At the 9th Hospitality Philippines Conference, global hotel operators gathered for a panel titled Developing Global Hospitality Standards in the Philippines: The Role of International Hotel Brands in Tourism Growth.
Industry leaders candidly assessed market readiness, infrastructure friction, and strategies to elevate asset performance to compete with ASEAN peers like Thailand, Vietnam, and Indonesia.
Moderated by Cushman and Wakefield director Claro Cordero Jnr, the panel featured Accor vice-president for development in Japan, Korea, Malaysia, Philippines, and Singapore Chris Cho; Wyndham Hotels and Resorts vice-president for development in Southeast Asia and the Pacific Rim Matt Holmes; and TUI Hotels & Resorts’ regional business development director in APAC Phan Huu Duc.
Tale of the tape
In the Philippines, the backdrop remains compelling as Department of Tourism (DOT) projections target up to seven million foreign arrivals by year-end, with prime Metro Manila hotel occupancies rebounding to around 80 percent.
Industry estimates show every percentage point increase in Average Daily Rate (ADR) generates hundreds of millions of pesos in incremental sector revenue.
However, translating this potential into global-standard asset valuations requires structural alignment.
Advantages and limits
Holmes specifically highlighted the country’s natural advantages alongside its structural limits.
While Wyndham operates 19 properties locally, Holmes noted that the nation’s 7,000 islands present significant infrastructure and inter-island connectivity challenges, alongside talent retention hurdles.
Addressing domestic owners hesitant to partner with global flags, Holmes advocated for a co-existence model.
Local brands do not need to forfeit their identity; instead, white-labeling and franchise arrangements allow properties to plug into global distribution engines, loyalty programmes, and enterprise tech stacks to boost margins while keeping their local heritage intact.
Addressing pipeline friction
Accor, which is nearing the 5,000-room mark in the Philippines with major developments like the 1,500-key Mövenpick Manila Bay Westside, addressed pipeline friction.
Cho revealed that Accor holds a signed pipeline of 18 hotels, but conversion from signing to opening remains a major hurdle.
He further emphasised the need for honest feasibility studies from day one, cautioning developers against introducing international luxury flags into premature Tier 3 or Tier 4 markets.
A new player in the market
For incoming operators like TUI Hotels & Resorts, structural barriers dictate investment.
Duc noted strong European demand for long-stay wellness products in destinations like Bohol and Palawan.
However, high travel costs and complex inter-island transit remain primary deterrents.
Duc further stressed that improving air connectivity is essential for TUI to consider deploying direct charter flights and capital into the country.
