Metro Manila Hotel Occupancy Seen Rising Further This

Year in Philippines
BENEFITS OF MARKET INTERVENTION

• STRATEGIC PLANNING ON INFRASTRUCTURE.

'In our view, recovery should be supported by the modernization of more airports and upgrading of road
networks. Aside from the Tourism department's initiatives, the Senate's proposal to amend the Holiday Economics Law
should also give domestic tourism a much needed boost,' he said.

Hotel occupancy has seen rising further this year, driven by a higher number of domestic and foreign
travellers. Joey Roi Bondoc suggested that modernizing airports and upgrading road networks should be a
part of the strategic planning for infrastructure. To support the recovery, the government should consider
investing in the modernization of airports and upgrading of road networks. These infrastructure
developments would not only benefit the tourism industry but also improve connectivity and accessibility
within the country. In turn, this could lead to economic growth and regional development. Therefore,
strategic planning on infrastructure should consider the priorities of the economy and the current
challenges the country is facing.

DEMAND AND OTHER FACTORS

 Advertising

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.

Advertising plays a crucial role in promoting the Philippines as a tourist destination, both domestically
and internationally. By highlighting the diverse cities and attractions beyond Manila, the Philippine Travel
Agencies Association (PTAA) can effectively leverage advertising strategies to support their optimistic and
enthusiastic initiatives.
According to Ms. Chiong, advertising campaigns can focus on showcasing the beauty, culture, and
unique experiences offered by various cities and regions in the Philippines. By featuring lesser-known
destinations, such as Cebu, Palawan, Bohol, Davao, or the Cordillera region, the PTAA can attract attention
and curiosity from both domestic and international travellers.
DEMAND FOR TOURISM

“Colliers attributed the rise in occupancies to the holiday season and return of more Filipinos working
abroad.”

The holiday season is a peak period for tourism in the Philippines, specifically Metro Manila which is the domain
for competitive hotel market. During this time, local people and OFWs often take vacations to visit family and friends
and engage in festive activities leading to the surge in hotel occupancy rates.

“Five-star hotels recorded the fastest growth in ADRs, indicating strong demand for top-tier hotels in key
business hubs and the gradual return of business travelers and in-person corporate events,” Colliers said.

Five-star hotels serve as networking hubs, attracting professionals from various industries. Business travelers
choose these hotels as their preferred accommodation to leverage networking opportunities and establish connections
with a positive impression. Moreover, this type of traveler often seek accommodation in consideration of the hotel’s
reputation and level of service that aligns with their professional image.

Tourism - The total number of persons who travel or wish to travel and use tourist facilities and services at
places away from their places of work or residence (Cooper et all. 1993)

The concept of tourism is the movement of people away from their daily routines and familiar surroundings as
they seek leisure or other motivations associated with travel. People who engage in tourism have the desire to explore
new destinations, experience new cultures and attractions which are not distinct from one’s usual environment. (di ko
na alam idadagdag ko T-T)

TYPES OF PUBLIC SECTOR INVESTMENTS

1. BUILDINGs AND LAND
The government’s focus on infrastructure development and urban planning will create an environment
conducive to the growth of the hospitality industry. As Metro Manila continues to evolve as a premier tourist
destination, sustained by the public sector investments such as buildings and lands, it will be essential to provide for the
increasing demand for hotel accommodation. Moreover, the city can further capitalize on its potential as a thriving
hospitality hub and continue to attract visitors from around the world.

2. COMPUTERIZED SYSTEMS AND MACHINERY

Investing in advanced machinery and adopting computerized systems have significantly enhanced guest services
and interactions. These involve the self-check-in kiosks and digital concierge services which streamlined hotel in-house
operations and provide convenience to the guests. Not only did it improve operational efficiency but also provided
hotels with a competitive edge to tourists seeking comfortable, efficient and tech advanced accommodation.

3. RESEARCH AND DEVELOPMENT

Through research and development, identifying sustainable practices can contribute to develop a more
environment-friendly establishment. With growing awareness and demand for sustainable travel options, hotels that
prioritize sustainability can attract environmentally conscious guests thus, increasing occupancy rates. Furthermore,
research can help identify target customer segments and determine the most effective marketing channels to reach
their clients. By investing in research-backed marketing campaigns, hotels can increase brand awareness and attract
more guests.

4. TRANSPORTATION (AIRPORT TERMINALS and EXPRESSWAYS)

Enhancing transportation infrastructure enables tourists to explore both popular and remote destinations,
promoting tourism growth and dispersing economic benefits. Well-connected airports and road networks make it easier
for tourists to reach various attractions within Metro Manila, as well as boosts tourism revenue, leading to the increase
in number of hotel accommodations and supports related industries such as restaurants, tour operators and
entertainment services.