Returning to pre-pandemic levels in tourism arrivals is challenged by the low arrivals from China, the country’s number two market in 2019.
Yet, hotel brands are readying 57 developments with more than 11,000 rooms in the pipeline between this year and 2026 in anticipation of the rebound of the market.
Benito Bengzon, executive director of the Philippine Hotel Owners Association (PHOA) said on the sidelines of the Philippine Furniture and Furnishings Market in Pasay City on Wednesday outbound restrictions of Chinese nationals remain in force. China landed at 10th last year in terms of arrivals with arrivals of 39,627. Prior to COVID, the Philippines attracted 1.8 to 1. 9 million tourists annually.
“It’s a simple analysis. We recorded 8.2 million (arrivals) in 2019 but in 2022, we only had 2.6 million. This year, the target is 4.8 million,” said Bengzon.
He said the Philippines should start looking at other markets that will help offset the huge reduction in China visitors.
“In general, we’re seeing strongly rebound, we’re on a steady path to recovery. The question is when do we go back to 2019 and again, this will depend on a lot of factors, particularly the return of the Chinese tourists,” he said.
According to Bengzon, indicative figures in 2022 showed many of the hotels in Metro Manila were already doing about 60 to 80 percent with many of the hotels in the central business districts doing very well.
Based on Bengzon’s presentation at the PFFM event, Megaworld Corp. will have the most number of rooms to be built in the pipeline at 3,500. These are spread in seven hotel brands
SM Hotels has the most number of developments at 24 in partnership with Radisson Hotel Group, Azalea Residences and Park Inn.
Hotel 101 will have five developments with 2,978 rooms;
Ascott Group, 14 hotels with 2,805 rooms; Ayala Group, three with 980 rooms; Accor, two with 377 rooms both in Cebu; Newport World Resorts, one, with 377 rooms for Hotel Okura and; Filinvest Hospitality, one, with 247 rooms in Baguio.
Bengzon said PHOA is also pushing for the review of the national accommodation standards.
“It’s very important to take note of two things, changing preferences, behavior of the consumers or the guests and also making sure that the standards are at par with what is found in the region and around the globe,” he said.
On trends, PHOA sees stronger appetite for sustainable travel which is preferred mostly by high-end travelers who are willing to pay more for an exclusive experience.
Bengzon said hotels see a strong demand among travelers for local cultural and heritage experiences while health and wellness continue to be very popular.
Bengzon said there will be greater demand for facilities that are pet friendly. Another growing trend is virtual reality tours and other forms of technology-supported services
“The advantage here is that even you before you press a button to make your booking, you get to see what the bedroom, restaurants, gym look like. Some of our members have long introduced self-check in kiosks. There is one hotel which has robot that disinfects public places,” Bengzon said.
Bengzon also noted the rise of bleisure travel or business trips extended to include leisure.
He said hotels have also started incorporating workstation setups inside or outside guest rooms for bleisure travelers.