HoReCa stands for Hotels, Restaurants and Cafes or Catering. It is the food service channel: any business that prepares meals or drinks and serves them right there. Think of a Panglao resort, a Makati hotel, a fast-food branch, a carinderia, a milk tea shop or a wedding caterer. In the trade it is also the HoReCa sector or HoReCa industry, the part of hospitality that feeds people.
To a brand, the HoReCa channel sits next to general trade (sari-sari stores and small independents) and modern trade (supermarkets and chains). Here the buyer is a chef, an owner or a purchasing officer, and they order bulk packs for a kitchen or bar.
What HoReCa stands for
Each pair of letters names one part of the trade. In the Philippines they look like this:
| Letters | Stands for | Where you find it here | What it orders |
|---|---|---|---|
| Ho | Hotels | City hotels, island resorts, serviced apartments, function halls | Buffet and breakfast items, drinks, room and cleaning supplies |
| Re | Restaurants | Fine dining, casual dining, fast-food chains, food court stalls, carinderia and turo-turo | Cooking oil, sauces, dairy, frozen goods, softdrinks |
| Ca | Cafes or catering | Coffee shops, milk tea shops, bakeries, caterers, event kitchens | Coffee, tea, creamer, syrups, baked goods, cups and other disposables |
Dutch speakers use “horeca” as an everyday word for the hotel and restaurant trade. European suppliers spread it to Asia, Africa, Latin America and the Middle East. Americans say “food service”, and in Manila you will hear both. The UN’s ISIC classification files these businesses as “accommodation and food service activities”.
HoReCa, HORECA, Horeca, Ho.Re.Ca and ho re ca are one word, usually said HO-reh-ka.
A “HoReCa company” can mean either side of the sale. It can be the hotel, restaurant or cafe business itself. It can also be a supplier or distributor whose business is selling to those outlets.
Which Philippine outlets count as HoReCa
The test is simple: food and drink served to guests on site, or at an event the business runs. A typical Philippine list:
- Hotels and resorts, plus their restaurants, bars, buffets and function halls
- Restaurants: fine dining, family and casual dining, fast-food chains, food courts, carinderia and turo-turo
- Cafes, milk tea shops and bakeries with seats
- Bars, pubs and lounges
- Caterers for weddings, fiestas, debuts and company events
- Institutional catering, if you count it: canteens, hospitals, schools, airlines
Companies draw the line differently: cloud kitchens are often in, and drinks firms often give bars to an on-trade team. The carinderia starts the most arguments: it cooks like a restaurant but buys like a sari-sari store. Agree the list before anyone gets a target.
HoReCa sales vs sari-sari and supermarket sales
HoReCa sales is supplying hotels, restaurants, cafes and caterers who turn your product into a dish or drink. A sari-sari store sells your sachet unchanged. A kitchen cooks with it, so the chef weighs taste, yield, consistency and cost per plate.
| HoReCa | Sari-sari and general trade | Supermarkets and modern trade | |
|---|---|---|---|
| Who says yes | The chef or owner; for chains, head office purchasing | The store owner | A head office category buyer |
| What they buy in | Catering packs, kegs, big tins | Sachets and small packs | Shelf packs |
| How the order comes in | Frequent small top-ups, set by the menu and the crowd | At the rep’s visit, or by text or Viber | On head office’s schedule |
| Terms | Credit, usually through the distributor | Cash or a few days’ credit | Long contract terms |
| Who delivers | Distributors, food service wholesalers, cash and carry, or direct to big chains | Distributors, stockists, wholesalers and van sales | The retailer’s warehouse |
| What keeps the account | Menu spot, reliable supply, chef support | Margin, trade deals, credit | Listing fees, promos, shelf space |
If you already sell to general trade and modern trade, four things about HoReCa will be new:
- The menu is your shelf. Once a signature dish uses your sauce, cheese or coffee, the reorders follow. When the menu changes, the account goes with it.
- The chooser and the payer are different people. The chef picks, the owner or purchasing officer agrees the price, and accounting pays. Know all three.
- A chain decides once; an independent can change its mind any week. Head office sets one list for every branch of a fast-food chain. At an independent cafe, a new chef can switch brands in a day.
- A stockout costs more than at a sari-sari store. There you lose one sale. A resort cafe out of coffee beans calls whoever can deliver by lunch, and may stay with them.
Your rep wins the account, your distributor holds the data
Many Philippine HoReCa outlets get their stock from a distributor or food service wholesaler. Your rep wins the chef; the distributor delivers, invoices and collects. When the owner runs low between visits, they call or Viber the distributor. That order stays invisible to the brand unless the distributor shares it.
Rate each HoReCa account on its purchases through the distributor, and check the rep’s bookings against them. For that you need each outlet’s distributor sales and unpaid balance next to the visit log. A distributor management system puts them there.
How to run a HoReCa sales team in the Philippines
Do not copy your sari-sari beat plan. HoReCa reps make fewer calls and stay longer, often while a chef tests your product in a recipe. With Metro Manila traffic or a ferry to an island resort, a wasted trip can eat the afternoon. See BeatRoute for HoReCa sales for the tools behind each step.
1. Sort outlets before you assign them
Group outlets by type (hotel, fast food, cafe, milk tea shop, caterer, institution), by cuisine and by buying power. A busy steakhouse is no target for an Asian sauce brand. A five-star hotel line will not move in a barangay eatery. Customer profiling and segmentation points reps to the outlets worth their day.
2. Give HoReCa key accounts their own owner
Fast-food chains, hotel groups and big caterers sign at head office. Put a key account manager on those HoReCa accounts, and have field reps confirm each branch buys the agreed list. Independents run on suki: the owner stays loyal to the rep who keeps showing up and knows the chef.
3. Visit by value and risk, and let small outlets reorder
Visit high-value outlets most, and any outlet with a warning sign: orders shrinking, a late payment, a new chef in the kitchen. Steady small outlets can skip the weekly call. A milk tea shop in the summer rush may run out of syrup and creamer days before the rep returns. Let the owner reorder through a B2B ordering app or a Viber message. Visit planning software turns these rules into each rep’s week, so reps stop favouring friendly outlets.
4. Follow up every chef demo and menu activation
Book chef demos only at target outlets. The listing comes from the follow-up. The rep returns within days and logs the chef’s verdict. Then they confirm that any dish or drink of the month went on the menu.
5. Measure HoReCa health with five numbers
Calls and orders are enough for a sari-sari team. For HoReCa, add:
- Active outlets: by segment, those that bought in the past month
- Menu listings: outlets where a dish or drink on the menu uses your product
- Lines per outlet: the number of your SKUs each one carries
- Reorder rate: the share that bought again after a first order or demo
- Distributor sales and collections per outlet: what it bought and what it still owes
Selling to hotels, restaurants and cafes in the Philippines? Request a demo built around your outlet types and your distributors.
Food service, on-trade and other words near HoReCa
Suppliers and hotel buyers here mix these words up. They differ:
| Term | What it covers | Next to HoReCa |
|---|---|---|
| Food service (foodservice) | Every meal made outside the home; the common US word | Broader: it always counts hospital, school and office kitchens |
| AFH or OOH (away-from-home, out-of-home) | Anything consumed or used outside the home | Broader still: gyms, transport, vending |
| On-trade | Drinks bought and finished on site | Mostly the same outlets as HoReCa |
| Off-trade | Drinks bought to take home, from sari-sari stores to supermarkets | Retail, not HoReCa |
| HRI | Hotel, Restaurant and Institutional, used in North America | Spells out hospitals and schools |
| Hospitality | Travel, lodging and leisure | HoReCa is the food and drink slice |
Frequently asked questions
Is HoReCa B2B or B2C?
Both. Brands and distributors sell to the hotel, restaurant or cafe as one business to another (B2B). The outlet then serves its own guests (B2C). HoReCa sales refers to the first step, the B2B one.
What are HoReCa products?
Goods packed for commercial kitchens and bars, usually in bulk. On top of the foods in the table above, add alcohol, disposables, cleaning supplies, linen and kitchen equipment.
What does a HoReCa sales executive do in the Philippines?
Taking the order is the easy part. The rep sees which dishes use your products and asks the chef how they perform. Then they chase samples, check the distributor’s stock and, if the brand invoices directly, collect payment.
What is HoReCa marketing?
It is marketing to the outlet instead of the shopper. Think branded coolers, glassware and menu cards, training for waiters and baristas, and a booth at food service trade shows.
