philippines tourism recovery

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Philippines Tourism: Post-Pandemic Recovery Under Way In 2024

Tourism / Philippines / Wed 31 Jan, 2024

Key View: We retain our view that the Philippines’ tourist arrival levels will fully recover to their pre-pandemic levels in 2024, after the country recorded a strong 2023 with over 5mn tourists arriving over the full year. In 2024 we project the Philippines' tourist arrivals will grow to 8.21mn. The country’s continued recovery from the negative impact of the Covid-19 pandemic will be driven by increasing arrivals from key source markets in Asia, Europe and North America (primarily the US). Over our medium term forecast period (2024-2028) we forecast tourist arrivals to the Philippines will continue to expand with the market offering tourists from its key source markets a relatively affordable destination, which benefit from easy access (low level entry requirements) and strong transport links.

In January 2023, the Philippines Department of Tourism reported the country’s tourist arrivals for December 2023 had reached 514,416. The December 2023 figures brings the market’s total arrivals for the year to 5,003,475. The reported arrivals figures for 2023 stand at 61.1% of their pre-pandemic level in 2019 (8.19mn arrivals) and slightly higher than BMI’s projection of 4.9mn arrivals for 2023. South Korea, which has historically been the Philippines' largest arrivals source market, retained its ranking in 2023, making up 26.4% of arrivals for the year. 

Strong Month On Month Increase In Arrivals Over 2023

Philippines – cumulative 2023 monthly arrivals & 2024 arrivals forecast.

We forecast the Philippines’ arrivals to grow by 64.0% y-o-y in 2024 to reach 8.21mn arrivals. This would be a full recovery in arrivals, as well as being higher than the 8.19mn arrivals welcomed in 2019. We believe the growth and recovery in arrivals over 2024 will primarily be driven by increasing arrivals from key source markets, such as South Korea, Mainland China, the US, Japan, and Australia. We forecast the country’s arrivals to continue to increase over the remainder of our 2024-2028 forecast, reaching a projected 9.5mn arrivals in 2028. This represents an average annual growth rate of 15.8% y-o-y over 2024-2028.

We note that there are short term risks to our outlook for the Philippines arrivals stemming from heightened consumer inflation in the Philippine’s key source markets. We expect inflationary pressures to ease over 2024, but consumers will remain price sensitive in the short term and this is likely to be reflected in increased travel to domestic and short haul destinations, a trade down from long-haul international destinations, which have a higher price point. Nevertheless, the Philippines is a relatively affordable travel destination, and we expect it to particularly benefit from strong regional arrivals, due to its proximity and strong transport links with its key Asia source markets.

This commentary is published by BMI, a Fitch Solutions company, and is not a comment on Fitch Ratings Credit Ratings. Any comments or data included in the report are solely derived from BMI and independent sources. Fitch Ratings analysts do not share data or information with BMI. Copyright © 2023 Fitch Solutions Group Limited. All rights reserved. 30 North Colonnade, London E14 5GN, UK.

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Tourism’s road to recovery

Revenge travel is in full swing three years after COVID-19 struck the Philippines, a momentum that the Department of Tourism (DOT) intends to maintain by dismantling the last of the health and safety protocols imposed on tourism establishments. Earlier this week, DOT issued Memorandum Circular 2023-0002 that lifted more pandemic era regulations to spur the rapid recovery of the critical tourism sector that was crippled by the extended lockdowns and stringent movement restrictions of previous years. Tourism establishments, for one, no longer need to install plastic or acrylic barriers and dividers in designated areas, nor are they required to display signs or visual cues on mandatory protocols. Guests, too, are no longer expected to wear face masks, nor are they required to present proof of full vaccination.

Tourism Secretary Christina Frasco said doing away with these increasingly obsolete requirements “sends the important message that, under the Marcos Jr. administration, our country is open for tourism, and that we are keeping up with global practices on tourism operations that have already opened up worldwide.” Indeed, DOT has made a series of calibrated moves to fully reopen the battered tourism sector, one of President Marcos Jr.’s stated priorities during his first State of the Nation Address.

According to the Philippine Statistics Authority, the tourism sector contributed as much as P1 trillion to the economy in 2021, 9.2 percent more than its P917.2 billion earnings in 2020, when mobility restrictions were at their most stringent. The tourism industry, which covers hotels, food and beverage outlets, travel agencies, tour operators, retail establishments, tour guides, recreation, and transportation also employed 4.9 million in 2021, accounting for roughly 11 percent of total employment in the country. This meant that at least one in every 10 employed Filipinos was in the tourism sector. But the current figures have a long way to go to match DOT’s output in 2019, when it contributed P2.5 trillion to the economy and employed 5.7 million. This explains the rapid loosening of travel restrictions, as the Marcos Jr. administration struggles to attract at least 8.3 million tourists, the number of tourist arrivals in 2019 before the global health emergency hit the country.

To recall, Mr. Marcos signed in October last year Executive Order No. 7 that made the wearing of face masks voluntary throughout the country, except in critical areas such as in health care facilities and all types of public transport, to better compete for tourists against other countries that had long lifted their mask mandates. Since then, other strict requirements such as prior testing and mandatory quarantine had been removed, as was the issuance of safety seal and safe travels stamp to establishments complying with COVID-19 protocols.

But while packed hotels, restaurants, and incoming flights clearly indicate that the sector is fast regaining its pre-COVID vigor, Filipinos should not be lulled into thinking that the pandemic is over. On the contrary, COVID-19 remains a threat, as the Department of Health (DOH) keeps stressing. Reasonable caution should still be exercised lest new and more transmissible strains cause infection numbers to again spin out of control, and justify the reinstatement of painful protocols. Basic and easy-to-follow health and sanitation rules should remain in place to protect ourselves and others from contracting the virus that causes COVID-19 as well as other diseases. These include the thorough washing of hands, wearing a face mask when warranted, and voluntarily isolating one’s self or changing travel plans when symptoms of illness appear. The withholding of information about a traveler’s health status should not be tolerated.

One heartening note amid these precautions is the DOH’s pronouncement that 73.8 million Filipinos or 94.6 percent of the target population are now fully vaccinated against COVID-19, which helps keep the country’s positivity rate well below the 5 percent deemed manageable by the World Health Organization.

Now that the pandemic restrictions have been lifted, the tourism sector should tackle the previous and recurring problems faced by domestic and international tourists. These include peace and security, which was dampened with the recent killing of a New Zealand tourist by robbers in Makati, and the bad image of our airports due to long queues and incidents of theft by airport personnel themselves. Improving tourism infrastructure to give travelers faster and easier access to our islands must also be given priority by the government.

Putting our house in order and remaining vigilant about the lingering threats of COVID-19 will inspire more confidence among travelers about coming into the country, thus giving the Philippines the best of both worlds: A tourism sector that is robust and fast recovering from the ravages of the pandemic, and a COVID-19 situation kept firmly under control.

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Wttc economic impact report reveals significant recovery of ph tourism amid covid-19 pandemic.

THE World Travel & Tourism Council (WTTC) is bullish on the prospect of the Philippines’ tourism industry recovery, projecting a bright future and a rosy outlook in terms of economic growth and employment generation in the next 10 years.

Citing the latest Economic Impact Report, WTTC President and Chief Executive Officer Julia Simpson revealed that the embattled travel and tourism industry in the country reached US$ 41 billion in 2021, climbing 129.5.% year on year.

In the opening press conference of the 21st WTTC Global Summit held at the Marriott Hotel, Simpson lauded the leadership of Secretary Berna Romulo-Puyat for her continuous efforts to revitalize the tourism industry of the Philippines, which has been steadily recovering despite the ongoing global health concern.

“Our expert analysis shows that the travel and tourism economy has turned a corner, and is firmly on the road to recovery. This growth was primarily built on domestic travels and very much pioneered and led by Secretary Bernadette,” Simpson said.

According to said Economic Impact Report (EIR) for the Philippines, the sector supported 7.8 million jobs, representing a substantial 20.5% rise in 2020, compared with a global increase of 6.7%.

“In the nearly two years where international travel was put on hold, the Philippines has been busy preparing for the day when our country would be open to the world. We have put in place guidelines that will ensure the safety of our guests, our tourism workforce, and our community,” Puyat shared.

The Philippines has been open to visa-free countries since February 10 and all countries since April 1. Up until April 17, she said the country received about 270,000 foreign arrivals adding that the country has the least number of restrictions.

“Ultimately, through this summit, we hope to raise awareness of the full economic and social impact of travel and tourism. We also want to assure everyone, especially our foreign guests, that your safety and well-being is our priority,” the Tourism Secretary emphasized.

Considered one of the most influential Travel & Tourism events worldwide, the WTTC Global Summit is an annual gathering of the entire spectrum of the industry, including airlines and airports, hotels and hospitality groups, tour operators and retail travel agents, online distributors, cruise lines, investment companies, insurance groups, and the technology industry.

“Looking ahead, we forecast an average annual growth rate of 6.7% over the next 10 years, exceeding the expected country’s overall economy average growth rate of just 5.6%,” Simpson said.“We also forecast employment will grow annually by an average of 3% over the next 10 years, generating 2.9 million new jobs, accounting for 21.5% of all jobs in the Philippines.”

Before the pandemic, the Philippines Travel & Tourism sector’s contribution to GDP was 22.5% of the total economy (worth US$92.6 billion). However, due to damaging travel restrictions, it then plunged by 80.7% to a mere US$ 17.8 billion, dropping to just a 4.8% share towards the country’s GDP.

But in 2021 this rose to US$ 41 billion, representing a 10.4% share of the nation’s total economy, which signals the recovery of the sector is well underway.n

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The Philippines Is Taking a Long and Confusing Path to Tourism Recovery

Maria Stella F. Arnaldo, Skift

July 9th, 2021 at 10:00 AM EDT

For a nation that relies on tourism as a significant engine of growth — the sector had contributed around 13 percent to the gross domestic product — it's time for national and local government officials to move in one direction and attack the Covid problem together.

Maria Stella F. Arnaldo

Veteran tour operator Jose C. Clemente III was perplexed. The Philippine government on July 3 announced that vaccinated individuals no longer needed to submit negative Covid-19 test results prior to their travel from one quarantined zone to another.

In the Philippines, which has garnered a reputation for having the longest lockdown in the world, areas are grouped into quarantined zones according to the magnitude of Covid infections. With the new policy, any vaccinated Filipino can now travel from a low community quarantine zone to high community quarantine zone, and vice versa. This directly impacts many leisure destinations in the country, many of which are under different quarantine statuses.

And their lies the problem: confusion, and ever-changing policies that have hampered the Philippines recovery and certainly its grand plans from pre-Covid to take tourism to a new level.

Clemente, who is also the president of the powerful Tourism Congress of the Philippines, told Skift that “while we welcome any initiatives to make traveling around the country more convenient for our tourists, there is still a need to exercise extreme caution as the virus is still with us.

“Moreover, only a small percentage of our population has been vaccinated so far and medical experts believe fully vaccinated persons can still acts as carriers,” he added.

It’s been a no-win situation in a country whose gross domestic product had been 13 percent dependent on tourism.

With a population of 109 million, the administration of president Rodrigo R. Duerte, intends to vaccinate at least 58 million by yearend, which represents 70 percent of the population of highly urbanized areas. But delays in vaccine purchases, global supply issues, along with politicking in the distribution of doses, have slowed the vaccine rollout. As of July 8, some 12.7 million doses have been administered, but just 5.5 percent of the target population, or 3.21 million individuals, are fully vaccinated.

Three days after the new travel policy was announced, Philippines Health Secretary Francisco Duque III said the national government would discuss it again, citing blowback from local government officials. Most said they were not consulted. Moreover, how could they validate the vaccination cards, when even Covid test results have been faked by revelers just to go to the beach?

Clemente, on Twitter now, scoffs, “You never learn,” referring to the government. “You just gave us those in tourism a headache. You should have studied the big picture first before issuing a resolution that will be difficult to implement.”

Green countries

Duque’s double-take is symptomatic of the seeming directionless Covid policy planning of the Duerte administration, with travel restrictions changing almost weekly, and contradicting previously issued policies.

At the end of June, for instance, Manila announced a list of “green countries” from which vaccinated individuals would be accepted, entitling them to just a seven-day quarantine instead of the usual 14. This covers only Filipinos returning after completing job contracts abroad, or visiting during the school break, retirees with special visas in the country, and diplomats. Foreign leisure tourists continue to be barred from entering the Philippines.

Not included in the list of green countries is the United States, home to over 4 million Filipino-Americans, many of whom have been eager to visit their relatives here. It was just in December when the national government, with the prodding of the Department of Tourism (DOT), started allowing “balikbayan” (homecoming for Filipinos) to spend Christmas with their families in the Philippines. It was the DOT’s initial stab at inbound tourism.

Tourism secretary Bernadette Romulo Puyat can only shrug. “In every [Covid task force] meeting, I constantly bat for the lifting of more travel restrictions to help tourism stakeholders regain their footing. But we always have to defer to the health experts, to the DOH.” The DOH said the more contagious Delta Covid variant has already been recorded in the U.S., thus, the reason for leaving it out of the green list.

Different apps, different requirements

With inbound tourism still a large question mark, the DOT has been pushing for domestic travel, urging more provinces to reopen to local tourists. So far, among the globally recognized leisure destinations accepting domestic revelers are Boracay, Panglao Island in Bohol, Baguio City in Nothern Luzon, El Nido in Palawan, and Siargao Island in Mindanao.

But the local travel requirements are as numerous and different as the number of islands in the Philippines, such that the DOT has felt the need to come up with its own travel app to inform tourists of each destination’s requirements. Baguio, for example, started accepting vaccination cards as an entry requirement, but in Boracay Island , famous for its creamy-white-sand beach, continues to require vacationers to submit negative RT-PCR test results.

A survey by the prestigious Asian Institute of Management for the DOT released in February, indicated that the different travel and safety protocols discourages tourists. “The varying [local government] safety protocols…is the top source of travel inconvenience. The presence of a unified system that outlines the set of standard protocols in various travel destinations will help ease travel arrangements.”

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Tags: coronavirus , philippines , tourism

Photo credit: A sight from one of the more than 7,000 islands in the Philippines. David Mark / Pixabay

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Philippines’ DOT sets out 2022 recovery plan

MANILA, 8 September 2021: The Philippines’ Department of Tourism will pursue a 2022 recovery plan with an end goal of a sustainable, resilient, and inclusive tourism industry, the Philippines News Agency reported earlier this week.

Secretary Bernadette Romulo-Puyat presented the plan as part of the DOT’s proposed 2022 budget to the House of Representatives appropriations committee.

The DOT has proposed a PHP3.52 billion budget for 2022 to support its plans and programmes, as well as a PHP63.71 million allocation for the Intramuros Administration and PHP203.79 million for the National Parks Development Committee.

The plan calls for more green tourism lanes first for domestic tourists in early 2022 once the Covid-19 situation in the Philippines stabilises. International travel should follow based on the country’s vaccination programme and stabilising Covid-19. Like its neighbours in ASEAN, the country is looking at ways to live with Covid-19 and establish policies for tourism that are not conditional on achieving zero virus outbreaks, but so far, there are no clear indicators on when the Philippines will fully open to vaccinated international travellers.

“As international borders start to open, the key, strategic and opportunity markets will be engaged and green lanes explored in preparation for revenge travel,” Romulo-Puyat said.

Romulo-Puyat said the DOT’s policy direction banks on the reformulated National Tourism Development Plan (NTDP) for 2016 to 2022, which has a three-pronged thrust of promoting safe, fun, and competitive tourism; pursuing sustainable, inclusive, and resilient tourism; and strengthening governance and destination management.

The DOT has also updated its Tourism Response and Recovery Plan (TRRP) with the main objective of mitigating the impact of the pandemic on the tourism industry.

She said this would guide the department and stakeholders in ensuring the protection of jobs and safety of travel workers, visitors, and communities, as well as support for tourism enterprises.

Among others, it will help rebuild confidence and growing demand in domestic and foreign markets.

“Under the Tourism Standards and Enforcement Program, we shall continue to improve service standards and restore confidence to travel, develop, and enforce tourism standards that are at par with global best practices,” she said.

Before the pandemic, the tourism industry contributed PHP2.51 trillion, or nearly 13%, to the country’s Gross Domestic Product. This dropped to PHP973.31 billion in 2020 at the height of the health crisis.

Based on the World Tourism Barometer report of the United Nations World Tourism Organization issued in May, the global travel industry suffered a decline of 72.9% in international visitor arrivals in 2020.

The Philippines registered a much steeper 82% slide from 8.26 million tourist arrivals in 2019 to just 1.48 million in 2020.

“Despite the challenges and limitations in 2020 and 2021, the DOT supports efforts to keep the tourism industry afloat while laying the groundwork for the industry’s recovery,” Romulo-Puyat said.

She said the DOT is focused heavily on providing immediate response to those displaced by the pandemic.

As of 26 August, Romulo-Puyat reported DOT had conducted 352 training courses for industry stakeholders with 19,871 participants.

“During the industry’s downtime, we were able to reskill, upskill, and retool the tourism stakeholders with the health and safety protocols and operations under a new normal environment,” she said.

Further, 44 new tourism circuits were established by the department, in addition to the 71 that are still undergoing development.

(Source: PNA)

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Rebooting Philippine Tourism from the COVID-19 Pandemic

Revitalizing tourism activities has become one of the primary concerns for the Philippines. In the short run, domestic tourism is expected to play a vital role in supporting the initial recovery phase of travel. With its presumed impact on travelers’ behavior and business operations, an analysis of the Filipino travelers’ sentiments and the existing domestic travel market is necessary in presenting effective strategies in the midst of the new normal in Philippine travel.

Introduction

The Philippine tourism economy has been heavily hit by the measures implemented to contain the spread of COVID-19. The pandemic has prompted an unprecedented crises with projections and revised scenarios suggesting that the shock in global tourism could be at 60-80% for the entire 2020, translating to a loss of approximately 67 million international arrivals or USD 80 billion in exports from tourism, while putting 100 to 120 million direct tourism jobs at risk. While affecting all economies, the Asia-Pacific region has been projected to suffer with the highest impact, affecting about 33 million arrivals (United Nations World Tourism Organization [UNWTO], 2020).

Tourism is a significant pillar in many economies in the region, especially in the Philippines, where in 2019, it contributed 12.7% share in the country’s GDP, and employed 14 out of 100 or 5.7 million of Filipinos (Philippine Statistics Authority [PSA], 2020). Following the outbreak of the pandemic, estimates for the first three months of 2020 suggest that revenue from foreign arrivals decreased by 35%, and employment in the industry may be reduced by about 33,800 to 56,600 (CGTN, 2020). Several months into the implementation of  stay-at-home  and quarantine policies, travel in the Philippines remains uncertain. Travel restrictions and limits in people-to-people interactions are likely to be in place for a long period of time, thus bringing the industry to a standstill.

With the expectation that domestic travel will recover faster than international tourism, insights on the possible strategies that can help bootstrap the Philippine tourism economy should be discussed. Critical to this approach is an understanding of the Filipino travelers’ sentiments towards travel and a marketing analysis which scrutinizes ways to revive travel demand and resume operations in the face of the new normal in tourism. This article will look into the variety of conducted surveys regarding travel perceptions and will reintroduce the concept of  space travel  to guide the creation of strategies towards travel in the new normal.

Redefining Travel in the New Normal: The Filipino Travelers’ Sentiments

In these times of uncertainty in the outlook of travel in the Philippines, a data-driven approach to support the revival of the industry has become an imperative. During the period of March to May 2020, several public and private organisations deemed it necessary to conduct surveys to understand stakeholders’ perceptions on travel in relation to the pandemic. Given mobility restrictions, surveys have been conducted online while targeting a range of stakeholders from enterprises, decision makers, to tourists. Conducted in varying time frames, general survey results suggest that travel sentiments might have evolved over periods of time. Insights on travel perceptions are necessary in crafting strategies for tourism recovery. Thus, consumer perception on the future of travel should be taken into consideration in planning interventions and strategies. Table 1 presents the surveys conducted in relation to travel and pandemic.

Photo credit: https://bit.ly/3ag2GUz

From the results of the surveys, several insights about the future of travel in the Philippines were made: First, domestic travel will be a priority. Travelers opt to either engage in land travel or air travel. Second, travelers will prioritise travel in rural, secluded, and natural areas once restrictions are lifted. Travel away from mainstream and overcrowded destinations are expected, although beach destinations are still considered ideal destinations post-pandemic. Furthermore, due to the restrictions imposed by the pandemic, travelers are now more open to digital travel experiences. Similarly, travelers are likely to choose customised travel experiences over packaged group tours. Third, health and safety protocols will be their number one priority once travel resumes. Thus, effective communication of safety measures and protocols implemented in destinations and enterprises will greatly influence travel choices. Perception towards the health and safety in travel will therefore predict where travelers will travel, when they will be traveling, and what kind of experiences they hope to obtain. Fourth, while domestic travel is expected to resume within four to twelve months after easing of travel restrictions, sentiments are primarily dictated by perceptions on public health and safety. Finally, given that the pandemic has affected people’s source of income and their personal finances, travelers seek more cost-effective experiences.

Re-Introducing  Space Travel

As emphasised in the webinar entitled  Space travel: A conversation on strategies to revitalize Philippine tourism post-COVID-19  ( https://www.youtube.com/watch?v=Zq-Co_DWg8E ) hosted by the AIM- Dr. Andrew L. Tan Center for Tourism last 28 July 2020, much has been said about the world getting smaller, we forget that the world is actually big. There are still so many places to explore and to visit, much to learn and to unlearn. Overcrowding (i.e.,  mass tourism ) is no longer an option because of the established physical/social distancing, health and safety protocols that require decongestion of tourist attractions. To care for earth by giving nature room to flourish, to give fellow travellers the room to breathe, to explore, to grow, to reflect and participate in the lives of others, and to give destination stakeholders time to recover from visitor activities is the essence of  space travel . It is a literal practise of giving each other and the earth space.

Tourists who routinely return to familiar destinations are considered  second home tourists . These tourists are in the best position to care for a destination because they are invested in this as their go-to place for sanctuary. On the other hand, for those who travel to experience destinations from a distance, risking the alteration of local behaviour and culture are deemed  fishbowl tourists . By including activities that increase their involvement in local custom, rather than just mere observation can transform these tourists and their attitude towards travel. Those who immerse themselves and make their experience a journey is called the  inspired travellers , who imbibe sustainable tourism when they protect and safeguard the earth by their conscious defence and accountability of environments and travel behaviour.

Until restrictions are lifted and travelling returns to normal, tourism needs to adjust and adapt to reflect the present restrictions, initiating a new way of serving travellers called  transition tourism . This type of tourism distributes the business amongst many stakeholders – accommodations, transportation, alimentation, security, and sanitation – in small groups triggering a collaborative rebooting of a local economy in many areas. Thus, for space travel to take root, transition tourism must inspire fishbowl and mass tourists to become inspired travellers (see Figure 1).

By working together, stakeholders and travellers alike, in stimulating local economies as a tight organism is to  think small . It reduces the unwieldiness of the task of re-booting economies and industries. When each one of us does our little bits, we can save our big world by thinking small.

Moving Forward: From Crisis Response to Recovery

Further discussions, through webinars, have been initiated among experts and stakeholders on rebooting Philippine tourism. In the webinar titled  Bootstrapping Philippine tourism: Recalibrating our priorities during and after COVID-19  ( https://www.youtube.com/watch?v=3kNhIZqy92I ) hosted by the AIM-Dr. Andrew L. Tan Center for Tourism last 03 June 2020, the following discussions have been featured: best practices on how tourism industries recover from disasters; strategies on how tourism stakeholders can manage COVID-19’s impacts; and insights on resilient recovery from a disaster risk-reduction management lens and how these can be applied for tourism recovery efforts.

During the webinar, Aileen C. Clemente (President, Rajah Travel Corporation) highlighted the following lessons from the pandemic: “it takes a while for people to get from philosophical discussion to general frame working to actual implementation”; “those who had a lot of excuses not to implement what needed to be implemented have no choice but to now implement them; and “greed has been tempered”. From these, Clemente cited the four stages of recovery as per the World Travel & Tourism Council – managing and mitigating the crisis, restarting the sector’s operations, reaching recovery, and redesign for the new normal.

In line with this, Maria Cherry Lyn S. Rodolfo (Consultant, Department of Tourism) explicated that the tourism industry must have a calibrated recovery plan, in which domestic tourism should be given priority. That is, tourism authorities and enterprises must incessantly develop safety and health protocols that will ensure domestic travel is safe, secure, and seamless. Rodolfo also emphasised that the pandemic warranted the need for “strong, innovative, and responsive network” in moving towards recovery, reset, and resiliency. Rodolfo also highlighted the role of “cohesive and collaborative networks” in tourism reboot. There should be: call to action for inclusive recovery assistance, innovation, infrastructure, and institutional strengthening; community engagement in utilizing the resources of networks and in leveraging local with national and international networks; and a communication plan that will cascade tourism reboot strategies to both existing strong and weak networks in the industry.

In doing so, Clemente argued that in the new normal, repositioning product offerings, raising levels of service, defining world-class destination, re-examining consumption of tourism products and services, and increasing awareness about mass tourism are essential. Similarly, Lesley Jeanne Y. Cordero (Senior Disaster Risk Management Specialist, World Bank) stressed that in transitioning towards the new normal, there is a need to redefine tourist experience and destination management; invest in innovative and creative ways of product development; promote sustainability, inclusivity, and resiliency; recalibrate travel timelines, concepts, spaces and experiences; shift and share burden by collaborating with government, stakeholders, communities and tourists.  

While information about the impact of the COVID-19 pandemic has already dominated discourses on tourism, only a few discussions have been made regarding strategies to accelerate tourism recovery. With tourism activities at a standstill, an opportunity to adapt new models for conducting tourism activities has opened. More than ever, the role of tourism stakeholders in transitioning to the new normal has become more apparent.

In addressing the question on how tourism can recover after the COVID-19 pandemic, we analysed existing data regarding travel perceptions and conducted a marketing analysis to identify ways to revive travel demand and operations in the new normal. Our analysis suggest that existing business models may have become obsolete, thereby needing adjustments and re-assessments. While travel restrictions remain, transition tourism takes place. Crucial at this period is considering travelers’ perceptions and sentiments. Following the findings in the various surveys conducted, travelers are expected to engage in tourism activities with health and safety as their priority, which further suggests their preference towards natural areas and uncrowded destinations, digital travel, and customised experiences.

Reflected by these findings is a paradigm shift in the future of travel—from  fishbowl tourism  to  inspired travellers,  which also tantamount to a shift from mass tourism to a more sustainable form of tourism. However, this shift does not occur without the collaborative rebooting of the local economy by using local tourism as a springboard. Thus, stakeholders need to work together, along with tourists, to create a tightly knit industry that fosters  thinking small .

• CGTN. (2020). Philippines Q1 tourism revenue dips 35% due to COVID-19. https://news.cgtn.com/news/2020-05-02/Philippines-Q1-tourism-revenue-dips-35-due-to-COVID-19-Q9MV8ZEnW8/index.html
• Department of Tourism, Dr. Andrew L. Tan Center for Tourism, & Guide to the Philippines (DOT, ALTCFT, GTTP). (2020, June). The Philippine Travel Survey Report: Insights on Filipino Travelers’ Sentiments on the New Normal. Department of Tourism, Asian Institute of Management, Guide to the Philippines.  https://guidetothephilippines.ph/ph-travel-survey .
• Experience Philippines. (2020, May). How Filipinos view traveling after COVID-19 flattens?  https://www.experience.ph/poll-how-filipinos-view-traveling-after-covid-19-flattens/ .
• Filinvest Hospitality Corporation and Chroma Hospitality Inc. (2020, June). Domestic travel sentiment survey.  https://indd.adobe.com/view/30521fd3-30fa-4ba2-b165-919e100569c3?fbclid=IwAR05IrayFDrJfKvoCfq5CDyzxcdawAra34OO_NuRXAidwU-JzXtcmYAsuO0 .
• Tajara Hospitality and Horwath HTL. (2020, April). Hotel sentiment survey 2020 (Impact of COVID-19).  https://cdn.horwathhtl.com/wp-content/uploads/sites/2/2020/04/Sentiment-Survey_Philippines_Hotels_Covid-Impact.pdf .
• TwoEco, Inc. (2020). Philippine tourism after the pandemic. https://drive.google.com/file/d/1jw57pIvX0fh7l1y739HGk46COUOpRNFI/view.
• Philippine Statistics Authority (PSA). (2020). Contribution of Tourism to the Philippine Economy is 12.7 percent in 2018. https://psa.gov.ph/content/contribution-tourism-philippine-economy-127-percent-2018
• PwC Philippines. (2020, July). Impact of COVID-19 on the Philippine tourism indusry.  https://www.pwc.com/ph/en/publications/tourism-pwc-philippines/tourism-covid-19.html .
• United Nations World Tourism Organization (UNWTO). (2020). International Tourist Numbers could fall 60-80% in 2020. https://www.unwto.org/news/covid-19-international-tourist-numbers-could-fall-60-80-in-2020

Dr. Andrew L. Tan Center for Tourism

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Bolstering Philippine tourism as it bounces back

By Chelsey Keith P. Ignacio , Special Features and Content Senior Writer

Travel plans were put on hold amid the border closures and limited mobility prompted by the pandemic. But as restrictions ease and places reopen last year, many travelers are now pumped to get packing. The recovery of tourism, therefore, is taking off. So what lies ahead for the industry this year?

From optimism towards tourism to initiatives to strengthen the industry, tourism leaders and players explored “Further Rebounding the Philippine Tourism Sector” during the BusinessWorld Insights online forum on May 3.

The Philippines has welcomed over 1.8 million international arrivals in the first four months of 2023, according to the Department of Tourism (DoT) Secretary Christina Garcia Frasco. This already surpassed DoT’s target of 1.7 million for last year, which the country also exceeded with 2.65 international arrivals logged in 2022.

“For 2023, the projections of the DoT are that we would be able to usher in no less than 4.8 million in international arrivals. And we fully anticipate the 100% recovery of domestic tourism this year, meaning no less than 122 million domestic trips,” Ms. Frasco said.

“We are very confident of being able to accomplish our goals and that I consider to be our baseline, not our ceiling,” she added.

Hotels and restaurants are now also serving more people, according to Robert John Horrigan, general manager of Acacia Hotel and vice-president for Hotel Division of the Hotel and Restaurant Association of the Philippines (HRAP).

“With the HRAP, we’ve seen our occupancies go higher and our average daily rates; in our restaurants, we have more and more diners. So it is here, revenge travel and tourism is back,” he said.

Maria Suzette Geminiano, corporate marketing manager of Hotel Sogo, meanwhile expressed her bullishness over the path ahead for the country’s tourism.

“We still remain optimistic about the future of Philippine tourism. And by implementing the right measures and working together, we can further rebound and emerge as stronger tourism industry,” she said.

Ms. Geminiano also observed three angles in the changed behavior among travelers in the course of the pandemic.

These behaviors included revenge tourism among several people, with their eagerness to have relaxation and recreation driving them to book many travels; fear of the virus, which would push some people to choose a specific location to stay in; and spending more time with families or loved ones, after some people experienced losing someone during the pandemic.

“These three experiences or behaviors will all still drive us to the improvement of our tourism,” Ms. Geminiano said.

Philippine Travel Agencies Association (PTAA) President Patria T. Chiong also said they are “very optimistic and enthusiastic” now as they are launching events, travels, and tourism, as well as promoting the Philippines as a tourist destination domestically and internationally.

Ms. Chiong especially promoted other parts of the country among Filipino travelers. “We should not only promote Manila because Manila is already congested to our international travelers, but also promote the other cities,” she said.

“We not only have Manila as a tourist destination, but we also have Cebu, Davao, Siargao, and other destinations in the Philippines. As all of us know, the Philippines is an archipelago and we have more than 7,000 islands and we cater to all types of tourists,” she added.

Ms. Chiong also considered word-of-mouth advertising as the best way to persuade friends and family members to travel to one’s preferred tourist destinations in the country.

Additionally, she highlighted that Filipinos should help each other and promote the country to foreign people abroad.

“That’s what I do every time I go abroad. I inform my foreign friends, ‘Come and visit us and I’ll show you around.’ If all Filipinos could do that — or let’s just say half of us, that is already 55 million — it would be easy to achieve the target of DoT,” she said.

Infrastructure

HRAP’s Mr. Horrigan hoped Philippine tourism’s gross domestic product to reach 20%, similar to its neighboring countries Malaysia and Thailand. For this matter, he said, the key is infrastructure.

“The World Travel and Tourism Council were talking about the Philippines. We have the best beaches, the best people, but they were talking about infrastructure. And so that’s one area that we lacked, meaning international airports,” he shared.

Yet, he said that HRAP is excited about the creation of more international airports, such as the Bulacan International Airport and the Sangley Airport in Cavite.

“A lot of countries have issues with manpower, their beaches are not as nice. We actually have them all. So it’s really infrastructure, which the government is working on right now,” he said.

Key strategies

For the government’s part, connectivity, convenience, and equality are the three key strategies in going about implementing its vision of “establish[ing] a tourism industry that is anchored on Filipino culture, heritage, and identity, which aims to be sustainable, resilient, and competitive in order to transform the Philippines into a tourism powerhouse in Asia,” DoT’s Ms. Frasco said.

Among the government’s initiatives for connectivity is negotiating for more flights not only coming into key destinations but also to lesser-known destinations.

“We have also looked into the maximization of our secondary gateways, looking to expand flights out of our Metro Manila airport into our secondary airports such as Clark, Cebu, Davao International Airport, and the like,” Ms. Frasco said.

And to provide convenience to tourists, the Tourism Secretary said they are setting up tourism information booths throughout the country. The government is also developing a Tourist Life Cycle app and a tourist call center.

Meanwhile, equality meant ensuring that “no destination is left behind in the development of tourism in the country,” said Ms. Frasco. Thus, she said the government is looking into different tourism portfolio, seeking to make the Philippine experience known to the world. This would include festivals, foods, and products of local artisans and makers.

Sustainable tourism

As tourism is expected to get back on track, several destinations in the Philippines would be flocked by Filipino and foreign travelers. But would this affect the environment?

Tourism could cause problems to the environment such as pollution. To ensure that the environment would not be damaged by the surge of tourists in different destinations, the respective local government units (LGUs) have a critical role to play.

“The government has to step in because privately, we cannot control the number of arrivals,” PTAA’s Ms. Chiong said. “The government has to impose restrictions and strict rules to be followed.” And LGUs, she added, should support DoT’s initiatives.

Ms. Frasco of DoT also said that policies on sustainable development serve no purpose if unable to be put in place with LGUs’ cooperation.

Sustainable tourism is “the bedrock of tourism development” under the current administration and is the umbrella of policies established under the National Tourism Development Plan, according to Ms. Frasco.

She also mentioned the proposal for forming a National Sustainable Tourism Council, which would be composed of the Department of the Interior and Local Government, the Department of Environment and Natural Resources, and other related government agencies.

“So it’s a whole-of-government and whole-of-nation approach as far as ensuring that we’re able to institute policies that ensure the longevity of the destination, and to ensure also that we encourage our tourists to leave the destination better than when they found it,” she said.

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Rebooting Philippine Tourism from the COVID-19 Pandemic

Revitalizing tourism activities has become one of the primary concerns for the Philippines. In the short run, domestic tourism is expected to play a vital role in supporting the initial recovery phase of travel. With its presumed impact on travelers’ behavior and business operations, an analysis of the Filipino travelers’ sentiments and the existing domestic travel market is necessary in presenting effective strategies in the midst of the new normal in Philippine travel.

Introduction

The Philippine tourism economy has been heavily hit by the measures implemented to contain the spread of COVID-19. The pandemic has prompted an unprecedented crises with projections and revised scenarios suggesting that the shock in global tourism could be at 60-80% for the entire 2020, translating to a loss of approximately 67 million international arrivals or USD 80 billion in exports from tourism, while putting 100 to 120 million direct tourism jobs at risk. While affecting all economies, the Asia-Pacific region has been projected to suffer with the highest impact, affecting about 33 million arrivals (United Nations World Tourism Organization [UNWTO], 2020).

Tourism is a significant pillar in many economies in the region, especially in the Philippines, where in 2019, it contributed 12.7% share in the country’s GDP, and employed 14 out of 100 or 5.7 million of Filipinos (Philippine Statistics Authority [PSA], 2020). Following the outbreak of the pandemic, estimates for the first three months of 2020 suggest that revenue from foreign arrivals decreased by 35%, and employment in the industry may be reduced by about 33,800 to 56,600 (CGTN, 2020). Several months into the implementation of stay-at-home and quarantine policies, travel in the Philippines remains uncertain. Travel restrictions and limits in people-to-people interactions are likely to be in place for a long period of time, thus bringing the industry to a standstill.

With the expectation that domestic travel will recover faster than international tourism, insights on the possible strategies that can help bootstrap the Philippine tourism economy should be discussed. Critical to this approach is an understanding of the Filipino travelers’ sentiments towards travel and a marketing analysis which scrutinizes ways to revive travel demand and resume operations in the face of the new normal in tourism. This article will look into the variety of conducted surveys regarding travel perceptions and will reintroduce the concept of space travel to guide the creation of strategies towards travel in the new normal.

Redefining Travel in the New Normal: The Filipino Travelers’ Sentiments

In these times of uncertainty in the outlook of travel in the Philippines, a data-driven approach to support the revival of the industry has become an imperative. During the period of March to May 2020, several public and private organisations deemed it necessary to conduct surveys to understand stakeholders’ perceptions on travel in relation to the pandemic. Given mobility restrictions, surveys have been conducted online while targeting a range of stakeholders from enterprises, decision makers, to tourists. Conducted in varying time frames, general survey results suggest that travel sentiments might have evolved over periods of time. Insights on travel perceptions are necessary in crafting strategies for tourism recovery. Thus, consumer perception on the future of travel should be taken into consideration in planning interventions and strategies. Table 1 presents the surveys conducted in relation to travel and pandemic.

From the results of the surveys, several insights about the future of travel in the Philippines were made: First, domestic travel will be a priority. Travelers opt to either engage in land travel or air travel. Second, travelers will prioritise travel in rural, secluded, and natural areas once restrictions are lifted. Travel away from mainstream and overcrowded destinations are expected, although beach destinations are still considered ideal destinations post-pandemic. Furthermore, due to the restrictions imposed by the pandemic, travelers are now more open to digital travel experiences. Similarly, travelers are likely to choose customised travel experiences over packaged group tours. Third, health and safety protocols will be their number one priority once travel resumes. Thus, effective communication of safety measures and protocols implemented in destinations and enterprises will greatly influence travel choices. Perception towards the health and safety in travel will therefore predict where travelers will travel, when they will be traveling, and what kind of experiences they hope to obtain. Fourth, while domestic travel is expected to resume within four to twelve months after easing of travel restrictions, sentiments are primarily dictated by perceptions on public health and safety. Finally, given that the pandemic has affected people’s source of income and their personal finances, travelers seek more cost-effective experiences.

Re-Introducing Space Travel

As emphasised in the webinar entitled Space travel: A conversation on strategies to revitalize Philippine tourism post-COVID-19 ( https://www.youtube.com/watch?v=Zq-Co_DWg8E ) hosted by the AIM- Dr. Andrew L. Tan Center for Tourism last 28 July 2020, much has been said about the world getting smaller, we forget that the world is actually big. There are still so many places to explore and to visit, much to learn and to unlearn. Overcrowding (i.e., mass tourism ) is no longer an option because of the established physical/social distancing, health and safety protocols that require decongestion of tourist attractions. To care for earth by giving nature room to flourish, to give fellow travellers the room to breathe, to explore, to grow, to reflect and participate in the lives of others, and to give destination stakeholders time to recover from visitor activities is the essence of space travel . It is a literal practise of giving each other and the earth space.

Tourists who routinely return to familiar destinations are considered second home tourists . These tourists are in the best position to care for a destination because they are invested in this as their go-to place for sanctuary. On the other hand, for those who travel to experience destinations from a distance, risking the alteration of local behaviour and culture are deemed fishbowl tourists . By including activities that increase their involvement in local custom, rather than just mere observation can transform these tourists and their attitude towards travel. Those who immerse themselves and make their experience a journey is called the inspired travellers , who imbibe sustainable tourism when they protect and safeguard the earth by their conscious defence and accountability of environments and travel behaviour.

Until restrictions are lifted and travelling returns to normal, tourism needs to adjust and adapt to reflect the present restrictions, initiating a new way of serving travellers called transition tourism . This type of tourism distributes the business amongst many stakeholders – accommodations, transportation, alimentation, security, and sanitation – in small groups triggering a collaborative rebooting of a local economy in many areas. Thus, for space travel to take root, transition tourism must inspire fishbowl and mass tourists to become inspired travellers (see Figure 1).

By working together, stakeholders and travellers alike, in stimulating local economies as a tight organism is to think small . It reduces the unwieldiness of the task of re-booting economies and industries. When each one of us does our little bits, we can save our big world by thinking small.

Moving Forward: From Crisis Response to Recovery

Further discussions, through webinars, have been initiated among experts and stakeholders on rebooting Philippine tourism. In the webinar titled Bootstrapping Philippine tourism: Recalibrating our priorities during and after COVID-19 ( https://www.youtube.com/watch?v=3kNhIZqy92I ) hosted by the AIM-Dr. Andrew L. Tan Center for Tourism last 03 June 2020, the following discussions have been featured: best practices on how tourism industries recover from disasters; strategies on how tourism stakeholders can manage COVID-19’s impacts; and insights on resilient recovery from a disaster risk-reduction management lens and how these can be applied for tourism recovery efforts.

During the webinar, Aileen C. Clemente (President, Rajah Travel Corporation) highlighted the following lessons from the pandemic: “it takes a while for people to get from philosophical discussion to general frame working to actual implementation”; “those who had a lot of excuses not to implement what needed to be implemented have no choice but to now implement them; and “greed has been tempered”. From these, Clemente cited the four stages of recovery as per the World Travel & Tourism Council – managing and mitigating the crisis, restarting the sector’s operations, reaching recovery, and redesign for the new normal.

 In line with this, Maria Cherry Lyn S. Rodolfo (Consultant, Department of Tourism) explicated that the tourism industry must have a calibrated recovery plan, in which domestic tourism should be given priority. That is, tourism authorities and enterprises must incessantly develop safety and health protocols that will ensure domestic travel is safe, secure, and seamless. Rodolfo also emphasised that the pandemic warranted the need for “strong, innovative, and responsive network” in moving towards recovery, reset, and resiliency. Rodolfo also highlighted the role of “cohesive and collaborative networks” in tourism reboot. There should be: call to action for inclusive recovery assistance, innovation, infrastructure, and institutional strengthening; community engagement in utilizing the resources of networks and in leveraging local with national and international networks; and a communication plan that will cascade tourism reboot strategies to both existing strong and weak networks in the industry.

In doing so, Clemente argued that in the new normal, repositioning product offerings, raising levels of service, defining world-class destination, re-examining consumption of tourism products and services, and increasing awareness about mass tourism are essential. Similarly, Lesley Jeanne Y. Cordero (Senior Disaster Risk Management Specialist, World Bank) stressed that in transitioning towards the new normal, there is a need to redefine tourist experience and destination management; invest in innovative and creative ways of product development; promote sustainability, inclusivity, and resiliency; recalibrate travel timelines, concepts, spaces and experiences; shift and share burden by collaborating with government, stakeholders, communities and tourists.  

While information about the impact of the COVID-19 pandemic has already dominated discourses on tourism, only a few discussions have been made regarding strategies to accelerate tourism recovery. With tourism activities at a standstill, an opportunity to adapt new models for conducting tourism activities has opened. More than ever, the role of tourism stakeholders in transitioning to the new normal has become more apparent.

In addressing the question on how tourism can recover after the COVID-19 pandemic, we analysed existing data regarding travel perceptions and conducted a marketing analysis to identify ways to revive travel demand and operations in the new normal. Our analysis suggest that existing business models may have become obsolete, thereby needing adjustments and re-assessments. While travel restrictions remain, transition tourism takes place. Crucial at this period is considering travelers’ perceptions and sentiments. Following the findings in the various surveys conducted, travelers are expected to engage in tourism activities with health and safety as their priority, which further suggests their preference towards natural areas and uncrowded destinations, digital travel, and customised experiences.

Reflected by these findings is a paradigm shift in the future of travel—from fishbowl tourism to inspired travellers, which also tantamount to a shift from mass tourism to a more sustainable form of tourism. However, this shift does not occur without the collaborative rebooting of the local economy by using local tourism as a springboard. Thus, stakeholders need to work together, along with tourists, to create a tightly knit industry that fosters thinking small .

About the Authors

• CGTN. (2020). Philippines Q1 tourism revenue dips 35% due to COVID-19. https://news.cgtn.com/news/2020-05-02/Philippines-Q1-tourism-revenue-dips-35-due-to-COVID-19-Q9MV8ZEnW8/index.html
• Department of Tourism, Dr. Andrew L. Tan Center for Tourism, & Guide to the Philippines (DOT, ALTCFT, GTTP). (2020, June). The Philippine Travel Survey Report: Insights on Filipino Travelers’ Sentiments on the New Normal . Department of Tourism, Asian Institute of Management, Guide to the Philippines. https://guidetothephilippines.ph/ph-travel-survey .
• Experience Philippines. (2020, May). How Filipinos view traveling after COVID-19 flattens? https://www.experience.ph/poll-how-filipinos-view-traveling-after-covid-19-flattens/ .
• Filinvest Hospitality Corporation and Chroma Hospitality Inc. (2020, June). Domestic travel sentiment survey. https://indd.adobe.com/view/30521fd3-30fa-4ba2-b165-919e100569c3?fbclid=IwAR05IrayFDrJfKvoCfq5CDyzxcdawAra34OO_NuRXAidwU-JzXtcmYAsuO0 .
• Tajara Hospitality and Horwath HTL. (2020, April). Hotel sentiment survey 2020 (Impact of COVID-19). https://cdn.horwathhtl.com/wp-content/uploads/sites/2/2020/04/Sentiment-Survey_Philippines_Hotels_Covid-Impact.pdf .
• TwoEco, Inc. (2020). Philippine tourism after the pandemic. https://drive.google.com/file/d/1jw57pIvX0fh7l1y739HGk46COUOpRNFI/view.
• Philippine Statistics Authority (PSA). (2020). Contribution of Tourism to the Philippine Economy is 12.7 percent in 2018. https://psa.gov.ph/content/contribution-tourism-philippine-economy-127-percent-2018
• PwC Philippines. (2020, July). Impact of COVID-19 on the Philippine tourism indusry. https://www.pwc.com/ph/en/publications/tourism-pwc-philippines/tourism-covid-19.html .
• United Nations World Tourism Organization (UNWTO). (2020). International Tourist Numbers could fall 60-80% in 2020. https://www.unwto.org/news/covid-19-international-tourist-numbers-could-fall-60-80-in-2020

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ASEAN Boost for Philippine Tourism Recovery

Published on January 13, 2014

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DOT Chief: Philippines surpasses yearend target with 5.45 million int’l visitor arrivals in 2023, int’l visitor receipts surge at PHP482.54 billion

Manila, Philippines —The year 2023 is a win for the Philippine tourism industry as it welcomed more than five million international visitor arrivals from January 1 to December 31, 2023, recording more than PHP480 billion in international tourism receipts, according to Department of Tourism (DOT) Secretary Christina Garcia Frasco.

According to the monitoring data of the DOT, a total of 5,450,557 international visitors entered the country from January 1 to December 31, 2023, of which 91.80 percent or the bulk of international arrivals recorded at 5,003,475 are foreigners. The remaining 8.20 percent or 447,082 are overseas Filipinos.

The new record is around 650,000 higher than its target of 4.8 million international visitors projected to visit the country for the entire year.

South Korea retains its top spot as the country’s main source of international visitors, getting 26.41 percent of the pie which delivered 1,439,336 foreign tourists. It was followed by the United States with 903,299 tourists (16.57 percent) visiting the country; then Japan with 305,580 (5.61 percent); Australia with 266,551 (4.89 percent); and China with 263,836 (4.84 percent).

Other foreigners who visited the country from other top source markets after China were from Canada, Taiwan, the United Kingdom, Singapore, and Malaysia.

Surge in International Tourism Receipts

The tourism chief likewise emphasized that the country’s local tourism industry is recovering faster than expected.

The country’s international tourism receipts have surged at an estimate of PHP482.54 billion from January 1 to December 31, 2023. This is higher by 124.87 percent compared with the PHP214.58 billion estimated visitor receipts from the same period last year. In 2019 or pre-pandemic period, the DOT recorded PHP482.15 billion in international tourism receipts.

The Philippines has also reached an estimated 66 percent recovery rate for its all-time high international visitor arrivals achieved in 2019.

By 2024, the DOT is targeting a baseline target of 7.7 million international visitor arrivals.

“My deepest appreciation goes to every tourism stakeholder, collaborative partner, and passionate contributor who propelled our shared aspirations forward. Under President Ferdinand “Bongbong” Marcos, Jr.’s guiding vision and leadership, tourism has become a pivotal force driving our nation’s economic resurgence,” said Secretary Frasco,

“These numbers speak very well of the performance of the tourism industry under the Marcos Administration. Since we took office, we have set our goals for the industry not only in terms of international visitor arrivals but most importantly, the number of Filipinos, including their families, who will benefit from the opportunities generated by our constant and continuous efforts to make the industry prosper more than what we have aimed for. We assure the President, including our partners from the public and private sectors, that we will continue to realize the vision of this administration to make tourism a catalyst for economic growth and resurgence,” she added. 

Realization of NTDP goals

In May 2023, President Ferdinand Marcos, Jr. approved the National Tourism Development Plan (NTDP) 2023 to 2028, the administration’s blueprint and development framework for the tourism industry, officials said Tuesday.

It contains the DOT’s seven strategic goals formulated under the helm of Secretary Frasco, which is the improvement of tourism infrastructure and accessibility; cohesive and comprehensive digitalization and connectivity; enhancement of overall tourist experience; equalization of tourism product development and promotion; diversification of the tourism portfolio through multidimensional tourism; maximization of domestic and international tourism; and strengthening tourism governance through close collaborations with national and local government units and stakeholders.

Flagship Projects and Programs of the DOT in 2023

On the directive of Secretary Frasco, the DOT embarked on an aggressive campaign to realize the Marcos Administration’s vision of making the Philippines a tourism powerhouse in Asia.

Among others, the DOT successfully turned over 10 Tourist Rest Areas (TRAs) in strategic locations nationwide, with 18 more to be built this 2024. A flagship program of the Marcos Administration, the TRAs are equipped with facilities such as work and charging stations, information, and pasalubong centers, and clean restrooms and showers, a lounge area, and a breastfeeding room.

In less than two years of office, the DOT was able to complete 158 kilometers of roads leading to tourism destinations across the country in a bid to increase connectivity in tourist destinations through its Tourism Road Infrastructure Program (TRIP) in collaboration with the Department of Public Works and Highways (DPWH).

To further provide convenience to tourists in terms of mobility while discovering destinations around the Philippine capital, two Hop-On Hop-Off (HOHO) Travel by The Hubs were also inaugurated in the cities of Manila and Makati. Four additional hubs are also planned to be launched with six local LGUs in Metro Manila as partners.

The DOT is also expanding the country’s cruise tourism portfolio by receiving a total of 125 cruise calls in 2023.

The DOT also launched the country’s first Tourist Assistance Call Center, a centralized multi-platform assistance center that serves as a hotline and one-stop shop for local and foreign tourists. Since its launching in October, a total of 2,497 transactions have been made as of December 31, 2023.

An aggregate of 33,435 app downloads have also been recorded since the launching of the integrated Travel Philippines App, a project of the DOT and its marketing arm, Tourism Promotions Board (TPB) Philippines.

Meanwhile, 21,195 tourism-related jobs were also offered at the Trabaho, Turismo, Asenso Job Fairs–Trabaho Turismo Asenso Philippine Tourism Job Fairs, a collaborative effort by the DOT and the Department of Labor and Employment (DOLE).

With the Philippines being known as one of the most hospitable countries in the world, 126,343 tourism workers were trained for the Filipino Brand of Service Excellence (FBSE) as of December 31, 2023, surpassing the initial 100,000 set by no less than the tourism chief.

Initiated by the DOT, the FBSE training program is rooted in the 7M’s of core values that Filipinos are widely known for: Malikhain, Makatao, Makakalikasan, Makabansa, Masayahin, May Bayanihan, and May Pag-asa, and designed to promote service excellence in all tourism-related establishments.

Generating more sales leads

Abundant tourism revenue from international and local business-to-business and promotional events also concluded in 2023 for the Philippine tourism industry.

An estimated PHP6.317 billion total sales leads have been delivered through the DOT’s attached agency, Tourism Promotions Board (TPB) Philippines, which has been actively carrying out marketing and promotions, mounting  of international and domestic travel fairs, and participating in major expos locally and abroad.

“Looking ahead to 2024, our commitment to the transformation of Philippine tourism is unwavering. Guided by our National Tourism Development Plan 2023-2028, we are poised for a thriving tourism landscape, evident in surpassing our targets in international and domestic arrivals and receipts, fostering economic prosperity and further job creation for our people,”  said Secretary Frasco.

The New Philippines

Reintroducing The Philippines into the global tourism arena, the country , represented by Secretary Frasco, has been elected Vice President of the 25th General Assembly of the United Nations World Tourism Organization (UNWTO), a prestigious global position last held by the country more than two decades ago.  Likewise, The  Philippines, with Secretary Frasco’s representation, was also elected as Chair of the Commission for East Asia and the Pacific allowing the country to host the Joint Regional Meetings of the Committee for East Asia and the Pacific and South Asia in Cebu in 2024.

Consistent top-of-mind destination 

The past year for the tourism industry may have been a mix of challenges and successes, but as recognized by preeminent award-giving bodies and publications, the Philippines remains a top-of-mind destination among travelers.

This was signified by the six major accolades from the World Travel Awards (WTA) received by the country as 2023 World’s Leading Dive Destination, World’s Leading Beach Destination, the World’s Leading City Destination for Manila as well as Asia’s Best Cruise Destination, and Asia’s Leading Dive Destination. For the first time, the Philippines also earned the spotlight on its inaugural win for the Global Tourism Resilience Award for demonstrating “global leadership, pioneering vision, and innovation to overcome critical challenges and adversity.”

The Philippines, during the previous year, also garnered more than 15 travel and tourism honors from prestigious award-giving bodies in the categories including diving, beach, cruise, culinary, retirement, and Muslim-friendly tourism, “a testament that the Philippines is indeed an emerging tourism powerhouse.” according to Secretary Frasco.

“The extraordinary journey of Philippine tourism in 2023 saw the world express its LOVE for the Philippines with our country’s rise to global prominence as the World’s Leading Beach and Dive Destination, and Asia’s Best Cruise Destination, among many other accolades. The indomitable spirit of the Filipino has been globally acclaimed with the Philippines receiving the Global Tourism Resilience Award with our country seen as a benchmark for innovation amidst trials and challenges,”  enthused the tourism chief.

“Looking ahead to 2024, our commitment to the transformation of Philippine tourism is unwavering. Guided by our National Tourism Development Plan 2023-2028, we are poised for a thriving tourism landscape, evident in surpassing our targets in international and domestic arrivals and receipts, fostering economic prosperity and further job creation for our people,”  Frasco added.

Published:January 2, 2024

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Save the date for the World Travel & Tourism Council Global Summit in the Philippines

DOT: PH to accept fully-vaxxed tourists from visa-free countries starting Feb. 10

DOT supports ‘Pharmacy and Drive-thru Vaccination Sites’ rollout in Baguio City

DOT Launches “ASMR Experience the Philippines” Project

Dot to hold 2-day conference on english as second language (esl).

PH cities, hotels bag ASEAN tourism awards

Booster shots rolled out for fully vaxxed tourism workers; 50% of NCR hotel staff already “boosted”

DOT trains over 30,000 tourism professionals amid pandemic

Dot welcomes eased travel movement between gcq and mgcq areas for tourism revival, hotel in ‘poblacion girl” fiasco suspended, fined, intramuros gives vulnerable population a breathing space, dot launches website with exclusive travel deals for balikbayans.

Anilao Underwater Shootout stages a successful comeback

DOT’s KAIN NA! makes a comeback in Tagaytay

Dot earns unwto citation for have a safe trip, pinas ad.

Brgy. Bojo in Aloguinsan, Cebu bags UNWTO best tourism village award

More than 95% of tourism workers in dive establishments already vaccinated against covid-19: dot.

DOT: PHL to welcome Int’l tourists soon

Dot welcomes shortened quarantine days for balikbayans, dot asks lgus to simplify entry requirements in tourist spots, miceconnect 2021 positions boracay as asia’s premier bleisure destination, dot releases latest list of domestic destinations waiving rt-pcr tests for fully vaxxed visitors, dot grants incentives to fully vaccinated individuals visiting intramuros.

Statement of the DOT on waiving RT-PCR requirement to Boracay for fully vaxxed tourists

Anilao underwater ‘shootout’ is back

Puyat, dot execs pitch ph tourism in japan travel mart, dot welcomes eased restrictions in mm under alert level 2, free swab tests for domestic tourists starting nov. 1, dot lists destinations without testing requirement, with projected 100% inoculation rate by next month, boracay will soon waive rt-pcr testing for fully vaxxed visitors.

Domestic Travel Welcome-Back: DOT, TPB launch ‘It’s More Fun with You’ ad and ‘Have a Safe Trip, Pinas’ Viber Stickers

22 divers pass dot guide training in anilao.

PH cited Asia’s top beach and dive destination anew in 2021 World Travel Awards

Dot bullish on camiguin’s reopening, boosts covid-19 vax drive, dot clarifies travel guidelines for ncr residents under alert level 4, alert level 3, good for tourism jobs and businesses as holidays near – puyat, 2nd tourism & technology forum: readying for a different future.

DOT vaccination drive for tourism workers continues in Pampanga

Dot welcomes easing of age restrictions for interzonal travel, less quarantine days for travelers an ‘encouraging development’ for tourism industry – puyat.

Vaccination of Rizal tourism workers crucial to industry’s recovery — DOT

Dot welcomes siargao, palawan and boracay win in int’l travel mag awards, over 43k safety seals issued as more businesses apply, dot backs call to shorten quarantine of fully vaxxed travelers, dot calls for cooperation to ensure success of expanded operational capacity of restaurants in ncr.

DOT lauds Samar LGU vax drive for tourism workers

Message of secretary berna romulo-puyat on the celebration of world tourism day, dot ensures compliance of accredited hotels, resorts to new iatf alert level system guidelines.

Cebu vax drive for tourism workers gains traction with more than 50% inoculated

Puyat bares phl hosting of international tourism conference in march 2022.

DOT and TikTok launch #GandaMoPinas Campaign as local borders reopen

Dot invites esl teachers to free online master tesol certification course.

DOT launches “More Fun Awaits” global campaign to showcase travel preps

Statement of the department of tourism (dot), statement of the department of tourism on the inclusion of palawan in t+l’s top islands in asia, world list, more than 50% of country’s tourism workers vaccinated against covid-19 – dot chief, intramuros site visit of dot secretary berna romulo-puyat.

Intramuros sites and Rizal Park to reopen September 16

Philippines boosts participation in expo 2020 dubai, highlights pinoy food, local tourism businesses receive dot, tpb philcare kits.

DOT, partner agencies drive up promotion of Filipino food experience

More than 7.5k tourism workers in Baguio have received Covid vax – Tourism Chief

Dot, tpb distribute p19m worth of materials to promote safety protocols.

DOT, NTF bring vaccination rollout for tourism workers in Siargao Island

DOT: 95% of tourism workers in NCR vaxxed vs Covid-19

Sustainability is key to tourism industry’s recovery — puyat, dot lauds private sector for vaccine rollout in el nido.

PHITEX 2021: Beyond Business slated for September 19-23

Puyat leads vaccination drive for Pampanga tourism workers

More than 75% of Bohol tourism workers eyed for inoculation with second vaccine roll-out

More than 70% of tourism frontliners in metro manila vaccinated vs covid-19 — puyat.

DOT and TPB SUCCESSFULLY STAGED FIRST-EVER HYBRID EDITION OF THE REGIONAL TRAVEL FAIR

Dot, bpos to hold job fair, statement of the department of tourism.

DOT targets increased inoculation of tourism workers in more destinations

Puyat: More vaccines coming for Palawan tourism workers

Dot statement on nesthy petecio’s silver medal finish in the tokyo 2020 olympics, rizal park drive-thru vax site opens; puyat hails manila’s anti-covid initiative, dot gets highest coa rating for 2nd straight year, statement of the department of tourism on the passing of heritage and cultural tourism advocate mr. ramon hofileña, statement of the department of tourism (dot) on the heightened community quarantine level implementations in ncr, more tourism workers in boracay to receive covid-19 jabs – dot, dot reiterates call for safe travel amid stricter quarantine measure, dot reminds hotels, resorts that room sharing for quarantined families is allowed, dot celebrates siargao inclusion in time magazine as one of the world’s greatest places of 2021, dot launches halal food tourism, dot backs gov’t infra program to boost tourism, dot backs iloilo bid for ‘creative city of gastronomy’ recognition from unesco, statement of the department of tourism on iatf decision allowing children five years old and above, and fully vaccinated seniors to visit outdoor areas, dot partners with viber to promote kain na foodfest, dot: 3,000 boracay tourism workers to receive covid vax, dot, tpb continues to support lgus with digital transformation projects, dot teams up with scarlet belo and cartoon network to take safe trips, dot statement on the activities of the taal volcano, bakuna by the sea: dot hails davao’s innovative approach to travel, hospitality workers, dot, tpb to roll out 2nd phase of rt-pcr financial subsidy program through pcmc, dot unveils region 1 tourism recovery plan, statement of the department of tourism on the drop of tourism contribution to gdp, dot to co-stage virtual fête de la musique june 18-21, more ncr tourism workers receive support through dot-dole program, travel for tourists of all ages from ncr plus to boracay, other mgcq areas extended to june 30, dot eyes inoculation of 5,000 bohol tourism workers, museums in ncr plus to reopen on limited capacity – dot, dot turns food tourism to high heat with 2021 kain na, terms for tourism business loans eased, dot bares tourism recovery plans for bulacan, dot and tiktok launch #sarapmagingpinoy campaign to promote local food tourism, dot launches five-year plan to develop tourism professionals, dot celebrates world environment month, highlights responsible marine wildlife interactions, statement of the department of tourism (dot) on the rt-pcr requirement for leisure travelers under iatf-eid resolution 118a, statement of the dot on iatf-eid resolution 118a, more than 16k bulacan tourism workers get dot-dole cash aid, dot orders stricter monitoring of staycation hotels and aes in gcq areas following new iatf guidelines, dot lauds inclusion of frontline tourism workers in a1 priority group, dot hosts pata summit for first hybrid mice event in 2021, over 1,400 golf workers in metro manila get dot-dole cash aid.

Central Luzon to Showcase ‘Flavors of Pampanga’, readies tourists for gastronomic experience

Dot lauds ph hotels recognized with the 2021 tripadvisor awards, 3,390 tourism workers in marinduque approved to receive p16.95m dot-dole cash aid, puyat bares tourism recovery plans for marinduque, dot proposes ‘green lane’ for fully vaccinated travelers, dot hails expansion of priority vaccination to a4 cluster, including tourism frontliners, 5,986 staycation rooms open for guests from ncr plus, intramuros to open fort santiago, baluarte de san diego to visitors may 17, dot statement on the proposed vaccination center in nayong pilipino, dot welcomes iatf decision to ease travel in ncr plus, 221m cash aid approved for 44k tourism workers in western visayas, statement of the department of tourism (dot) on the collected garbage from the waters of samal island, davao del norte, statement of the department of tourism (dot) on the reported violations of a hotel in davao city, dot to host hybrid pata annual event for adventure travel, p1.5m cash aid approved for 295 intramuros tourism workers, updates on the vaccination of tourism workers, labor day vax for tourism workers, more than 400k displaced tourism workers get dot-dole cash aid, philippine tourism and mice industry to bounce back with the hosting of wttc global summit, dot, manila lgu ink mobile hospital deal, dot-accredited establishment staysafe.ph-users, eligible for safety seal certification, dot grants the wttc safe travels stamp to 33 more hotels nationwide, dot welcomes proposals to convert tourism sites to temporary medical facilities, dot lauds repurposed hotels, calls for ‘bayanihan’ vs covid, dot approves use of burnham green and quirino grandstand in rizal park for temporary mobile hospital and drive-thru vaccination site, dot celebrates saud beach inclusion in the 25 most beautiful beaches in the world list of travel and leisure, 67k displaced tourism workers of ncr+ receive dot-dole cash aid, statement of the department of tourism on the vaccination facility in nayong pilipino property, statement of the department of tourism regarding the alleged birthday “super spreader” event in boracay, dot eyes adoption of covid-19 digital travel pass, dot statement on ecq extension in ncr plus, phl, dot nominated at asia edition of 2021 world travel awards, dot pushes for inclusion of other tourism workers in priority group a4, strict new guidelines set for hotels under ecq; lenten ‘staycations’ within ncr plus suspended, dot statement on ecq for ncr+ areas, dot statement on holy week, rizal park and paco park adjust visiting hours, remain open for physical exercise, dot statement on biatf measures for boracay, tpb philippines spearheads tourism and technology forum (ttf), dot statement on coron tourist with falsified travel documents, dot supports rizal tourism circuit on food, faith, art, adventure and nature, the ‘fun’ continues: philippines joins digital itb berlin, dot to spur domestic tourism in rizal, dot’s stdp program to enhance resiliency of phl destinations – puyat, dot sustains online presence with ‘wake up in ph’ campaign and safety travel advisories, dot greenlights partial operations of hotel restaurants on june 15, dot eyes tourism recovery as more destinations may reopen, domestic travel to drive recovery of tourism industry, says survey, dot hails revival of tourist cops, tourism will recover well, dot chief vows, dot celebrates hidden beach, palawan’s inclusion in cnt’s best beaches in the world, tourism industry hikes share in gdp to 13%; puyat sees strong recovery from pandemic, dot pushes stringent guidelines for stakeholders across the nation, biatf denounces travelers’ breach of entry protocol to boracay, dot lauds partnership model for safe and sustainable tourism in boracay, dot issues guidelines on tourist land transport services, iatf–eid resolution reiterates ‘dot certificate of authority’ as requisite to operate, dot issues protocols on restaurant operations under the new normal, dot welcomes ph ‘rising stars in travel’ citation by forbes.com, dot, dti to roll out health and safety guidelines, digital solutions for restaurants, dot, attached agencies promote digital tourism, tourism chief reminds hotels, resorts: no dot certificate, no business operations during mgcq, dot assists 36,000 tourists during covid-19 crisis, dot webinar tackles digital as the new normal, dot welcomes the resumption of tourism operations in areas under mgcq, trust and health safety key to phl tourism recovery – dot chief, puyat on reopening tourism: ‘do it slowly but surely’, dot brings home 84 tourists stranded in eastern visayas, dot supports coron’s sustainable tourism development to bounce back, dot welcomes puerto princesa reopening to domestic tourists, dot urges for more wttc safe travels stamp applications, boracay’s white beach, el nido’s nacpan beach among tripadvisor’s top beaches in asia, dot statement on uniform travel protocols, dot supports the safe reopening of negros oriental, puyat affirms support for siquijor’s reopening, dot statement on el nido’s swift action against tourists with false covid test records, dot supports dilg’s streamlining of travel requirements, dot assists 98 stranded tourists in western mindanao, dot assists 246 tourists stranded in bicol, dot response team assists 1004 tourists stranded in caraga region, statement of tourism secretary bernadette romulo-puyat, dot8 springs stranded tourists, total assisted travelers now at 11,000, dot assists stranded tourists in central luzon, dot response teams assist over 10,000 travelers, dot announces the guidelines on hotels and other accommodation establishments during the enhanced community quarantine, dot chief: innovation to spur food tourism in new normal, dot webinar tackles heritage site conservation and use amid pandemic, dot banners “filipino brand of service”; assists over 35,000 tourists amid pandemic, dot to jumpstart domestic tourism under stricter protocols with iatf and lgus, dot partners with wttc to share experts’ tourism outlook, recovery plans, dot regulates hotel food deliveries, dot: tourism industry up to tough challenges on path to recovery, more than 155,000 tourism sector workers receive first tranche of dof wage subsidy program, dot mounts sweeper flights; brings home 1000 stranded domestic tourists, dot webinar tackles recovery, future of phl’s m.i.c.e., statement of the department of tourism (dot) on the iatf–eid authorization to mount sweeper flights, statement of secretary bernadette romulo puyat on the passing of former dot secretary ramon jimenez, jr., dot–ncr assists 24,000 in–transit nationals amid ecq of luzon, dot and ssi support philippine food producers in online philippine harvest, dot provides virtual backgrounds for video calls to encourage “travel from home”, dot offers online “enhanced opportunity” training for tourism stakeholders, dot-region 6 delivers filipino brand of service in crisis, dot outlines tourism response, post–covid 19 recovery plan to aid private sector, dot issues guidelines defining “new normal” for accommodation establishments, 24,836 hotel rooms reserved for ofws’ quarantine, bpo staff use – dot chief, stranded tourists welcome extended stay in batanes, dot welcomes lifting of travel ban for outbound passengers, recovery flights, tourism transport to continue for stranded passengers, statement of the department of tourism (dot) on covid-19 local transmission, dot statement on the curfew recommendation for lgus, dot, turkish airlines form partnership to increase philippine tourism from europe and mediterranean source markets, dot celebrates first run of the philippine international hot air balloon fiesta in calabarzon, puyat convenes tourism council; invites public to travel within ph, international visitor receipts hit usd 9.31b in 2019, 20.81% up from 2018, dot postpones nationwide mall sale to prioritize safety of citizens, department of tourism unveils new ad inspired by the abakada alphabet, highlighting unique filipino culture, puyat advocates for cultural and ecotourism in the new normal, relive the history of intramuros city with augmented reality app experience philippines, dot: 1st phl shopping fest kicks off march 1st, doh, dilg and dot give public gatherings green light, 2019 international arrivals exceed target with 8.26 million visitors to the philippines, dot welcomes lifting of taiwan travel ban, joint statement of the department of tourism and tourism congress of the philippines, dot backs “balik sa bohol” for tourism industry revival, intramuros reopens in the new normal, relaxed and standard health protocols, personalized trips key to tourism recovery, says latest philippine travel survey.

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Road to resurgence of tourism sector in the Philippines

Broad indicators in the global tourism industry, including arrivals, flight capacity, and hotel occupancy rates, are anticipated to finally recover to pre-pandemic levels by next year, according to real estate services firm Leechiu Property Consultants Inc.

Industry stakeholders should thus look out for certain trends that can significantly impact the Philippines in the coming year, including the relaxation of visa restrictions, persistent high airfares driven by escalating aviation fuel costs, ongoing inflation, a high-interest rate environment that may leave consumers with diminished purchasing power, as well as the return of business travel and meetings, incentives, conferences, and exhibitions (MICE) events.

Promising outlook

The third quarter of 2023 alone already revealed a promising outlook on the Philippine tourism sector, with the number of international tourist arrivals reaching 4.038 million as of end September. This places the Department of Tourism (DOT) at an impressive 84 percent of its 4.8 million international tourist arrivals target for 2023.

Despite substantial recovery from key source countries like South Korea, the United States of America, and Australia, the Philippines has yet to reclaim more than 50 percent of its 2019 tourist numbers from Japan and China.

China’s relatively low recovery rate can be attributed to multiple factors, including limited international flight capacity, which currently operates at only 50 percent of its pre-pandemic levels. Meanwhile, the reduced number of Japanese tourists year to date may be linked to a 32-year low for the Japanese Yen, falling below 150 per US dollar, among other concerns.

Private sector investments

To sustain the growth in the Philippine tourism industry, there’s a pressing need for greater private sector investment in additional hotel accommodations. Initiating these investments within the next year is critical to fortify international tourism beyond 2027.

Currently, a development pipeline is in place, with nearly 15,000 new hotel rooms expected to be delivered within the next five years, primarily concentrated in Metro Manila. Moreover, additional hotel projects are anticipated to be announced in the coming months or years, aligning with the DOT’s target of 12 million international arrivals for 2028.

The development of hotels in key cities such as Cebu, Clark, Davao, Bohol, and Palawan highlights the pivotal role of international airports in driving demand for hotel accommodations.

For instance, the establishment of the Bohol–Panglao International Airport in 2018 and the installation of night instrumentation in 2019 have significantly boosted tourist arrivals in Panglao. In 2019, Panglao reached an impressive 1.58 million visitors, coming close to Boracay’s 2.034 million arrivals during the same period.

Premier tourism destination

Given these promising figures, it’s becoming increasingly likely that Panglao Island could surpass Boracay Island as the Philippines’ premier tourism destination.

Alfred Lay, director for Hotel, Tourism, and Leisure at Leechiu Property Consultants, highlighted a key advantage of Panglao over Boracay: its larger size and capacity limits. He also pointed out the ongoing developments in Panglao, including the proposed 50-ha Panglao Shores project, the upcoming JW Marriott hotel, the Cebu-Bohol bridge, and large-scale energy initiatives designed to meet Bohol’s growing energy demands.

These developments have had a significant impact on land values, with Alona Beachfront properties now priced at approximately P80,000 to P120,000 per sqm, approaching the land values in Boracay’s white beach area.

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