robinsons or any other mall.
Personally, I enjoy shopping at the public markets, so I learned how to not be overcharged there. You can learn how as well, it is up to you. But, if you prefer not to make the effort, just don’t shop at the public markets and you will probably not have to worry about being overcharged.
Learn how to negotiate
Negotiating on price is a time honored tradition in the Philippines. It is part of the culture. If you do not try to negotiate when you are at the public market, you will not be respected. If you do negotiate they will know that you are a serious buyer and you will gain some level of respect from the vendor. For many of us from western cultures we are embarrassed to negotiate. Don’t be embarrassed. It is a sign here that you know what you are doing, and will not stand for being taken advantage of. Also, if you negotiate don’t give up too easily. Don’t accept the first lower price that is offered to you, keep negotiating. Go back and forth 3 or 4 times to keep bringing the price lower.
In many cases, you should start off by offering much less than is being asked. If they are asking for P300 for an item, make your first offer P150 or so. See what the reaction is. If they are shocked by the offer or if they laugh, it is probably a good sign that you are offering way to little. Use their reaction as a barometer for what you should do next. If you can take 1/3 or so off of the price that is usually a pretty good deal. Of course that depends on how much they were trying to overcharge you in the first place.
Another strategy to use is that at public markets there are always lots of vendors selling the same stuff. Use them against each other. Learn what the price really is by watching other people buy the items. Go from one vendor to another until you get the price that you should get. If you go to vendor A and the price is too much, go to vendor B to try again. It is important that you let vendor A see that you just went to vendor B.. he will often make a quick adjustment to his price when he sees that.
Learn the language
I spent 4 years learning how to speak Bisaya. I became fluent in the language. These days, I am a bit rusty, but I can still speak it well enough that I can have a good negotiation. When I speak Bisaya the vendor knows that I am not a tourist. I become a local in their eyes. They know that I live here, and have likely lived here for a long time. People who have been here a few months can’t speak the language, in fact few foreigners (even those who have been here for years) can speak the language at all.
When I became comfortable enough to use the language out in public, the “paying more” problem came to a quick end. Take the time to learn the language in your new home. If you are here just for a vacation, learn at least a few words. Even that gets respect from the vendors, and will pay off for you.
Go to the market often
If you become a daily or even weekly visitor to the market you will start to develop friends there. You will have Sukis. When this happens you will no longer be overcharged, and in fact you might even get charged less than shoppers who have not developed a relationship with the seller. Even if you are charged the same price, you can bet that you will get the best quality products that are available. So, go to the market often. Be friendly. Speak at least some of the local language. It will pay off for you, I promise!
Get over the negativity! Get over the idea that Filipinos are racist. Have a more positive attitude. When you do that it will pay off for you, and you will enjoy your life in the Philippines a lot more too.
Well said Bob 🙂 Once you’re a regular and have your sukis, palengke becomes enjoyable.
Thanks, Rease. It is all pretty easy to solve for those who wish to make the effort!
Hey Bob I think you touched exactly on The problem we have In this country With the price of pharmaceuticals.
Check Generics Pharmacy. Their prices are very good.
True, use them all the time. Let them get to know you. I give them a nose bleed with my Alabama southern slang. ?
Ha ha.. you should learn to speak their language! You’ll have the nosebleed then!
Hi Bob well I go to the same venders all of the time and I get a discount for our food shopping the next to the this stall there is the coconut stall I have being getting the water out of the coconuts and had my price reduced twice now, I have even ask the stall that sells food if I could pay her next week and she has agreed, this is mainly since the uk left the eu as the exchange rates have plummeted!
The part that you said about that software and Spotify well it’s what the economy is like in them countries the lower priced countries these businesses wouldn’t be in the running and wouldn’t get any business in the Philippines that is all about the the profits and how to make the most money out of this part of the country, you can’t class that as racism Bob it’s all about the profit and loss account!
Best Regards,
James.
Hi James – Those relationships you describe with the vendors are Suk8i relationships! Congratulations, it is great to develop those type of relationships.
When you talk about the software companies and that it is not racism.. that is exactly my point that I said in the article! 🙂 Seems we are thinking alike.
Hey Bob,
I love reading your blog, makes me homesick for Mindanao.
We’ve been going back and forth for about 20 years now. I’ve been around the Philippines long enough that I know what the locals pay. If anyone, the vendor – taxi driver – tricycle – etc tries to overcharge me I simply let them know that I’m not a novice and know what I should be charged. That usually settles it, if not, I tell them I’ll go somewhere else. That normally works, plus I gain a bit of respect from the seller.
If my wife and I are together, I get around the “overcharging” by having my wife do most of the negotiations. For example, if we’re at the market, she’ll be the one to do the buying. When at the mall and we need a taxi home, (we’re out of the city) I’ll stay out of sight and let her canvass the taxi drivers to get the best deal, only then will she signal me to join her with the groceries. Works every time and gets us a good deal on the ride. Some places like the Divisoria are off limits to me if she’s on the prowl for a really good deal. If vendors even suspect she’s with me the price doubles, so I just find a coffee shop and relax for a while.
hI dANIEL – nICE TO HEAR FROM YOU, AS ALWAYS.
Like you, I know what the prices should be. Also, being able to speak Bisaya usually earns me a nice discount. If my wie is around, sure, she can do the negotiating, but I am able to get a price as good as she can get.
Thanks for sharing your thoughts.
Hi Bob…what are your thoughts on what happened at the midnight market ?
I think that it is highly likely a hit done be the drug lords in retaliation.. hitting Duterte in a place that is dear to him. There will be repercussions.
Asg took credit as paid to by outside forces. Bigger issue than drug war. Du30 blasting un n usa agents lately that attacked him…stand strong and push thru. We must take the corruption out. Pres will win.
You and yours all safe ?
Thanks, Malcolm, we are all safe.
Hope you guys are safe.
We are all fine here, thanks for your concern.
Bob when you have real news on the market explosion let us know….
There is all kinds of news floating around, much of it contradictory to the other news floating around. I am sure that President Duterte will put his foot down!
Hi Bob I shall be in Davao on Tuesday ( Sept 5 ), so sad about the casualties of the bombing. Security and vigilance will be much higher now.
Back to the subject…if you want to talk about being ripped off or overcharged, go to any tourist hotspot in Europe, like London or Rome, the overcharging is not a few Peso’s its double or triple the price, example in Rome by the Colosseum there are stalls selling small bottled water or Coke (2006 prices) for 3 Euro, if you walk only a few hundred yards away from the Colosseum, my Nephew ( who is a Roman) took us to a small supermarket, I bought a 2 litre bottle of ice cold Coke and three freshly made sandwiches, for less than 5 Euro.
The Coke was 4 times the size and cost 1 Euro.
So being on holiday in the Philippines at paying a few Peso’s extra its not a problem. If you are going to live in the Philippines for a while, then learning the language and its customs is a big advantage. Also stay positive don’t let the little things that are different in the Philippines get to you.
Hi Gerry – Yeah, sad about the bombing. Enjoy your trip to Davao, be careful and keep an eye on your safety. I feel it is still relatively safe, but you can never be too careful.
Hope you have a great time.
erm Gerry, Tuesday is the 6th!
Gerry I think you are talking apples and oranges here, yes the prices are much higher in the tourist spots but you are only charged the advertised price. I a local standing beside you is only chaged the local price then it is wrong.
While serving in the Navy I’ve visited many, many countries and the one thing they ALL have is common (that the USA does not) “price haggling.” It is simply an accepted custom almost everywhere to haggle over the price of an item (except, as you said, in malls or other locations that use bar codes/scanners, etc.) Haggling over price will gain you respect and you will not be viewed as a “rich” tourist, but a savvy shopper in addition to someone who knows and appreciates the local customs.
Yep, exactly. Negotiating is a very important skill the world over!
Thats why my wife alway left me by the wayside so she could do the buying,shes good at haggling lol.
I like doing things on my own too, I guess I have an independent streak. I feel it is important to learn how to deal properly here, and I get as good of deals as my wife does.
I’m usually fine as I look Filipino until I open my mouth – then I get the different price rates.. 😀
Easy solution… learn to speak the language! Even if you don’t look Filipino that is effective, I can attest to that!
You speak the dialect now, Bob? Let me dub you ‘Bisaya Bob.’
I have been fluent in Bisaya for more than 5 years now. I write often about it. 🙂
I am not fluent and get caught out when the conversation becomes complicated!
Bob;
People with limited travel experience would be subject to being over charged at a public market. I was at a Flea Market in San Diego and saw that the prices varied as to the amount of English the buyer spoke or how well they dressed. Racism (A way too much overused word) I think not, trying to hustle a buck was properly what was happening. My wife was raised here and understands the public market, whereas after 20 years I still am not as sharp as some with bartering. But around the world hundreds of port visits both as Navy and Merchant Seaman, in more countries than I can remember the names of (A few have changed names since my last visit) The public market was always subject to the “Blue Eye Tax” I understood this, and if I thought the price was too high I refused to buy. But remember, I earned a lot more money than most of the stall owners in all those markets and would spend $300.00 later in the day on nothing but beer for me and my friends, the extra at the market never hurt.
Yep, exactly! Those with little travel experience will always be taken advantage of, no matter where they are. That includes in the USA.
Good thoughts, Paul.
That sad fact is really true. Whenever my family and I go home to the Philippines we always make sure that nobody know we are from “abroad” because the prices usually goes up all of the sudden.
Not sure.. perhaps you did not read the article and are just commenting on the headline?
I’m just commenting based on my experience. People in the Philippines usually assumed that if a person came from “abroad” that they came from a place where money is raining like cats and dogs.
It happens worldwide, even in the USA people charge more based on where you are from. I explained it all in my article.
15 years in Latin America, dealing with the Gringo Tax (up to 40% price gouges) makes me immune to the Philippino overcharge. Sadly, it will not change, so I keep a mental list of those who think they are outsmatting me. I’m never a repeat customer to those on my mental ‘gouge’ list.
It is so easy to avoid. Very little effort required.
I never ever revisit any store city where i have been abused financially or criminally. I booked into a hotel in davao years ago. Had my phone stolen from the desk. I have never ever returned there. Their loss financially not mine. Stores that dont serve me the way i pay for get put in their place quick smart. I refuse to be disrespected and have people push in and the servers “missing” my service deliberately.
A lot of how you get served depends also on attitude.
Yes bob thats true. Im not stupid to prejudice people against me . If “stiffed” i go elsewhere
Hi Bob, thanks for this article. I met a friend that was visiting from the States this week and this very topic came up. During our conversation, I told him that I do not experience this very often and that I partially attribute this to not having the expectation of being treated differently.
Sure there is times when it has happened, when it does I simply ask if that’s the best price. If they say yes it is and it is more than I want to pay I say no and walk away.
Sometimes saying no is the best way to negotiate.
I see a lot of foreigners here get so worked up over this that I believe they just attract more of to themselves.
Geaux Tigers!
Learning to speak some of their language is certainly the key. I am the same as you Bob and enjoy bartering and haggling over price. You can instantly see the extra respect they have for you. I am amazed that the majority of foreigners here choose to learn not a single word of Filipino. Automatically they are at a big disadvantage.
I will even joke with the young girls at the checkout at the supermarket. Tell them “bot bot nimo” (you must be joking) when they say the price. Or “wala quarta” (no money) when its time to pay. At first they look very scared as if you are being serious but the look of relief and humour on their face when finally I say “joke lang” (only joking) is much enjoyment
I believe language is the biggest key. Important to learn the proper language too, the one most widely spoken in the area where you live.
Hi Bob
Common sense is always required when shopping. My wife has two types of clothes for different shopping scenarios, nice clothes for Mall shopping and older “poorer” clothes when market shopping. It works a treat.
If I do happen to go through a market and show interest in a product I usually give a quick “mahal oi!” when I find out the price and this is usually followed by a quick reduction in price. Using short cut language gives them an idea that you know what you are doing and not simply a tourist.
When booking hotels in the PI my wife always gets the price first on the phone and books a room over the phone. If we simply drive up to a hotel I stay in the car until the price is sorted out.
I do like shopping in the malls in the PI because the price you see on the tag is what you pay chichis the same as the UK. Shopping in USA is different as, in my experience, you need to add the tax to a tagged item so getting $20 out for an item with a $20 dollar price tag is going to leave you short!
Quite simply, if you think you are being overcharged in the PI then walk away and go to a shopping mall. It’s not racism, just simple economics and common sense.
Even places like Singapore have places that you haggle, Sim Lim City for one. Prices for residents (temporary and full time) and foreigners at most attractions have discount when you show your residents card. Thailand actually has two queues for some attractions, one for locals and one for foreigners. My wife used to go through the locals queue, quite often free, with our regular taxi driver and he just told her not to say anything. I would go through the Farang queue and pay the tourist price but we still saved.
What I’m saying in a long winded way is that the Philippines is not alone in doing this so don’t feel hurt. Use a bit of common sense and don’t feel hurt.
Cheers
AJ UK
PS – It is very sad news about the bomb and deaths in Davao City last night. At the moment no one has claimed responsibility so it is pure speculation as to who is the guilty party. The local government has asked people not to spread rumour or speculation so I would advise we do the same until the picture becomes clearer.
Interesting thoughts, AJ. I guess one place where we are really different is that I enjoy shopping at the public markets and haggling. There is skill involved in that, and I find it fun to do. 🙂
Shopping at the malls is safe, though… as you say, you always know what the price is!
I am going to be at a disadvantage when I get over there because I hate haggling. I guess I am just too soft. I look at the people I am buying from and pay the price asked and give a tip too. As long as I can afford it I like to operate that way. Am I mad??????
I also like being fair to people and being generous to those who are nice and are helpful to me. However, if you do not bargain the other party will not respect you. You are actually doing them a disservice by not bargaining in my view. And, doing yourself a disservice too!
I just assumed that the higher price, when I have encountered it, was a starting point for discussion or haggling. I don’t assume ir is racist.
I almost cringe occasionally when I go shopping with my daughter, she is the champion haggler and I occasionally remind her that people need some profit to stay in business. A fair product for a fair price and we are both happy.
Ha ha, sounds like your daughter is a smart girl, LeRoy! 🙂
Please don’t have her do the negotiating when you and I do business! 🙂
I let my wife do all the market shopping
That is not my style.
Its what i do…..i only go with her to malls
You, no problem… we all get to choose what we do and I have no problem with it. I was just saying what I do, didn’t mean to imply anything else.
No prob……i was only saying what i do too
First off I’m happy you and your family are safe. Second this is a very good article, and I will read it again.
Thank you so much Lance! I appreciate your kind words.
I just woke up drinking my coffee, and such a good read to start my day. But because I’m still have asleep I will need to read it again later
Ha ha.. I know that feeling well!
Some interesting views here! What wranckles my hide are the foreigners who spend their money freely and then complain that they’ve been overcharged or cheated. They offer various reasons, often blaming racism. I’ve learned to just walk away from folks like that. They are truly foreigners in a foreign land and I want nothing to do with them.
Put yourself in the place of the vendor. You’re in business for profit. You may have a dozen people in your family depending upon you. You have a customer who comes in nicely dressed with an expensive watch and camera over a shoulder. He asks for a price, so you offer a price you think he can afford. I’d surely bargain with him if he didn’t agree. We’d settle on a price that both of us agree to. Sale is made and both should be happy.
If it were a neighbor I knew very well I’d do the same. I’d ask for a price I thought he could afford, bargain with him and make a profit for myself. My starting price would be lower than the starting price I asked the more affluent foreigner. It only makes sense and is good business!
I and most vendors don’t care who you are or where you come from, much less the color of your skin or your religion. We just want what’s in your pocket for exchange with whatever product I have for sale.
Those fools who buy from a vendor then complain about the price they’ve paid have already agreed to a price with the vendor. It’s certainly not a valid argument to then complain that you’ve been cheated! You can only cheat yourself and you get no respect from me. If in the process of the bargain you don’t like the price the solution is simple. Just move on! Unless the vendor has a gun to your head you have no complaint.
I could say with just as much validity that it’s the department store and supermarket that are cheating you because they mark their prices however they want and you have to pay what they ask or go without. Doesn’t it make as much sense?
Hi Ron,
I totally agree with what you say about foreigners freewheeling with money and then talking about being cheated. Just a little effort and a little less flashing of money would stop all of that problem.
Higher pricing is standard in all 3rd world places i been in last 20 yrs. Intl, natl, local, n insider pricing levels are the norm
Not only int eh 3rd World. In the article I document how it is also common in the USA and other 1st world nations.
Not because of race it’s because they think all foreigners have plenty money is why they try to charge more until they realize you live there and complain enough, after shopping enough you learn the proper price and they learn you won’t pay higher price,
Good idea to learn the ropes.
Nothing new here.
It has been a well know fact for many years.
We call it the “foreigners tax”
Normal price if your wife goes by herself
50% higher price if you are with her.
100% or more if you go by yourself.
If you think there is nothing new, I suspect you did not read the article. Based on the comments that you wrote, I am sure you did not read the article. Thanks for your comment, though.
Actually I did read the article and I stick by my comments based on 6+ years of living here.
It’s no big deal. Just a normal everyday life to most of us.
Once a foreigner lives in a small town for a length of time the local get use to seeing him and the prices stabilize.
As I said, nothing new, yesterday, today or tomorrow.
My Wife does extremely well Bartering …. while I sit and read a news paper
I’ve been here almost 5 years and only 1 time that a vendor tried to over charge me for Tanggigi (fish) that I was buying for a party. She’s charging local Filipinos 180 per kilo and she wanted to charge me 250 per kilo. Good thing that I paid attention and learned a little bit of the language as well.
I told her that why are trying to overcharge me 70 pesos? She said because I’m a foreigner/balikbayan and I was mad because of her arrogance. So I said never mind about the fish and I’ve changed my mind about buying 20 kilos to make sashimi and kilawen.
Then the vendor next to her said to me “Kuya I can sell you 15 kilos at 180 pesos per kilo” so I said okay and actually I gave a 500 peso tip for her efforts because of her kindness and for saving the party for sashimi and kilawen.
She became my Suki for large orders for fish and even if I never needed fish I’ve always bought something from her and I’ve made sure to give her meryenda too. The lady who tried to overcharge me was mad at her neighbor vendor and whenever she see saw me looking to buy fish she would try to give me a cheaper price than my Suki but I never bought fish from her.
Most foreigners that I have seen in the Metro Manila area will not shop at the Palengke and rather shop at the Supermarkets like Hyper Mart, Robinsons, Pure Gold, etc… Most are afraid to make Tawad with the vendors and for me I enjoy that the most, interacting with the farmers/vendors. Plus even if I make tawad with them, I do pay the original price because I own a farm with an ex-gf and I know how hard it is for the vendors to make a living and break even because they’re not really making a lot of money anyways.
Well that’s my experiences living here in the Philippines and plus it’s best to be humble and respectful than being an arrogant foreigner. Plus living in the town and frequently shopping in the palengke, word travels fast about an arrogant foreigner or a kind generous foreigner. Best to be kind and respectful than to be an arrogant butthole ???
You should learn what fiat paper money is. Negotiating(barter isn’t the same) is a proper free-market practice. If there was a sound worldwide free-market currency such as gold and silver there would not be an issue with the differences in fiat paper money prices. I am glad that there is a ‘foreigners tax’ in the Philippines.
One world currency is coming near the end of next year.
However, it will be a hell-of-a-ride before it happens.
Hard landing and a nasty surprise for most, soft landing for the aware.
Which group are you in?
Where do you get your ideas from?
Once a foreigner learns that no one can “stiff” him without his permission, life becomes much more enjoyable!
That, my friend, is right on target.
My wife used to make me hide when organising vans, taxis etc as she believed we would be charged more. I can tell you if you try to buy software from a certain big company in the US Australians will pay more than people with a US address. This is quite common now. There are companies that will supply you with a local address and forward the goods onto you in Australia to avoid the “Aussie tax”
Yep, Paul, exactly. I believe that is true in every country.
In 2013 an Australian Senate committee investigated ‘claims’ that Aussies were being charged more by Microsoft, Adobe et al. They were quite shocked. – it is cheaper for an Australian to fly to the US to buy Adobe CS6 than to buy it in Australia! Adobe’s prices for Australians are 167% higher than for the US market.
Does not surprise me!
There was a dentist in town who charged foreigners 50% more than Filipinos. I got the word out. No foreigners go to her office anymore.
Good for you Budrick! Her pure and utter greediness ended up costing her bigtime. karma they call it!
During the 1980’s and 90’s at the height of “Japayuki” days whenever the Japanese guy and his Filipina friends goes shopping in the public market it was prudent to stay back a bit and let about 30 minutes after they left the market that you should continue your shopping ,otherwise, you will be buying items with prices that has been jacked-up by at least 20% to 40%. As for Caucasian guys shopping in the public market,to be honest, you guys sticks out like a sore thumb and are usually presumed to be loaded and has overflowing pockets of US dollars. As for “balikbayans”, my wife and I usually goes where we are not known from “abroad”.If we do our shopping in the market near where we grew up chances are the vendors selling in that market were our classmates or schoolmates.Aside for the prices that goes up,if it’s Christmas season, they will be asking for their Christmas gifts as well as if you owe them for something in the past.The usual line goes like this,” Asa na man ang akong pinaskuhan?”.
As long as they dont charge me more for Red Horse, Im ok!
I’ve visited the Phlippines on a number of occasions, and I never got the feeling that I was purposely targeted because I was a foreigner per se. My fiancé (at the time, and now wife) negotiated with all vendors for our wedding. It was held at a local country club near Iloilo City, and we were very happy with the result. A minor bump came when the van driver that we hired (along with the van to drive her relative to the wedding) balked at returning her (our) family back to their city about 40 kilometers. Once he saw me, he started demanding more money; claiming that it was dangerous to drive there and etc. Before that time, I’d never seen my wife really mad. Still wearing her hand-made white wedding dress (and looking drop-dead gorgeous), she proceeded to ream the van’s owner a new one. Completely out of character, my American friends and I were quite taken back on how she spoke to him! It needed no translation – for sure . . . Needless to say, the van’s owner capitulated and my (new) relatives were safely transported to their homes. Her negotiation skills are quite good, and I’ve come to rely on them even here in the states. The moral of the story is, when in the Philippines (and particularly if you are relatively new), let your Filipino significant-other do the negotiations (and don’t mess with a Filipina’s family!) It worked out for the better in this case – for sure.
I usually go to the market with my wife Anne. Generally we don’t get overcharged, but if we do the vendor will here about it. One thing that would stop the price difference at public markets is requiring all vendors to post prices that way you know what the price is.
Seems like that would be very hard to enforce, posting of all prices?
Not any harder than enforcing any of the other market rules.
Perhaps. Good luck with it.
Hi Bob,
I agree – it’s not racism that causes the prices to rise. Having lived in Ukraine, China and India, it’s not something confined to the Philippines either.
I had the most amazing thing happen the other day. I wanted to buy some swimming pool filter sand for my aquarium filters. It’s priced on OLX at 10 to 15 pesos per kilo, with most suppliers in Manila. I found a local company (Calamba City) and phoned them. I was told a 25 kg bag is 1,800 pesos for Americans. I was shocked – ‘for Americans’???? I asked the lady again, could she please say that price again. She confirmed – for Americans it is 1,800 pesos for a 25 kg bag. I laughed and said, “I’m so glad I’m not an American. How much is it for me?” She said she could let me have it for 800 pesos. I can save 1,000 pesos just because I’m not American!
I said, “In Manila it’s 10 to 15 pesos per kilo, why is it so much more in Calamba City?” She said, “Okay, I can let you have it for 550 pesos.” I agreed, and told her I’d be down to pick it up tomorrow. About an hour later the same lady phoned me saying there is no stock and she will call me when they get new stock. That was a week ago, and I haven’t heard any more.
Overcharging is far less likely if you know what the price should be, but far simpler is to let a trusted local do the buying for you (and don’t be seen with them before negotiations begin!)
Cheers,
Russell
I disagree with your last thought. No need to have somebody else do it for you, stand your ground, do it yourself comma and you’ll be much happier and live a happy life in the Philippines.
Yes Bob, quite right. I was just saying ‘simpler’. I do go to the markets sometimes, and even with my limited language, do fairly well.
Question on ‘suki’… My asawa tells me that I’m the ‘suki’, the customer, not the supplier. Is she right?
It depends who you ask. Some Filipinos say it’s the customer others say it’s the supplier. I just say it’s a relationship, and both would be considered the Suki.
To me, suki is a relationship between customer and vendor. It’s a two way street. Neither are not just a customer nor just a vendor. You may celebrate birthdays or graduations of your children together. You may even grieve together upon the death of a family member.
My thoughts exactly.
The easiest way to haggle the price is to let your o’lady get-r-done! When I first got here I let her haggle for a used fridge and I waited on the trike. She came over to talk to me about it and when she did the price started going back up. So you just need to stay out of it if your not Filipino. I do know that in some cases I would be charged double so I learned just to let her do it. I am not good with the dialect at all so it is a no brainer in who does the haggling.
Personally, I feel that if you leave it to your wife you miss out on a major part of life in the Philippines. To each his own, though. I am easily able to get as good of prices as my wife, no problems.
I have seldom experienced being overcharged. I think the most prevalent attempts to overcharge me have been with the many ” meterless Taxis ” . A few visits ago I decided to keep a taxi log of my point to point travels which are often the same. If it is a matter of a few peso I don’t bother to say anything and I give less of a tip if any at all if there is a big difference in the same trip from one day to the next. Sometimes I would have Filipino friends hail the cab and get a price first, with me out of sight LOL.
For the most part I only shop in places that have posted prices. If they don’t try to gouge me, I will give them much repeat business in the future. On my first visit I went to Imperial Appliance in Iligan as it was the displayed prices that lured me in. The sales person Michael was very polite and did not constantly follow me around as I browsed the things on offer. I bought a 10 cu ft size refridgerator and a 1 Hp air con as gifts for friends. They delivered promptly no additional charge. Fast Forward about 10 years, I have bought 6 more refridgerators, 2 more air cons, about a dozen orbital fans, two complete gas stoves, 42 inch TV, a couple of washing machines. After my first couple of visits to this store they started giving me best possible price, below the posted prices. Because of their honesty and treating me the same as a local ( maybe even better ) they continue to get my repeat business.
Another place I went to looking at portable generators I explained that what I was buying is for a donation. They took 2000 peso off the marked price of 24,000 peso.
Most of the stores and shops I frequent now, after nearly 10 years of regular visits they know me, but I still stay with places with marked or posted prices whenever possible. I stay out of open market type places and avoid street vendors. I don’t ” haggle ” in places where the prices are posted or marked on the items for sale.
There was one place where I wanted to buy a stove top oven for someone, I had my Filipino friends go in and gather up all the stuff I wanted and after everything was rung up on the cash register they came across the street and got me. When the store owner saw it was a Kano buying all this stuff, they threw in a nice pair of pot holders, No extra Charge !
Many times I check out internet prices of certain things in PH before I get there so I have a kind of price range, a Hi and Low in prices. If making a purchase falls within that range I’ll buy the item. You can not expect walmart type prices in a small independent store.
All in all, I feel I have been treated quite fairly and in some cases even better. Those merchants have profited from my repeat visits from year to year.
What do I do with all of this stuff that I buy ? Obviously I don’t bring it all home with me to the USA. I use them for gifts and donations, even like the time I bought 1000 peso worth of light bulbs when I visited an office where just about all of the ceiling lights were burned out and at the time there was ” No Budget ” to replace them ! 1000 PHP is about 25 Bucks USD, well the fun and memories I have of the Light Bulb donation have given me priceless memories that will last me a lifetime.
http://liveinthephilippines.com/im-not-working/
Nice story, Bob. Your adventures in Iligan are already a legend. I feel that your positive attitude brings you good luck in your travels and keeps you from being taken advantage of. Having a good attitude is important.
Hopefully that office will “keep a light on for you” whenever you visit!
Last time I was there, April 2016 I personally checked the lights in that large office and all were working. Not to be forgotten though, I was invited to visit the city operated juvenile detention center, different from Iligan City Jail, where there about a dozen resident minors. The male residents mentioned something to me about no lights in their room and also no fan. I checked and they were correct. The ceiling fixtures were there but the bulbs not working. I then checked all the other ceiling lights and found 4 more not working. Next day I show up at the place again with 2 fans from Imperial Appliance, Iligan and 8 bulbs from Citi Hardware. Someone from the Iligan City maintenance dept installed the fans, Myself and a friend took care of the ceiling lights. Yes, all this stuff cost me money right out of my own pocket but I remember when I was a kid in the hot summer months trying to sleep. We did not have Air Con in our house when I was growing up. As before the out of pocket money spent on the fans and bulbs created an experience resulting in fond memories that will last me a lifetime.
My own first Air Conditioner came from the local dump. It only had a simple electrical problem, I fixed it and after that I have always had cool comfort in the summer months here.
Plans for Visit Number 12 are now forming, I already have some donations lined up and I don’t think I will be ” Kano Priced ” LOL .
I always enjoy reading about your good deeds, Bob. I know they are greatly appreciated!
Quote from Alan James: ” Plus even if I make tawad with them, I do pay the original price because I own a farm with an ex-gf and I know how hard it is for the vendors to make a living and break even because they’re not really making a lot of money anyways. ”
That’s a good point, and one reason behind the haggling in an open market, especially with farm produce. Hard goods will keep. Produce will spoil and become a total loss. The haggling allows the full range of customers to be served, from the poor to the well off. Each bargains for a price they can afford. The vendor bargains for the best they can get from each customer. The vendors objective is to sell everything. Better to bring home money than excess produce.
Take care,
Pete
Yeah, that is true. For a farmer the bargaining is important because it is their way of liquidating all of their goods before they spoil. I did not think of that.
To those of you who prefer to shop where prices are already marked, do you also ask for your discount? Unless I’ve already developed a suki, I always ask for my discount. It may surprise you how often a vendor will give you one despite your age or appearance. You do know of course, that Filipino citizens carrying a Senior Card will be given a discount. This does not apply to foreigners, but vendors will often give you one if you’ve been polite and he likes you. It actually works in the US as well (though not as often).
I personally prefer to bargain. That way I know I’ve made the best deal. In brick and mortar businesses who mark their prices, you should also be aware that their markups have to be higher to cover their higher expenses.
You make some good points, Ron. Nothing wrong with asking for a discount. Even if a foreigner cannot legally have or use a senior discount card it does not mean that they cannot request a discount or the vendor cannot give one!
I visited the Twin Lakes National Park just down the road from Dumaguete a couple of weeks back while on holiday. My partner only noticed on checking the receipt back at our hotel that it actually states 20 pesos for locals and 200 for “foreigners”. I don’t mind that actually,I earn twice what she does doing a semi-skilled job and she earns more than most locals doing a skilled job.200 pesos isn’t going to kill me and it’s a trip we’ll both remember for a very long time.
Good article, Bob.
A lot of home truths there,
Thank you Chas.
This was a great article to reread. For years my wife has had me stay away during Shopping at certain venders in the Market and at some of the shores for building materials. But even if I am with her now she seems to get her price. My big surprise came was when I shop for meds that I need (I am burdened with needing meds to maintain myself) and at first I was socked by the prices here as compared to what I paid in the USA in a very positive way. What I pay here is much cheaper that what I paid in California. In some cases here is 30 to 35% cheaper and for a couple of my meds I pay here less than 20% of what the same med cost back in the US. Which tells me the the drug companies are over charging in the US stores. I even talked to the Head Pharmacists at one of the hospitals I worked at and he just looked at me and smiled and stated welcome to big business..
I totally agree with you, Luke. It is a real eye-opener!
Hello Bob: About your article on foreigners paying more. I am lucky here in Bislig because my wife Beth and her mother were both fish mongers and my wife was also a nail polisher so even in Managoy down the road they are well known and refuse to pay high price although “daddy” Paul has a bit of money. They also know fresh from day old fish so only fresh comes to my home. We do use regular sellers in the market for pork, chicken and beef but the fish mongers are many and selling different species so we just look for good stuff. My wife has walked away from some fruit vendors who were trying to gouge her and only one time did she walk away from a fish monger. In Thailand where we used to live, me for 30+ years they blatantly have signs at venues showing prices for Thais and Foreigners and the Foreigner pays a lot more than twice the price. I solved the problem by having a Thai drivers license which entitled me to Thai price.
Interesting about Thailand! The driver’s license solution was ingenious!
I have sukis in multiple places and a few of them give my family freebies if one or more of my anaks are with us. Yes, there are several places that will take advantage of a tourist whenever given the chance. Take for instance, a trycle driver I seen once tried to change a tourist family 5,000 peso for a 30 peso trip… These people had no business utilizing anything other than a metered taxi, mind you! They had no concept of the exchange rate! I felt that I had to step in and pulled the tricyle driver aside. I did let him charge them 500 for the trip, but, there was no way I was going to let him collect 5k. That was by far the worst case I’ve seen.
i have been over charged many times and i learned not to go to those stores any more like privet owned hardware stores they will over charge you if you are a foreigner, try to stay away from privately owned stores even when they have what you need unless you really need it bad.