Philippines Tourism And Hotel Market Size (2024 - 2029)

The market size of the hospitality industry in the Philippines is poised for growth, driven by the robust tourism sector that significantly contributes to the national economy. The hotel industry plays a crucial role in supporting this growth, with increasing demand for accommodations from both domestic and international travelers, particularly in popular destinations like Boracay, Baguio, Palawan, and Siargao. The expansion of the travel industry, supported by strategic infrastructural developments and effective marketing campaigns, has led to a surge in visitor arrivals. The modernization of airports has further enhanced the country's appeal as an ecotourism destination, facilitating increased international travel and boosting the hospitality market.

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Market Size of Philippines Tourism And Hotel Industry

Philippines Tourism & Hotel Market Summary
Study Period 2020-2029
Base Year For Estimation 2023
Market Size (2024) USD 2.75 Billion
Market Size (2029) USD 3.37 Billion
CAGR (2024 - 2029) 4.15 %
Market Concentration Medium

Major Players

Philippines Tourism & Hotel Market Major Players

*Disclaimer: Major Players sorted in no particular order

Philippines Tourism & Hotel Market Analysis

The Philippines Tourism And Hotel Market size is estimated at USD 2.75 billion in 2024, and is expected to reach USD 3.37 billion by 2029, growing at a CAGR of 4.15% during the forecast period (2024-2029).

The Philippine economy depends heavily on the tourism industry. The hotel industry is essential to the growth of the Philippine tourism sector. It saw a steady increase in the demand for rooms from tourists from both local and foreign countries who come for leisure and business, post-pandemic recovery. A thorough infrastructural plan and a strong marketing campaign contributed to the rise in visitor arrivals over the past few years. The Philippines' hospitality and tourism industries are experiencing a boom in domestic and overseas travelers. The top four preferred destinations for domestic travel are Boracay, Baguio, Palawan, and Siargao, which are seeing an influx of visitors. The demand for hotels will rise due to the travel industry's expansion.

The Philippines offers a wide variety of experiences as an ecotourism destination. Based on the type of visitors to the Philippines, the domestic tourism market will continue to be profitable. The country's international tourist industry benefited from transforming airport terminals into global gateways, with many visitors arriving by air. With the modernization of the airports in Davao and Iloilo City, direct charter flights from Singapore are now possible.

Philippines Tourism & Hotel Industry Segmentation

Hospitality is a term used to describe a wide range of services in the service industry. Lodging, food and beverage services, event management, theme parks, and transportation are all part of the hospitality industry, which encompasses hotels, restaurants, and bars. The hospitality industry in the Philippines is segmented by type, tourist, and booking channel. By type, the market is segmented into business tourism, vacation tourism, eco-tourism, cultural tourism, adventure tourism, event tourism, cruise tourism, and medical tourism. By tourists, the market is segmented into domestic and international. By booking channel, the market is segmented into phone booking, in-person booking, and online booking. The report offers market size and forecasts for the Tourism and Hotel Industry in the Philippines in value (USD) for all the above segments.

By Type
Business Tourism
Vacation Tourism
Eco-Tourism
Cultural Tourism
Adventure Tourism
Event Tourism
By Tourists
Domestic
International
By Booking Channel
Phone Booking
In-Person Booking
Online Booking
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Philippines Tourism And Hotel Market Size Summary

The hospitality industry in the Philippines is experiencing significant growth, driven by the resurgence of tourism and the expansion of the hotel sector. This growth is supported by a robust infrastructural plan and strategic marketing efforts that have increased visitor arrivals, both domestic and international. The country's diverse ecotourism offerings and popular destinations like Boracay, Baguio, Palawan, and Siargao continue to attract a steady stream of travelers. The modernization of airport terminals into global gateways has further bolstered the international tourist market, facilitating direct flights and enhancing connectivity. The travel industry's expansion is expected to continue, leading to increased demand for hotel accommodations.

In addition to the hotel sector, the food and beverage industry in the Philippines is rapidly expanding, contributing significantly to the economy. This sector encompasses a wide range of businesses, from small food carts to large international enterprises, and is a major component of the country's manufacturing industry. The rise in restaurants, fast-food franchises, and meal delivery services is driving demand, fueled by consumers' growing preference for fresh, natural, and organic foods. The hospitality market in the Philippines is moderately fragmented, with major international players like Ascott International, Baymont Inn & Suites, Best Western, Citadines, and Crown Regency Hotels & Resorts dominating the landscape. Technological advancements and infrastructure development are attracting more businesses and tourists, further enhancing the industry's growth prospects.

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Philippines Tourism And Hotel Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Drivers

      1. 1.1.1 Rise in the Number of Social Media Influencers is Driving the Growth in the Market

      2. 1.1.2 Increasing the Recreational Activities Boost the Tourism Industry

    2. 1.2 Market Restraints

      1. 1.2.1 Language Barriers for International Tourists

      2. 1.2.2 Labor Shortages

    3. 1.3 Market Opportunities

      1. 1.3.1 Government Initiatives are Anticipated to Increase the Philippines' Tourism Industry

      2. 1.3.2 Providing Affordable Airfare Options to Consumers

    4. 1.4 Porter's Five Forces Analysis

      1. 1.4.1 Bargaining Power of Suppliers

      2. 1.4.2 Bargaining Power of Buyers/Consumers

      3. 1.4.3 Threat of New Entrants

      4. 1.4.4 Threat of Substitute Products

      5. 1.4.5 Intensity of Competitive Rivalry

    5. 1.5 Impact of COVID-19 on the market

    6. 1.6 Insights on Leading Cities in Philippines with respect to Number of Visitors

    7. 1.7 Insights on Shared Living Spaces Impact on the Hospitality Industry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Type

      1. 2.1.1 Business Tourism

      2. 2.1.2 Vacation Tourism

      3. 2.1.3 Eco-Tourism

      4. 2.1.4 Cultural Tourism

      5. 2.1.5 Adventure Tourism

      6. 2.1.6 Event Tourism

    2. 2.2 By Tourists

      1. 2.2.1 Domestic

      2. 2.2.2 International

    3. 2.3 By Booking Channel

      1. 2.3.1 Phone Booking

      2. 2.3.2 In-Person Booking

      3. 2.3.3 Online Booking

Philippines Tourism And Hotel Market Size FAQs

The Philippines Tourism And Hotel Market size is expected to reach USD 2.75 billion in 2024 and grow at a CAGR of 4.15% to reach USD 3.37 billion by 2029.

In 2024, the Philippines Tourism And Hotel Market size is expected to reach USD 2.75 billion.

Philippines Tourism And Hotel Market Report Snapshots

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