2024 marks a promising year for the Philippines, filled with opportunities for businesses, investors, and entrepreneurs. This country has consistently shown growth in recent years, bouncing back stronger since the pandemic.
With this steady recovery, the Philippines is gaining significant momentum as a business hub, supported by developments across various industries. So, what are the top booming businesses in the Philippines this 2024? Let’s take a closer look.
E-Commerce and Online Retail
E-commerce continues to dominate as one of booming industries in the Philippines. With widespread internet access, more Filipinos are joining the online marketplace as buyers and sellers. This trend is evident in the success of platforms like Shopee and Lazada, which have seen a surge in users and transactions over the years.
Shopee, for example, generated an impressive $9 billion in revenue in 2023, attracting over 290 million users across the Philippines and neighboring countries. The appeal of e-commerce lies in its low entry barrier since anyone with a small capital can start an online store.
Adding to this growth is the rise of affiliate marketing programs, which drive more traffic to these platforms. Affiliates not only boost sales for sellers but also earn income by connecting buyers to the marketplace.
E-commerce has solidified its place in the Philippine business scene, and all signs point to even greater opportunities ahead.
Food Delivery and Logistics
Another growing business in the Philippines if food delivery. The food delivery industry in the Philippines has become a staple in daily life, especially after the pandemic. Even as restrictions eased, the demand for convenient, at-home dining remained strong, making food delivery part of the “new normal.”
GrabFood and Foodpanda lead the market, with GrabFood holding 56% of the share—a testament to how much Filipinos rely on these services. By 2020, the sector had already achieved $1.2 billion in gross merchandise value (GMV), and revenue is projected to grow significantly, reaching $7.46 billion by 2029 with an annual growth rate of 10.39%.
What drives this growth is the industry’s ability to adapt. Food delivery services now cater to more than just meals, offering groceries and ready-to-cook kits to meet evolving customer needs. Startups are also exploring logistics opportunities, blending food delivery with e-commerce solutions to expand their reach.
Investments in technology have further enhanced user experiences, making these platforms faster and more reliable. With around 2.9 million users engaging in online food delivery in 2022 and user penetration expected to hit 10.1%, this industry shows no signs of slowing down.
The future of food delivery in the Philippines looks bright, with opportunities to grow even further, serving more communities and expanding services nationwide.
Renewable Energy
Renewable energy is rapidly gaining momentum in the Philippines, thanks to the country’s abundance of natural resources. Energy sources such as geothermal, solar, wind, hydropower, and biomass will help the Philippines to be well-positioned and become a leader in sustainable energy.
As of 2023, renewable energy accounts for just 22% of the country’s energy use, leaving plenty of room for growth. The Philippine government has set ambitious targets to increase this share to 35% by 2030 and 50% by 2040. To achieve these goals, policies like the Green Energy Auction Program and foreign investment incentives have been introduced, attracting both local and international investors.
What sets the Philippines apart is the significant involvement of the private sector, which drives innovation and accelerates project development. In 2023 alone, there was a noticeable increase in renewable energy projects and service contracts for commercial ventures.
Public support is also a driving force, with 85% of Filipinos in favor of expanding renewable energy use. Interest in emerging technologies, such as marine renewables and energy storage, highlights a forward-thinking approach to sustainability.
With strong government backing, private sector participation, and growing public awareness, renewable energy has the potential to reshape the energy landscape of the Philippines, ensuring a greener and more sustainable future.
Health and Wellness Products
The health and wellness industry in the Philippines is flourishing as more Filipinos prioritize their well-being. The COVID-19 pandemic served as a wake-up call, encouraging people to adopt healthier lifestyles and seek wellness-focused solutions.
Local brands are stepping up to meet this demand, offering a range of products and services, including fitness studios, alternative medicine, and plant-based food options. Retailers are also expanding their product lines to include affordable health supplements and fitness equipment, making healthy living more accessible.
Digital health platforms like mWell are revolutionizing access to healthcare by providing online consultations and services, appealing to tech-savvy consumers who value convenience. Additionally, the rise of e-commerce has made wellness products readily available, even to those in remote areas.
Many emerging brands emphasize inclusivity and sustainability, resonating with socially conscious consumers. The government is also playing a role, implementing initiatives to promote public health and wellness.
With increasing consumer awareness, innovation in digital health, and strong public and private sector support, the health and wellness market in the Philippines is set to grow even further. It’s an industry that not only meets current needs but also inspires long-term lifestyle changes.
Digital Marketing Services
Digital marketing in the Philippines is also thriving, fueled by the country’s extensive online activity and growing digital adoption. With over 76 million internet users spending an average of 9 hours daily online—one of the highest rates globally—the digital space offers businesses unparalleled access to a massive audience.
Social media plays a significant role, with 89 million active users, or 80.7% of the population. Platforms like Facebook, Instagram, and TikTok are essential tools for reaching consumers, and influencer marketing is particularly effective. About 70% of Filipino shoppers are influenced by social media endorsements, showcasing the power of these platforms.
The rise of e-commerce, expected to hit $10 billion by 2025, further underscores the importance of effective digital marketing strategies to engage online buyers. Businesses are also tapping into cost-effective solutions by outsourcing digital marketing services to the Philippines, leveraging the country’s talented and creative workforce.
Demand for specialized services such as SEO, content marketing, and data analytics is increasing, making Filipino marketers highly sought after globally. With a proven track record of managing successful campaigns, agencies in the Philippines are positioned as valuable partners for local and international businesses alike.
Digital marketing continues to evolve, and the Philippines is at the forefront, offering innovative solutions for businesses looking to succeed in the online world.
Real Estate and Home Improvement
Another real deal in 2024 is the booming real estate and home renovation industry. The sector is experiencing significant growth, driven by economic recovery and evolving market demands. With the government projecting GDP growth of 6% to 7% in 2024, the industry is poised for even greater expansion.
Property values continue to rise, as evidenced by a 7.7% increase in the national residential real estate price index in 2022, and a 12.9% surge in condominium prices in 2023. This trend highlights a growing preference for urban living among younger professionals, particularly in major cities.
Emerging real estate opportunities extend beyond urban centers, with the development of microcities like Cebu City Park, which integrate residential, commercial, and recreational spaces. These developments cater to modern lifestyles while boosting local economies.
The home renovation market is also booming, driven by increased property values and a rise in construction activity, as seen in the 4% growth in building permits in 2022. Overseas Filipino Workers (OFWs) play a significant role in driving home sales, contributing to the PHP 1 trillion market.
The rental market is recovering as well, with Metro Manila experiencing a 3.9% increase in home rentals in 2022 after years of decline. Additionally, international interest in Philippine real estate is rising, with foreign investors drawn by favorable tax conditions and trade opportunities.
The rise of mixed-use developments and sustainable communities adds further value, creating diverse opportunities for both investors and homeowners. With strong economic backing and evolving consumer preferences, the real estate and home renovation industry is set to thrive in 2024 and beyond.
Wrapping Up
The Philippines in 2024 offers diverse opportunities across booming industries ranging from e-commerce and food delivery to renewable energy and real estate. Each sector presents unique prospects for growth, innovation, and success.
To make the most of these opportunities, invest wisely. Align your business plans with your strengths and stay attuned to market trends. Whether you’re starting a new venture or expanding an existing one, understanding the market dynamics is key to thriving in today’s competitive environment.