Describes what is customary in the market for sales and customer support.
Last Published: 7/18/2019

After-sales service and support is extremely important to the Philippine market.  Philippine partners expect U.S. vendors to provide adequate support during and after the warranty period in order to provide utmost customer satisfaction and strengthen the brand name.

For Philippine Government projects, Republic Act (RA) 9184 or the Government Procurement Reform Act (GPRA) prescribes that the procuring entity retains 10 percent of total project cost for the duration of the warranty period. This means that the vendor will not receive full payment until it has completed its warranty commitment.

U.S. firms typically provide after-sales service through their local representatives. Those with substantial sales in the Philippines establish a branch office, which further strengthens the support given to their local distributors or resellers. The strategy of having a local presence provides a competitive advantage. Another alternative is supporting the Philippine market from a regional Asian office.

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.