tourism performance

8/7/2019 tourism performance

1/16

OVERVIEW OF THE

PHILIPPINE TOURISM

INDUSTRY


2/16

Ensure mix of countriescreates balance across:

Growth cycles

Market development

Short haul vs. long-haul

Seasonality

Investment required

Current size and growth

Potential size and growth

CompetitivePosition:Howcompetitive is the

Philippines vs. key

competitors (SE Asia)

?

Ability to Deliver:How adapted is the

Philippines offer to

consumer needs?

Note: Competitive Position (market share, awareness (unaided, aided), positivity towards RP, consideration of RP, information seeking about RP, likelihood of

visiting), Ability to Deliver (Ease of access, trade interest, product availability, importance of safety, Fit of assets vs. consumer preferences, seasonality of arrivals,presence of English speaking population),

Ability toWin

Size of Opportunity

Market Prioritization Framework

Core Markets

Markets that deliver thebread & butter

Bulk of new investment

Best capabilitiesallocated

Investment / Turnaround

Markets

Invest in these marketsahead of returni.e. invest for the future

Tactical / Momentum

Markets

With focused spend canrelatively quicklygenerate increasedarrivals

Maintenance Markets

Markets that are on theradar

Activity only to occur ifthere is spare capacity

High

Low High


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Note: **US campaigns and activities can be extended to Canada; *Given limited resources and inherent barriers to activation, UK market has

been de-prioritized.However, UK remains a good investment market in EuropeSource: Monitor Analysis

Ability to Win

Competitive

Position

Ability to Deliver

Size of Opportunity

Current Attractiveness

Future Attractiveness

High

Low

Low High

Market Portfolio

Canada

India

Singapore

Spain

UK

China

Japan

Australia

Denmark

Germany

HK

Italy

Netherlands

Russia

Switzerland

Taiwan

US

Korea

Implications

Continue to focus bulk of resources

and best people on existing coremarkets (China, Japan, Korea, USBalikbayan)

Increase investment and focus on

Tactical/momentum markets(Australia, Russia, Germany,

US/Canada)

Maintain investment in turnaroundmarkets (Hong Kong, Taiwan,Singapore) focusing efforts on

addressing key barriers to growth

Monitormaintenance markets (UK,Netherlands, Switzerland, and

Denmark) on an annual basis to test

for low-hanging fruit

Cut focus on Italy, Spain, and India


4/16

1.99

2.84

1.80

1.93

1.90

2.29

2.62

3.09

1.50

2.00

2.50

3.00

3.50

2000 2001 2002 2003 2004 2005 2006 2007

YoY Growth

Rate (%)

Source of Data: Arrival/Departure Cards and Sea ManifestsVisitor Sample Survey at International gateways

VisitorArrivals to the Philippines, 2000- 2007(InMillions)

-8.2% -9.8% 7.6% -1.3% 20.1% 14.5% 8.4% 8.7%

The 2007 has been a breakthrough for Philippine tourism as healthy growth invisitor arrivals was recorded.

Trend Line


5/16

One of the main achievements of the DOT is the consolidation of global marketportfolio to sustain growth in core markets.

YoY Growth

Rate (%) 14.2 2.0 -6.4 18.0 11.0 -2.4 16.3 15.9 13.4 16.3 23.3 8.7

Source of Data: Arrival/Departure Cards and Sea Manifests in major international gateways and sea ports

653 310

578 983

395

012

157 601

112 466 112 206 111 948 94 008 91 308 79 670 65 695

55 894

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

Korea U

A Japan China Aus tralia Taiw an Hon g

Kong

ingapor e Canada UK Mala

sia German

Top Markets of the Philippines,


6/16

The Philippines continued to shine in the highly competitive scuba diving arena inEurope and India strengthening its position as one of the best water sportsdestinations.

.

.

.

.

.

.

.

.

In dia Fr an ce

e rm an y e nm a r No r w ay w e de n

Italy p a in Ru s s ia

Percent Increase in Strategic Markets, ! " " #

$ % % &

/$ % % '

Growth Rate. . .7 3. .7 . .3 . . .9


7/16

0

50,000

100,000

150,000

200,000

250,000

300,000

January February March April May June

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

2008 2007 Growth Rate

VisitorArrivals to the Philippines, anuary- une 2008

irst semester tourist arrivals for 2008 posted 7.4 growth fueled by strong increasesin orth EastAsian and European Markets


8/16

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

Korea USA Japan China Taiwan Australia Hong

Kong

C anad a S i ng apo re U K -10.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%


Top 10 Tourist Markets, anuary- une 2008

orea continued to lead as key source market. owever, China, Taiwan, Australia,Canada and nited ingdom showed strong double digit growth.


9/16

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

UK Ger many Fr ance Ital y S pain R ussia N or way S weden Denm ar k Finl and

0%

5%

10%

15%

20%

25%

30%

35%

40%2008

2007

Growth Rate

Arrivals from European Markrts, anuary- une 2008

European Market lead by nited ingdom and ermany demonstrated robustgrowth. Scandinavian countries continued to increase as even faster rate.


10/16

2000 2001 2002 2003 2004 2005 2006 2007

Brunei 1, ( 27 1,786 2,136 2,070 2,151 2,579 2,947 3,040

Indonesia 16,272 16,307 15,352 17,051 19,801 20,055 22,646 25,535

Malaysia 42,067 30,498 31,735 31,161 34,170 43,059 53,279 65,695

Bahrain 911 1,068 1,358 1,379 1,774 2,067 2,246 2,699

Egypt 482 888 580 576 690 564 804 715

Israel 2,808 2,470 2,062 1,720 2,090 2,521 3,959 3,929

Jordan 299 404 292 185 310 351 431 5,052

Kuwait 1,007 1,164 1,469 1,449 2,084 2,339 2,632 2,995

Saudi Arabia 10,444 10,409 11,341 9,842 11,627 14,141 15,017 16,358

UAE 1,568 2,160 3,460 3,305 4,198 5,070 6,414 8,490

Total 77,685 67,154 69,785 68,738 78,895 92,746 110,375 134,508

Growth Rate -13.6% 3.9% -1.5% 14.8% 17.6% 19.0% 21.9%

Arrivals from Muslin enerating Markets, anuary- une 2008

Potential markets for halal services coming from Muslim dominated marketsshowed double digit growth in the last seven (7) years. Malaysia topped the listfollowed by Indonesia and Saudi Arabia.


11/16

For the first time ever, foreign expenditure posted a hefty growth of 40.99% to reachS$4.885 Billion.

2.133

1.722 1.740

3.465

1.522

1.990

2.236

4.885

1.50

2.00

2.50

3.00

3.50

4.00

4.50

5.00

2000 2001 2002 2003 2004 2005 2006 2007

YoY

Growth

Rate-16.40% -19.27% 1.01% -12.49% 30.74% 12.32% 54.96% 40.99%

Source of Data: Arrival/Departure Cards and Sea ManifestsVisitor Sample Survey at International gateways

Visitor Expenditure in the Philippines, 2000- 2007(In S$ Billion)

TrendLine


12/16

0

5,000

10,000

15,000

20,000

25,000

Ital y N orway France Spain Sweden Denm ark Russia Finl and

0%

50%

100%

150%

200%

250%

300%

350%


Expenditure of European markets went up by insurmountable levels. ussiansspent surpassed other key markets.

Selected Tourist eceipts from European Markets, anuary une 2008(In S$ Thousand)


13/16

The Department of Tourisms ultimate goal is to

attract not only more tourists, but also highervalue visitors that stay longer and spend moregenerating more opportunities for the country.


14/16

The DOT will continue to lead, coordinate andnurture initiatives from the private and publicsectors.


15/16

Tourism Sector Level Value Chain

Awareness

and Perception

of the

Philippines

TourPackage

Acquisition

Transpor-tation/

AirFlight

Accom-modation

Delivery andTourist

Satisfaction

Awareness and

perception of

the Philippines

Sales channels

Travel agents

Air accessibility

and airports

Hotel capacity

and utilization

Tourist

satisfaction levels

Quality and value

of tourist

products and

services

All elements to be tracked and measured by the DOT


16/16

THANK YOU!

tourism performance

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