Food service industry in the Philippines - statistics & facts
The Philippines has a lucrative food service industry that includes establishments offering casual dining, fast food, snacks and drinks, and street food. In a country with a heavy appetite for new food trends and where dining out is considered a family-bonding activity or a time for celebration, the food service sector contributes over 300 billion Philippine pesos to the economy. The food service industry also presented employment opportunities for numerous Filipino individuals and presented an avenue for aspiring entrepreneurs. Following the COVID-19 pandemic, this market has demonstrated signs of recovery owing to the resumption of dining habits and the convenience afforded by food delivery services.
The food service market in the Philippines is continuing to show signs of growth in the following years, with restaurants opening new locations and expanding to rural areas. Despite this, online food delivery is not going anywhere, as most Filipinos continue to order food through these platforms for the convenience they offer.
Limited-service restaurants continue to drive Philippine food service growth
Fast-food restaurants were the most popular place to eat or buy food outside of home among Filipinos, especially chicken and burger lovers. Over half the total revenue share belongs to fast food establishments, which generated over seven billion dollars in revenue in 2023. Since then, the QSR market has been dominated by local players, led by the Jollibee Foods Corporation, which owns and operates Jollibee and other chains such as Mang Inasal, Greenwich, and Chowking. McDonald's came in second place by a considerable margin, whose exclusive franchise is held by the Golden Arches Development Corporation. Local food chains have also begun opening new restaurants and expanding into rural areas to cater to more customers. International food chains have also made their way to the Philippines, providing more variety to Filipino food lovers.Street stalls and kiosks offer convenience
Over the years, stalls and kiosks have been serving Filipino consumers, including students, government workers, construction workers, and households in the vicinity, besides fast-food restaurant chains. Most neighborhoods have carenderias or small eateries serving affordable home-cooked meals and usually stay open longer. Additionally, there are stalls offering street food, snacks, or sliced fruits. The sales of street stalls and kiosks have since recovered since the slump caused by the pandemic, although it remains lower than its pre-pandemic values.The rise of online food delivery
As a culture with diverse food backgrounds and influences, the Philippine food service market is ripe with growth opportunities. The pandemic allowed Filipino entrepreneurs to start offering meals and other food items online, leading to significant growth in the online food delivery market. Aside from restaurants and fast-food chains offering food delivery services, small entrepreneurs who do not have the capital to start their restaurants or food businesses have also started to serve customers even with a limited menu. The online food delivery market in the Philippines is dominated by Grab and Food Panda, in addition to restaurants offering their own delivery services.The food service market in the Philippines is continuing to show signs of growth in the following years, with restaurants opening new locations and expanding to rural areas. Despite this, online food delivery is not going anywhere, as most Filipinos continue to order food through these platforms for the convenience they offer.
