Online platform aims to improve materials procurement process

JCOMP-FREEPIK

ONLINE construction marketplace BuildHub.ph aims to help ease the materials procurement process, delivery time, and boost linkages between suppliers and builders through its platform, a senior official said.

“BuildHub.ph offers a strong alternative to procure materials, securing financing, and deliver products faster, leading to increased sales and improved supply chain management for suppliers and developers,” BuildHub.ph Chief Business Officer Marika Laciste told BusinessWorld in an e-mail interview this month.

Ms. Laciste said buyers have become increasingly curious about how digital tools can make their existing operations and transactions more efficient.

“BuildHub aims to make physical hardware stores long-term partner sellers, enabling them to go digital and be part of a more efficient construction process,” she said.

After its April launch, Ms. Laciste said it saw increased interest from brands selling steel, lighting, and electronics.

“Many known hardware stores are also in the process of onboarding, especially in the Visayas region,” she said.

BuildHub.ph currently carries 33 brand partners and 100 registered hardware stores, including Republic Cement & Building Materials, Inc., TKL Steel Corp., Union Cement by Philcement Corp., Saint-Gobain Philippines Co. Ltd., Inc., and Vicem Cement.

“The online platform has facilitated smoother transactions between brands, construction suppliers, and builders by providing a centralized platform for sourcing construction materials and supplies,” she added.

The online platform aims to help address issues in the manual materials procurement process, such as long delivery lead time and dependence on cash for high-value items, it said.

For one, its BuildCredit initiative provides financing facilities to hardware stores and buildings, with 1-3% competitive interest rates for terms of 30-60 days. This provides capital for inventory management, expansion, and other business needs of hardware stores and builders.

“To further support the financing offers of BuildHub, the company has partnered with the Bank of the Philippines to extend competitive interest rates for business loans below P30,000,000. This feature will soon be available on the platform,” Ms. Laciste said.

Meanwhile, the company said it plans to increase its fleet of trucks and cargo to boost the current 22,000-bag capacity of BuildmartShipping.

This will address growing demand for timely delivery of construction materials and supplies across the Philippines, it said.

Ms. Laciste is also bullish on achieving their P1-billion gross merchandise value (GMV) target in 2025.

To date, BuildHub.ph said it generated an “eight-digit figure” GMV, mainly driven by the cement category, while initial sales came from its network of existing supplies and sellers. — Aubrey Rose A. Inosante