Industry Section I includes five industry groups covering the activities of provision of short-stay accommodation for visitors and other travelers and the provision of complete meals and drinks fit for immediate consumption. 

Figure 1 presents the selected statistics on the number of establishments, total employment, total revenue, total expense, and total value added. It also includes ratios on employment per establishment, revenue per expense, and value added per employee. Growth rates on these selected statistics and indicators from the results of the 2012 CPBI are also presented. (Table A and Figure 1)

Restaurants and mobile food service activities dominated the industry section

The total number of establishments for the accommodation and food service activities section increased by 67.5 percent with 44,487 establishments in 2018 from 26,557 in 2012. (Table A and Figure 1)

By industry group, most of the establishments were engaged in restaurants and mobile food service activities with 33,451 establishments or 75.2 percent of the total establishments in the section. This was followed by short term accommodation activities and beverage serving activities with 5,960 establishments (13.4%) and 3,506 establishments (7.9%), respectively. (Table 1A and Figure 2)

Across regions, the National Capital Region (NCR) registered most of the establishments with 9,706 (21.8%). This was followed by CALABARZON with 5,001 establishments (11.2%) and Central Luzon with 4,544 establishments (10.2%). (Table 3A)

Restaurants and mobile food service activities employed a great majority of workers

Employment for the industry section reached a total of 557,942 workers in 2018, representing a 32.0 percent increase from 422,551 workers in 2012. Paid employees comprised of 546,034, which constituted almost 97.9 percent of the total employment. (Table A and Figure 1)

Workers hired on sub-contract agreement or under manpower agencies which numbered to 92,152 workers were excluded from total employment. (Table 1)

By industry group, restaurant and mobile food service activities, which had the highest number of establishments, also employed a great majority of employees in 2018 with 377,227 workers (67.6%). This was followed by short term accommodation activities which recorded 129,114 workers (23.1%). (Table 1A and Figure 3)

The average employment per establishment for the industry section decreased by 18.8% at 13 employees per establishment in 2018 from 16 employees in 2012. (Table A and Figure 1)

By region, the NCR recorded the biggest share in employment comprising 168,071 (30.1%) of the total workforce for the section, distantly followed by Central Luzon with 62,541 (11.2%) and CALABARZON with 62,231 (11.2%). The least number of workers was recorded in Autonomous Region in Muslim Mindanao (ARMM) with 4,366 workers (0.8%). (Table 3A)

Restaurants and mobile food service activities paid the biggest compensation

The total compensation paid by the industry section amounted to PhP 94.9 billion in 2018, equivalent to PhP 173.9 thousand average annual compensation per paid employee.

By industry group, restaurants and mobile food service activities paid the biggest total compensation with PhP 61.3 billion, followed by short term accommodation activities with PhP 26.0 billion. Other accommodation paid the least with PhP 255.3 million.

In terms of average annual compensation, employees in the short-term accommodation activities received the highest with PhP 204.2 thousand, followed by restaurants and mobile food service activities with PhP 166.1 thousand per paid employee. (Table 1 and Figure 4)

Total revenue earned by the industry amounted to PhP 841.0 billion

Total revenue earned from accommodation and food service activities reached PhP 841.0 billion in 2018, equivalently a 132.7 percent increase from PhP 361.5 billion in 2012. (Table A and Figure 1)

Restaurants and mobile food service activities industry group was the top earner with PhP 621.3 billion or 73.9 percent share to total. This was followed by short term accommodation activities which generated PhP 162.7 billion or 19.4 percent. (Table 1A and Figure 5)

Total Expense reached PhP 725.9 billion

The industry section spent PhP 725.9 billion in 2018, indicating a 126.9 percent increase from 2012 with a total expense of PhP 319.9 billion. (Table A and Figure 1)

Restaurant and mobile food service activities incurred the biggest spending of PhP 542.6 billion or 74.8 percent of the total, followed by short term accommodation activities with PhP 139.0 billion or 19.1 percent. Having had the lowest spending among the industry groups, establishments engaged in other accommodation activities spent PhP 1.5 billion or 0.2 percent. (Table 1A and Figure 5)

By region, NCR contributed the highest in terms of revenue which amounted to PhP 338.0 billion (40.2%). This was followed by Central Luzon with PhP 102.0 billion (12.1%), CALABARZON with PhP 92.2 billion (11.0%), and Central Visayas with PhP 73.4 billion (8.7%). In terms of expenses, NCR spent the highest with PhP 302.1 billion (41.6%). CALABARZON ranked second with PhP 81.8 billion (11.3%), followed by Central Luzon with PhP 81.6 billion (11.2%) and Central Visayas which reported PhP 64.2 billion (8.8 %) in expenses. (Table 3A)

Revenue per expense ratio stood at 1.16

Revenue generated for every peso spent in the section was computed to be 1.16. Across industry groups, except for restaurant and mobile food service activities with a computed ratio of 1.14, all other industry groups surpassed the national computed ratio. (Table 2)

Value added amounted to PhP 276.7 billion

Total value added in the accommodation and food service activities section amounted to PhP 276.7 billion in 2018, which was 142.0 percent more than the PhP 114.3 billion value added in 2012. (Table A and Figure 1)

Restaurant and mobile food service activities topped the highest value added with PhP 178.8 billion (64.6%). Short term accommodation activities ranked second with PhP 75.5 billion (27.3%). (Table 1A and Figure 6)

Labor productivity estimate was at PhP 496.0 thousand

Value added per employee, a measure of labor productivity, was estimated at PhP 496.0 thousand. Only the short-term accommodation activities, with a value added per employee of PhP 585.0 thousand, exceeded the computed value added per employee for the entire section. (Table 2)

Sales from E-commerce at PhP 9.2 billion

E-Commerce refers to the selling of products or services over electronic systems. Sales from e-Commerce recorded a share of PhP 9.2 billion for the section. Short-term accommodation activities reported the highest with PhP 7.3 billion or 79.8 percent share. (Table 1)

DENNIS S. MAPA, Ph.D.
Undersecretary
National Statistician and Civil Registrar General