Analytical Study of Tourism in the Philippines from 2024 to 2034

The Philippines tourism industry is estimated to stand at USD 12.30 billion in 2024. The industry is forecasted to exceed a valuation of USD 34.47 billion by 2034. The industry is projected to experience impressive growth through 2034, recording a CAGR of 10.80%.

Sales in the Philippines tourism are primarily driven by promotional efforts by tourism boards, travel agencies, and online platforms.

Attributes Details
Estimated Philippines Tourism Market Size (2024) USD 12.30 billion
Forecasted Industry Size (2034) USD 34.47 billion
Projected Value CAGR (2024 to 2034) 10.80%

Don't pay for what you don't need

Customize your report by selecting specific countries or regions and save 30%!

Key Factors Influencing the Philippines Tourism Industry Growth

The Philippine economy relies a lot on tourism. Many people like to travel to the Philippines to enjoy its peaceful atmosphere and delicious food. Tourists especially love the Philippines because there are many tasty foods and beverages to choose from. Social media is making more people interested in culinary tourism in the Philippines.

In June 2023, the Philippines introduced its new tourism campaign called "Love the Philippines." It changed it from "It's More Fun in the Philippines" to focus more on real and deep experiences after the pandemic.

On Facebook, Twitter, and Instagram, travel influencers are showing off beautiful places and travel services online. Tourism companies are also putting ads there to reach more people. Consequently, there is likely to be around a 2.8X surge in the sales of tourism in the Philippines by 2034.

Hoteliers are using apps more to manage visitor services, giving them better control over the visitor experience. Also, services like digital check-in and contactless cards are getting popular, while facial and fingerprint verification help with payments and record keeping. This is boosting sales in the Philippines' hospitality industry.

In the Philippines, there are lots of different things to do for eco/sustainable tourism. People can join community activities in the Philippines, like fixing houses, planting mangroves, or helping with schools. They can also teach new skills or work on projects like building a visitor center or fixing up a forest.

Historical Industry Study on the Philippines Tourism alongside Future Projections

From 2019 to 2023, the Philippines tourism industry showed promising growth, boasting a 9.80% CAGR. Hotels in Metro Manila are getting better after the pandemic, with 4 million tourists visiting in the first nine months of 2023.

That is almost twice as many as in 2022 and close to the year-end target set by the Department of Tourism. Tourists have already added USD 5.7 billion to the economy.

Attributes Quantitative Outlook
Philippines Tourism Industry Size (2023) USD 11.13 billion
Historical CAGR (2019 to 2023) 9.80%

Prices are still not as high as before the pandemic, and more places to stay are being made. If the government and cities with lots of future places to stay do well economically, more people might want to stay there, and the places might get fuller.

More hotels are being built, with 6,400 new rooms expected by 2026, mostly in Quezon City and Pasay City. This trend is expected to contribute to the positive outlook of the Philippines tourism industry.

Social media is helping the tourism industry in the Philippines grow. Travel influencing is the new buzzword in the market. Travel influencers visit different places to promote tourism, and the Philippines is no exception.

They now share the real footage of places and their experience on platforms like Facebook, Twitter, and Instagram, and tourism companies advertise there too. In the Philippines, there are 86.75 million active people using social media.

As social media platforms are proliferating more day by day, it is expected to help the industry develop more during the forecast period.

Sudip Saha
Sudip Saha

Principal Consultant

Talk to Analyst

Find your sweet spots for generating winning opportunities in this market.

Top Opportunities for the Philippines Tourism Industry Players

In October 2022, the Department of Tourism (DOT) in the Philippines changed the entry rule for travelers with the e-Arrival Card system. This system is easier because it does not need a mobile app and asks for less information. Also, by the end of 2024, the government plans to start a VAT Refund Program to give back VAT on things tourists take out of the country.

DOT started the "Tourism Champions Challenge" to help cities and towns with tourism, giving them USD 3.2 million. Overseas Filipino Workers (OFWs) who bring foreign tourists to the country can win prizes in a raffle called "Bisita, Be My Guest."

Therefore, the future of the Philippines tourism and hotel market looks bright. Hotels in the Philippines are getting better, with more people coming, owing to promotions and help from the government.

Key Trends Shaping the Philippines Tourism Industry

  • The Philippines travel industry is increasingly adopting sustainable practices. It aims to minimize environmental impact and promote responsible travel.
  • Another evolving trend in the Philippines tourism industry is the increasing interest in medical and wellness tourism. The country is capitalizing on its natural resources to promote spa retreats and wellness-focused travel experiences.
  • With the growth of remote work, more people are choosing to work while traveling. The Philippines has an affordable cost of living and reliable internet connectivity. This trend makes the Philippines an attractive destination to remote workers.

Get the data you need at a Fraction of the cost

Personalize your report by choosing insights you need
and save 40%!

Tourism Industry Analysis in the Philippines by Segment

As far as the tourist type is concerned, the domestic segment is likely to perform better in 2024, holding 58.00% of the Philippines tourism industry share. Similarly, the 26 to 35 years segment is expected to generate significant turnover in terms of age group, possessing a 47.00% revenue share of the tourism industry in the Philippines in 2024.

Segment Estimated Industry Share in 2024
Domestic Tourist 58.00%
26 to 35 Years Age Group 47.00%

Influence of Domestic Travelers is Very High in the Philippines Tourism Industry

The domestic traveler segment is likely to become the prime revenue generator within the industry. The main reason Philippine tourism is bouncing back is because more people are traveling within the country. In 2022, most overnight travelers were locals, with around 40 million visitors.

People prefer to visit their own country nowadays because they know about their own culture and interesting places there. Individuals also find domestic traveling cost-effective as it does not necessitate the huge amount of money required for trips abroad or getting visas. These travelers often know people and have friends in the places they visit, so they can do special things that they may not be able to do outside.

Tourism Emerged as the Go-to Choice for 26 to 35 Years Age Group

The 26 to 35 age group is the top segment in the industry. The main reason this segment is growing is because individuals belonging from this age group have enough money to travel. They are financially stable, so they can go wherever they want, whether it is within their own country or abroad.

People aged 26 to 35 like to travel because they want special and unforgettable experiences in each place they go. They really want to explore different tourist spots and are excited about seeing adventure sites. People in this group also enjoy adventurous activities like scuba diving and exploring different islands, which are easy to find in the Philippines.

Competitive Landscape

Tourism industry players in the Philippines employ miscellaneous strategies to get a competitive edge. Some players give high priority to enhancing infrastructure for smoother travel experiences. At the same time, many prioritize industry to showcase natural beauty and cultural richness.

Some adopt sustainable practices to attract tourists who are extremely concerned about the environment. While others collaborate with the government to leverage policies for tourism promotion. Many make substantial investments in digital platforms for convenient traveler services.

Recent Developments

  • In November 2023, the Department of Tourism and the Tourism Promotions Board Philippines launched the updated Travel Philippines app. This improved digital platform marks the start of the Philippine tourism industry's digital transformation. The aim is to offer travelers a more convenient way to explore the country.
  • In October 2023, the Department of Tourism introduced its inaugural Tourist Assistance Call Center following the Philippines' achievement of over 4 million international arrivals. The call center is going to be available round-the-clock, connecting tourists with live agents who can offer information on various aspects. Some of these include addressing tourism complaints, responding to inquiries about the Philippine tourist destination policies, providing details on transportation options and accommodations, among others.
  • In July 2023, the Department of Tourism launched the Philippines Hop-On-Hop-Off (HOHO) service in the capital city, debuting Manila's "Cultural Hub" tours. Secretary Frasco was accompanied by officials from the City Government of Manila, headed by Mayor Honey Lacuna, along with representatives from the tourism industry.

Key Philippines Tourism Industry Players

  • Scorpio Travel and Tours Inc.
  • Baron Travel
  • Asiaventure Tours & Travel
  • Vansol Travel & Tours
  • Kapwa Travel
  • Marsman Drysdale Travel Inc.
  • Rajah Tours Philippines
  • Atlas Tours and Travel Inc.
  • Bridgeway Travel and Tours
  • Haranah Tours Corporation
  • Travel Related Incentive Programs and Services, Inc.
  • Travbest Travel & Tours
  • Rakso Air Travel & Tours Inc.
  • GoldenSky Travel and Tours
  • GrandHope Travel Tours
  • Kesari Tours Pvt Ltd
  • Tourismo-Filipino Inc.

Key Coverage in the Philippines Tourism Industry Research Report

  • Factors Prompting the Philippines Culinary Tourism Market Size
  • Philippines Tourism Market Outlook in Different Regions
  • In-depth Analysis of Philippine Tourism Statistics
  • Adjacent Study on the Philippines Vacation Market
  • Emerging Trends in Philippine Hospitality Sector and Trends in Philippines Tourism Market
  • Growth of the Philippine Travel Industry in Different Quarters
  • Market Overview of Tourism Destinations in the Philippines

Key Segments Profiled in the Philippines Tourism Industry Survey

By Tourism Type:

  • Cultural & Heritage Tourism
  • Medical Tourism
  • Eco/Sustainable Tourism
  • Sports Tourism
  • Wellness Tourism
  • Others

By Booking Channel:

  • Phone Booking
  • Online Booking
  • In Person Booking

By Tourist Type:

  • Domestic
  • International

By Age Group:

  • 15-25 Years
  • 26-35 Years
  • 36-45 Years
  • 46-55 Years
  • 66-75 Years

Frequently Asked Questions

How Big is the Tourism Industry in the Philippines?

The industry size for tourism in the Philippines is forecasted to be worth USD 12.30 billion in 2024.

What is the Sales Forecast for Tourism in the Philippines?

The Philippines tourism market value is projected to surpass USD 34.47 billion by 2034.

What is the Projected CAGR for the Philippines Tourism Industry?

The CAGR of the Philippines tourism industry is estimated to be around 10.80% through 2034.

What is the Market Trend in the Philippines for Tourism?

Ecotourism is a key industry trend where travelers indulge in protection and management of natural resources.

Which is the Leading Brand of Tourism in the Philippines?

Marsman Drysdale Travel Inc. and Rajah Tours Philippines are Philippines Tourism industry leaders.

Table of Content
  • 1. Executive Summary
  • 2. Market Overview
  • 3. Market Background
  • 4. Market Analysis 2019 to 2023 and Forecast, 2024 to 2034
  • 5. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Type
    • 5.1. Cultural & Heritage
    • 5.2. Medical
    • 5.3. Eco/Sustainable
    • 5.4. Sports
    • 5.5. Wellness
    • 5.6. Others
  • 6. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Booking Channel
    • 6.1. Phone Booking
    • 6.2. Online Booking
    • 6.3. In Person Booking
  • 7. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Tourist Type
    • 7.1. Domestic Tourist
    • 7.2. International Tourist
  • 8. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Age Group
    • 8.1. 15-25 Years
    • 8.2. 26-35 Years
    • 8.3. 36-45 Years
    • 8.4. 46-55 Years
    • 8.5. 56-65 Years
    • 8.6. 66-75 Years
    • 8.7. Above 75 Years
  • 9. Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region
    • 9.1. Southwestern Tagalog Region
    • 9.2. Cagayan Valley
    • 9.3. Eastern Visayas
    • 9.4. Soccsksargen
    • 9.5. Rest of Philippines
  • 10. Southwestern Tagalog Region Market Analysis 2019 to 2023 and Forecast 2024 to 2034
  • 11. Cagayan Valley Market Analysis 2019 to 2023 and Forecast 2024 to 2034
  • 12. Eastern Visayas Market Analysis 2019 to 2023 and Forecast 2024 to 2034
  • 13. Soccsksargen Market Analysis 2019 to 2023 and Forecast 2024 to 2034
  • 14. Market Structure Analysis
  • 15. Competition Analysis
    • 15.1. Scorpio Travel and Tours Inc.
    • 15.2. Baron Travel
    • 15.3. Asiaventure Tours & Travel
    • 15.4. Vansol Travel & Tours
    • 15.5. Kapwa Travel
    • 15.6. Marsman Drysdale Travel Inc.
    • 15.7. Rajah Tours
    • 15.8. Atlas Tours and Travel Inc.
    • 15.9. Bridgeway Travel and Tours
    • 15.10. Haranah Tours Corporation
    • 15.11. Travel Related Incentive Programs and Services, Inc.
    • 15.12. Travbest Travel & Tours
    • 15.13. Rakso Air Travel & Tours Inc.
    • 15.14. GoldenSky Travel and Tours
    • 15.15. GrandHope Travel Tours
    • 15.16. Kesari Tours Pvt Ltd
  • 16. Assumptions & Acronyms Used
  • 17. Research Methodology
Recommendations

Travel and Tourism

Tourism Market

November 2022

REP-GB-210

250 pages

Travel and Tourism

Philippines Culinary Tourism Market

July 2022

REP-GB-15326

324 pages

Explore Travel and Tourism Insights

View Reports
Future Market Insights

Philippines Tourism Industry

Schedule a Call