Digital gets 70% of DOT budget

Digital gets 70% of DOT budget
TOURIST ARRIVALS. The Philippines welcomed 4.4 million foreign tourists and non-resident Filipinos as of August 2026. Visitors from the United States led arrivals with 926,575, followed by South Korea with 744,732 and Japan with 321,545. / SUNSTAR FILE
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THE Department of Tourism (DOT) will channel about 70 percent of its 2027 marketing budget into digital marketing and media placements as the new administration shifts toward higher-value markets, investment generation and a more data-driven approach to tourism promotion.

Air connectivity

Tourism Secretary Dita Angara-Mathay said the department will direct a larger share of its marketing resources to Japan and South Korea, where it sees room to revive visitor arrivals, while increasing allocations for the United States, Canada, Australia and the Association of Southeast Asian Nations.

The DOT will also work to strengthen air connectivity with China, which recorded close to 70 percent year-on-year growth in arrivals in the first months of 2026.

For South Korea, the Philippines’ largest source market in 2025, the department plans to sustain the P50-million marketing effort launched this year for localized campaigns and co-branding with Korean tour operators, airlines and social media platforms.

The DOT’s proposed budget for 2027 stands at P5.47 billion of which is P1 billion is allocated for the country’s global branding campaign while P1.37 billion is earmarked for tourism promotion’s board.

“Marketing and branding are not expenses that we can afford to treat as secondary. They are investments in the competitiveness of Philippine tourism,” Angara-Mathay said.

According to the DOT, the Philippines currently has one of the lowest tourism marketing budgets in Asean despite attracting relatively high-value tourists who stay an average of five days and spend around $2,000, or about P125,000.

Local ambassadors

The department will also continue its partnership with P-pop groups BINI and SB19 as tourism ambassadors, with bigger and more strategic activations planned for 2027. Their campaigns will tap their fan bases across Asia, North America and the Filipino diaspora while promoting destinations outside traditional tourism centers.

The DOT also plans to expand its use of micro-influencers, Filipino athletes and performers to reach niche and international audiences.

The new administration is placing greater emphasis on tourism investments through four initiatives: the Tourism Investment Accountability Program, Tourism Investment Readiness Program, Tourism Intelligence Program and Strategic Investment Engagement Program.

The programs aim to maximize the value of tourism investments, make projects more investment-ready, improve tourism intelligence and strengthen investor partnerships.

Japan is the first market for the DOT’s more hands-on investment development approach. Following a business roundtable during President Ferdinand Marcos Jr.’s state visit to Japan in May, the DOT formed a Japan Tourism Investment and Business Development Team.

The team has engaged companies including Marubeni on a specialty medical clinic and Sojitz on expanding telecommunications infrastructure in underserved tourist destinations. The DOT plans to replicate the model in other priority markets.

Infrastructure

The department is also working with the Department of Transportation to improve airport gateways, add flights and develop new air and sea routes, particularly to secondary cities and emerging tourism markets.

It is pursuing visa reforms with the Department of Foreign Affairs, including efforts to expand visa-free entry for Chinese travelers to Kalibo, Caticlan, Tagbilaran, Clark, Puerto Princesa and Davao.

The DOT is also seeking to make tourism enterprises more digitally enabled through partnerships with Klook, GCash, Viber, Mastercard and Visa. These seek to address gaps in market visibility, cashless payments and digital and financial literacy among tourism micro, small and medium enterprises.

The department is updating accreditation rules, developing standards for emerging businesses, such as campgrounds and domestic cruise ships, and planning digital tools for tour guide qualification examinations.

It is also expanding tourism data infrastructure through an interactive dashboard, tourism data dictionary and inter-agency data-sharing program, while strengthening tourist safety and disaster preparedness.

Tourism accounted for 8.1 percent of Philippine economic output in 2025, generating P2.27 trillion in tourism direct gross value added and supporting 7.70 million jobs, according to the Philippine Statistics Authority. / KOC

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