Christy Balita
Research expert covering the Philippines
Food service industry in the Philippines - statistics & facts
The Philippines has a lucrative food service industry that includes a variety of establishments such as restaurants, fast-food chains, cafes, and small stalls and kiosks. With numerous food trends and a strong appetite for dining out as a family-bonding activity or a time for celebration, this vibrant sector is a significant contributor to the economy and has been providing employment opportunities. Following the impact of the COVID-19 pandemic, the foodservice market has shown signs of recovery thanks to resumed dining in habits and the convenience offered by food delivery services.
Aside from fast-food restaurant chains, stalls and kiosks have been serving Filipino consumers over the years, from students to government workers, and households with the vicinity. In every neighborhood lies carenderias, which are eateries serving affordable home-cooked meals, usually with longer operating hours. Aside from carenderias, street stalls are also popular nationwide, and in 2022, the combined sales of this type of establishments were estimated at 1.58 billion U.S. dollars.
Limited-service restaurants continue to drive Philippine food service growth
The comfort and faster service offered by fast-food restaurants made it the most popular place to dine or buy food outside of home among Filipino consumers, especially for chicken and burger lovers. Accounting for over half the total revenue share, fast-food restaurants generated about 5.72 billion U.S. dollars in revenue in 2022 alone. The quick-service restaurant (QSR) market has since been dominated by local players led by the Jollibee Foods Corporation, which owns and operates Jollibee and other chains such as Mang Inasal, Greenwich, and Chowking. Following by a huge margin was McDonald’s, whose exclusive franchise is held by the Golden Arches Development Corporation. International food chains have also made their way to the Philippines, providing even more variety to Filipino food lovers.Aside from fast-food restaurant chains, stalls and kiosks have been serving Filipino consumers over the years, from students to government workers, and households with the vicinity. In every neighborhood lies carenderias, which are eateries serving affordable home-cooked meals, usually with longer operating hours. Aside from carenderias, street stalls are also popular nationwide, and in 2022, the combined sales of this type of establishments were estimated at 1.58 billion U.S. dollars.
The future of food service market in online food delivery and other trends
As a culture with diverse food backgrounds and influences, the Philippine food service market is ripe with growth opportunities. The pandemic allowed Filipino entrepreneurs to start offering meals and other food items online, leading to a significant growth in the online food delivery market. Aside from restaurants and fast-food chains offering food delivery services, small entrepreneurs who do not have the capital to start their own restaurants or food businesses are given a chance to serve their customers even with a limited menu. The online food delivery market in the Philippines is dominated by Grab and Food Panda, along with other third-party providers such as Lalamove and AngkasPH. A recent survey revealed that Filipino consumers ordered food from such platforms no less than once a day, with fast food being the most popular food items ordered from these apps.
