DOT chief: Intl tourists shop less in PHL

Foreign travelers usually spend 60 percent of their budget on shopping, but devote only a quarter of their money to this when in the Philippines, Tourism Secretary Alberto Lim Tuesday told retailers. At the launch of a program for Filipino retailers, Lim said that with a budget of $900, the average foreign tourist in the Philippines spends only a fourth or $225 on shopping. He then urged retailers and resort owners to upgrade their merchandise to jack up the number of tourists purchasing local products. He also told them to seize the opportunity to upgrade their retail tools and skills in the program titled “Turista-ra Na," organized by the Department of Tourism (DOT) in partnership with the Philippine Retailers Association (PRA) and the Philippine Chamber of Commerce and Industry. “There is science and art to retailing. That's what we want to bring down to our local small retailers," Lim said. Not only merchandising skills He explained that “Turista-ra Na" will impart not only skills in merchandising, but also good customer relations and inventory management to small retailers who usually sell souvenir items like shirts, refrigerator magnets, and food products. Lim added that the DOT will first launch the program to small retailers in the Philippines’ top five tourist spots: Boracay, Mactan, Baguio, Bohol, and Palawan. He also hopes to bring the project to Mindanao after the signing of a peace agreement between Muslim secessionists and the Philippine government. “The need to learn from these retail experts will definitely have a big impact for our small and micro entrepreneurs. They can improve their services and think and create new ways on how to attract tourists to buy and avail of their goods and services, which in turn can make their businesses grow," said PRA vice chairperson Alegria Limjoco. Tourism revenues Posting revenues of $2.5 billion in 2010, the tourism sector accounts for 6 percent of the Philippines gross domestic product, said Lim. He said the Philippine economy will further get a boost from the rise of tourist spending on shopping. By upgrading their merchandise, retailers can boost average tourist spending to reach $1,500 increase in the Philippines, according to the government. Among the tourists in the Philippines, Russians are the top individual spenders whose expenses range from $10,000 to $20,000 per visit. The next biggest tourist market for the Philippines is the new rich or 'nouveau riche' among the Chinese, known to have gained considerable wealth from the coal and mining industries. Trailing them are individual Japanese, Indonesian, and Indian nationals who travel with their families. Visitor arrivals reached 670,000 in the first two months of 2011, up 18 percent from the same period last year, according to the Tourism secretary. He said he is optimistic that tourist arrivals will stay on an upward trend this year. — PE/VS, GMA News