Travel & Tourism - Philippines | Statista Market Forecast

It is projected that the revenue in the Travel & Tourism market of Philippines will reach US$4.08bn by 2024.
Furthermore, it is expected to show an annual growth rate of 6.69% resulting in a projected market volume of US$5.65bn by 2029.
The Hotels market is the largest in the market, with a projected market volume of US$1.89bn in 2024.
It is expected that the number of users in the Hotels will amount to 22.33m users by 2029.
In 2024, user penetration in the Philippines is expected to be 19.4%, and it will hit 27.0% by 2029.
The ARPU is expected to be US$176.90.
By 2029, 72% of the total revenue in the Travel & Tourism market of Philippines will be generated through online sales.
Globally, United States is expected to generate the most revenue (US$214bn in 2024) in the Travel & Tourism market.
The Philippines' Travel & Tourism market is experiencing a rise in ecotourism, with many travelers seeking out sustainable and nature-based experiences.

Definition:

The Travel & Tourism market encompasses a diverse range of accommodation services catering to the needs and preferences of travelers. This dynamic market includes package holidays, hotel accommodations, private vacation rentals, camping experiences, and cruises.

Structure:

The market consists of five further markets.

The Cruises market covers multi-day vacation trips on a cruise ship. The Cruises market encompasses exclusively passenger ticket revenues.
The Vacation Rentals market comprises of private accommodation bookings which includes private holiday homes and houses as well as short-term rental of private rooms or flats.
The Hotels market includes stays in hotels and professionally run guest houses.
The Package Holidays market comprises of travel deals that normally contain travel and accommodation sold for one price, although optional further provisions can be included such as catering and tourist services.
The Camping market includes bookings at camping sites for pitches using tents, campervans, or trailers. These can be associated with big chains or privately managed campsites.

Additional Information:

The main performance indicators of the Travel & Tourism market are revenues, average revenue per user (ARPU), users and user penetration rates. Additionally, online and offline sales channel shares display the distribution of online and offline bookings. The ARPU refers to the average revenue one user generates per year while the revenue represents the total booking volume. Revenues are generated through both online and offline sales channels and include exclusively B2C revenues and users for the above-mentioned markets. Users represent the aggregated number of guests. Each user is only counted once per year. Additional definitions for each market can be found within the respective market pages.

The booking volume includes all booked travels made by users from the selected region, independent of the departure and arrival. The scope includes domestic and outbound travel.

Prominent players in this sector include online travel agencies (OTAs) like Expedia and Opodo, as well as tour operators such as TUI. Specialized platforms like Hotels.com, Booking.com, and Airbnb facilitate the online booking of hotels and private accommodations, contributing significantly to the market's vibrancy.

For further information on the data displayed, refer to the info button right next to each box.

Bookings directly via the website of the service provider, travel agencies, online travel agencies (OTAs) or telephone

Business trips
Other forms of trips (e.g. excursions, etc.)

The Travel & Tourism market in Philippines has been experiencing significant growth in recent years, attracting a diverse range of travelers from around the world.

Customer preferences: Travelers in the Philippines are increasingly seeking unique and authentic experiences, driving the demand for off-the-beaten-path destinations and cultural immersion. The rise of social media has also influenced customer preferences, with many travelers looking for Instagram-worthy spots and experiences to share with their followers.

Trends in the market: One notable trend in the Philippines' Travel & Tourism market is the growing popularity of ecotourism and sustainable travel practices. Travelers are becoming more conscious of their environmental impact and are seeking destinations that prioritize conservation efforts and responsible tourism practices. This trend is in line with global movements towards sustainability and eco-friendly travel options.

Local special circumstances: The Philippines' archipelagic geography offers a wide range of attractions, from pristine beaches and coral reefs to lush rainforests and vibrant cultural heritage sites. This diversity of natural and cultural offerings makes the country a unique and compelling destination for travelers seeking a variety of experiences in one trip. Additionally, the warm hospitality of the Filipino people and the rich culinary scene add to the overall appeal of the destination.

Underlying macroeconomic factors: The Philippines' growing economy and increasing disposable income among the middle class have contributed to the expansion of the Travel & Tourism market. As more Filipinos have the means to travel domestically and internationally, the demand for tourism-related services has also grown. Additionally, government initiatives to promote the tourism sector and improve infrastructure have helped boost the industry and attract more visitors to the country.

Data coverage:

The data encompasses B2C enterprises. Figures are based on bookings, revenues, and sales channels of hotels, vacation rentals, cruises, package holidays, and camping.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market. As a basis for evaluating markets, we use financial reports, the Global Consumer Survey, third-party studies and reports, data from industry associations (e.g., UNWTO), and price data of major players in respective markets. To estimate the number of users and bookings, we furthermore use data from the Statista Consumer Insigths Global survey. In addition, we use relevant key market indicators and data from country-specific associations, such as country-related GDP, demographic data (e.g., population), tourism spending, consumer spending, internet penetration, and device penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, ARIMA, which allows time series forecasts, accounting for stationarity of data and enabling short-term estimates. Additionally, simple linear regression, Holt-Winters forecast, and exponential trend smoothing methods are applied. A k-means cluster analysis allows for the estimation of similar countries. The main drivers are tourism GDP per capita and respective price indices.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change.

This report presents a comprehensive analysis and additional information on the Mobility market, in a PDF format.

Business or corporate travel is the tourism segment that focuses on people who travel for work or professional purposes and the related tourism services. This branch also includes the meetings industry, which refers to business events, conferences, congresses, trade fairs, and exhibitions. According to the World Travel and Tourism Council (WTTC), business travel accounted for 20 percent of the global tourism expenditure in 2021. In that year, it was estimated that business travelers spent more than 740 billion U.S. dollars worldwide, with Chinese tourists topping the ranking of the biggest business travel spenders.