Sari-sari stores record stronger sales using AI-powered inventory tool

Packworks system built with government grant shows gains across 300,000 micro-retailers.

An AI-powered stockkeeping and point-of-sale system is helping sari-sari store owners turn daily transactions into clearer inventory and pricing decisions, improving how micro-retailers respond to demand and manage fast-moving neighborhood sales.

Packworks, a Philippine technology company that builds digital tools for micro-retailers and sari-sari stores, said its Store Insighting Project was developed under the DOST-PCIEERD Startup Grant Fund program in 2024 to support wider adoption of AI in grassroots retail. The system analyzed more than 1 million monthly transactions across a network of 300,000 micro-retailers.

Within two months of use, stores recorded a 79% increase in median sales for their top 50 products, rising from P187,229 to P335,818 in gross merchandise value per store. Packworks said this came alongside improved decision-making on stocking and product movement as owners used platform-generated insights in daily operations.

Seasonal items also saw a 47% increase in median sales as store owners aligned inventory with demand patterns during rainy days and weekends. Slow slow-moving products, on the other hand, rose 96% from P7,361.60 to P14,429 as retailers actively managed weaker stock and improved turnover.

Packworks said the platform is supported by partners ST Telemedia Global Data Centres Philippines, Ateneo’s Business Insights Laboratory for Development, and Connected Women, which helps ensure human-in-the-loop use, where store owners still make final decisions using AI-generated insights as guidance.

The goal is to make data tools more accessible to sari-sari stores, which remain a key part of community retail across the country, by giving small entrepreneurs more control over pricing, stock levels, and demand planning without adding operational complexity.

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