Tag: Philippines

  • Sizzlin’ Steak heads to Vietnam

    Sizzlin’ Steak heads to Vietnam

    Filipino corporate restaurateur Max’s Group is to launch its Sizzlin’ Steak concept in Vietnam.

    Max’s Group is the largest casual dining restaurant company in the Philippines. It owns Yellow Cab Pizza, which it recently launched in the UAE.

    Sizzlin’ Steak is an eight year old Japanese steak barbecue concept, serving steak and other meats cooked on hot plates at low price points. Barbecue style dining concepts are popular amongst Vietnamese.

    Max’s is entering Vietnam in partnership with L Concepts, a subsidiary of the Longfort Group, which focuses on developing unique dining concepts and brands in Southeast Asia.

    According to documents filed with the stock exchange in Manila, L Concepts will open a minimum of 10 Sizzlin’ Steak restaurants in Vietnam within five years. Max’s currently has 10 in metro Manila and is considering a pilot store in the US.

    Max’s Group president and CEO Robert Trota says the company plans to add at least 200 stores to its overseas network by 2020.

    “We envision to rollout our key brands outside the Philippines with strategic franchise operators. As new markets are established and momentum builds in the next few years, we expect the international portion of our business to be a significant contributor to system-wide sales and to our bottom line,” he said.

  • SM Group, Disney seal strategic deal

    SM Group, Disney seal strategic deal

    SM Group is to collaborate with The Walt Disney Company Southeast Asia to bring Disney brands closer to Filipinos through mall, retail, entertainment and amusement opportunities.

    The two companies say they aim to bring Disney, Marvel, Pixar and Star Wars brands to life through “unique Disney experiences at SM’s many leisure and entertainment properties”.

    Fans can look forward to a host of innovative offerings including Disney branded events, promotions and other unique experiences themed around fan-favorite Disney brands and characters.

    “We are thrilled to be associated with the iconic Walt Disney Company,” said Edgar Tejerero, president of SM Lifestyle Entertainment.

    “Henry Sy Sr envisioned and purposed a second home for Filipinos across the nation where they can create memorable bonding activities with their families through amusement facilities, retail centers, and food establishments, all found in one mall. Sixty-five years later, and with 52 malls across the Philippines, it had just been high time that SM forged an official collaboration with the best family entertainment company in the world,” Tejerero said.

    Rob Gilby, MD of The Walt Disney Company Southeast Asia, said Disney makes millions of Filipinos laugh and smile with its stories and characters every day.

    “We have worked with the various arms of SM group over the years and today we are delighted to announce our collaboration on a comprehensive plan to create magical moments and memories that will last a lifetime for fans across the Philippines.”

    SM says it has synergised the efforts of all its subsidiaries – including SM Supermalls, SM Markets, The SM Store, Toy Kingdom, and its lifestyle and entertainment arm, SM Lifestyle Entertainment – to produce a complete and one-of-a-kind Disney experience for its patrons: from the moment they enter the mall to watch a movie, to the time they purchase their favourite snack and Disney merchandise. Patrons can also take their SM Cinema and Disney experience with them home, or wherever they go, through the newly launched Blink app.

    As a precursor to an already successful association, Disney and SM have worked together to bring multiple experiential events to the Filipino families such as the recent Avengers Experience in SM North Edsa, where guests were treated to life-size characters, Avenger-themed games, and a ‘meet and greet’ with Captain America, Thor and Black Widow.

    To officially jump start their partnership, SM and Disney will be launching a “Star Wars Galactic Christmas” to welcome the latest instalment of the movie, “Star Wars: The Force Awakens.” The exhibit will include life-size figurines of characters from the movie, interactive games, and official merchandise from the SM Store and Toy Kingdom.

  • Philippines mall magnate tops rich list

    Philippines mall magnate tops rich list

    Henry Sy, the founder of the Philippines mall giant SM has maintained his place at the top of the nation’s rich list for the eighth consecutive year.

    Sy’s various business interests include property, retail and banking and his net worth is estimated byForbes Philippines as US$14.4 billion – up $1.7 billion on the 2014 figure.

    Forbes calculated Sy’s SM Investments rose 17 per cent in value during the last year and SM Prime Holdings by 20 per cent.

    Besides his retail interests, the 90 year old Sy who was born in Xiamen, China, has shares in power supplier National Grid Corp.

    Second on the list is another retailer: John Gokongwei Jr, one of the family which owns the parent company of Robinsons malls in the Philippines, amongst other assets including energy, airlines, telecommunications and food. His net worth is estimated at $5.5 billion.

  • Robinsons Retail takes control of Saver’s

    Robinsons Retail takes control of Saver’s

    Robinsons Retail Holdings, the Philippines-based department store operator, has taken a 90 per cent stake in home appliance chain Saver’s Appliance Depot.

    Saver’s operates 24 stores in Central Luzon and eight in Cagayan Valley

    Robinsons Retail president and COO Robina Gokongwei-Pe says partnering with Saver’s will strengthen and expand its exposure in the consumer electronics and appliance market.

    “As the economy expands, discretionary spending is seen to surge ahead and this format should be a strong beneficiary,” said Gokongwei-Pe. “Also, the increasing scale of the group is expected to strengthen our market position in the industry.”

    The settlement date of the deal and the purchase price has not yet been revealed.

    MD Jaime Uy will continue in his role after the purchase.

    “We are happy to become part of the Robinsons Retail Family. The group has proven track record in growing and retaining the equity value of the companies of businesses that they acquired,” Uy said.

  • SSI hunts ASEAN retail brands

    SSI hunts ASEAN retail brands

    Leading Philippines retail group SSI says it is actively seeking to acquire brands and suppliers in the region that can help it build its ASEAN retail portfolio.

    “We continue to seek brands and suppliers that manufacture within the Asean region that would allow us to make the most of Asean free trade agreement. That is a key to our expansion and success in the recent past – to expand our retail concepts in new geographic areas,” SSI president Anthony T. Huang told the Manila Times.

    ASEAN, which comes into effect later this year, groups 10 economies in Southeast Asia, creating a free trade zone with less restricted borders. Participating countries are Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Cambodia, Laos, Myanmar and Vietnam.

    “We’re hopeful because we have ongoing discussions [with potential acquisitions and partners] but nothing final at this time,” Huang said.

    “We’ve really been focused on the new acquisitions that we have to roll out next year and on the existing brand portfolio that we’re continuously rolling out and the continued expansion of FamilyMart,” he said.

    SSI is also in talks with other foreign brands outside the ASEAN group as it builds a portfolio of lifestyle and fashion brands. Its most recent deal was to partner with Canadian fashion label Joe Fresh.

    Huang says foreign brands find the Philippines appealing because the culture is westernised, it has a young population, strong growth and rising middle class with discretionary income.

    “We have the youngest population in the region. ‘Youngest market’, that’s the magic formula.

    “We’re seeing continued interest that many of the international retail concepts that should be in the market are in fact already in the market. But interests from new concepts are coming in to expand in the region,” he said in the interview.

    SSI’s portfolio already includes 115 brands.

  • Indonesia’s Alfamart to expand retail footprint in the Philippines

    Indonesia’s Alfamart to expand retail footprint in the Philippines

    PT Sumber Alfaria Trijaya Tbk (Alfamart), an Indonesia based convenience store chain operator, is planning to expand its footprint in the Philippines to about 160 stores by the end of this year. The move is expected to help strengthen the company’s presence in the south east Asian region and help boost income from exports.

    As of August, the company has 60 Alfamart outlets in the Philippines.

    According to Hans Prawira, president director of Alfamart, the company is targeting to operate over than 100 outlets in the Philippines, through its unit, Alfamart Retail Asia. “The project will be funded by loans from Philippine banks,” he added in an official statement.

    Alfamart and Philippine-based SM Retail Supermarket, a subsidiary of SM Group has set a joint venture company (JVC) to operate the retail outlets. Alfamart holds a 35 per cent stake in the JV and SM Retail Supermarket holds 65 per cent.

    Indonesia’s heavily regulated retail market – particularly relating to the aspects of franchising and foreign investment  – may have driven Alfamart to look for growth overseas.

    Indonesian franchise regulation requires 40 per cent of all stores to be company-owned and the remaining shares owned by franchisee holder, while 80 of product offerings have to be locally sourced for two years.

    The smaller format of mini-marts will provide SM with the flexibility to foray into urban area. At the same time, it will be able to rely on Alfamart’s know-how and experience of operating the stores under comparable market conditions in Indonesia.

    In Indonesia, the company plans to open 1,200 new outlets by the end of this year. “More than 50 per cent will be opened outside Java. We already have a distribution channel in Pontianak, Banjarmasin, Manado, and the latest one, in February, in Batam,” Hans said.

    As of March 31, the company had 10,068 Alfamart outlets, of which 2,958 are managed under a franchise scheme, while the rest are owned by the company.

    The company also operates 809 Alfamidi and 48 Lawson convenient stores with larger size than Alfamart.

    With over 10,000 stores in the portfolio, Alfamart controls about 50 per cent of Indonesia’s convenience store market through multiple brands – Alfamart, Alfamidi, and Lawson.

  • Sandara Park is newest int’l endorser of Pinoy fashion retail brand

    Sandara Park is newest int’l endorser of Pinoy fashion retail brand

    Korean super star Sandara Park whose road to international fame started in the Philippines decided to return to where it all started by endorsing a local fashion retail brand.

    “Hey guys! It’s me Sandara Park. And guess what? I’m the newest member of Team Penshoppe. I had a great time shooting my first campaign and I love the clothes,” Park said in an Instagram clip as she broke the news to her fans.

    The Korean superstar made the announcement Thursday with a caption, saying she’s “happy” to be the newest face of the local retailer.

    She also included a teaser photo of the campaign shot by photographer Cliff Watts who flew in from New York for the shoot.

    The shoot took place last month at Golden ABC’s Studio 1155 and Gallery.

    The long list of international celebrity endorsers include Cara Delevingne, Kendall Jenner, Nina Dobrev, Leighton Meester, Ed Westwick, Josh Bowman, Mario Maurer, Ian Somerhalder and the world’s highest paid male model, Sean O’Pry.

  • Henry Sy still Philippines’ richest man

    Henry Sy still Philippines’ richest man

    Property, retail and banking tycoon Henry Sy whose conglomerate owns the chain of SM Supermalls in his country and China has retained the title of the Philippines’ richest person for the eight consecutive year, with his net worth up $1.7 billion from last year to $14.4 billion.

    Forbes Philippines, which puts together the list, said Thursday that the value of Sy’s publicly traded conglomerates SM Investments rose 17 percent and SM Prime Holdings 20 percent over the past year. His companies announced record income from banking and retail businesses and two new mall partnerships in 2014. Sy also has a stake in privately owned power supplier National Grid Corp.

    John Gokongwei Jr. of JG Summit conglomerate that owns SM’s rival, mall chain Robinsons, is the second richest with a net worth of $5.5 billion.

    Forbes said Gokongwei moved up three spots after his company’s stocks rose 30 percent, boosted by revenue growth in its petrochemical business and investments in Meralco, the Philippines largest power distributor.

    JG Summit also has interests in food and beverage, airlines, telecoms, property development, banking, retail, and hotels.

    Forbes compiles the net wealth of the Philippines’ richest based on stock prices and exchange rates, with the value of private companies based on similar companies that are publicly traded.

    Alliance Global’s Andrew Tan climbed a notch to the third place despite a drop in his net worth to $4.5 billion from the previous $5.1 billion. His company’s stock price is 11 percent lower due to a drop in income from its resort and casino operations.

    Lucio Tan of LT Group whose businesses include stakes in beverages, tobacco, distilled spirits, banking and property was fourth with a net worth of $4.3 billion. Tan is also chairman of Philippine Airlines.

    Fifth was International Container Terminal Services’ Enrique Razon Jr., who is worth $4.1 billion.

    Rounding out the top 10 are George Ty, the Abotiz Family, Jaime Zobel de Ayala, David Consunji, and Tony Tan Caktiong.

  • EcoWaste Coalition calls for crackdown on fake cosmetics in the Philippines

    EcoWaste Coalition calls for crackdown on fake cosmetics in the Philippines

    The call comes after the watchdog found seven beauty and herbal vendors at the Guadalupe Commercial Complex selling cosmetics that had been banned by the Food and Drug Administration.

    Beauty brands Erna, Jiaoli and S’zitang were among the skin whitening creams found to have dangerously high levels of mercury.

    “To curb this illegal trade of dangerous products that had no FDA notification, we request the Makati government seize the unregistered items, issue formal warning against non-compliant vendors and/or shut retail outlets engaged in such illicit business,” says Ecowaste project coordinator Thony Dizo.

    In-organic mercury in face cream is absorbed following application to the skin and toxic levels in the body can develop gradually with prolonged use.

    The signs and symptoms of mild to moderate toxicity due to exposure in skin lightening products may include nervousness and irritability, difficulty with concentration, headache, tremors, memory loss, depression, insomnia, weight loss, fatigue, numbness or tingling in hands, feet, or around the lips.

    Nanotech tracker to change how the industry tackles counterfeit goods

    Sydney-based YPB Group announced last year that it had bought tracer patents developed by China’s Dalian Maritime University to pair with its own scanners to determine counterfeit goods.

    The Australian company claims the cheap tool will initially change how the industry will tackle fake goods from China.

     The nanotech tracer is invisible to the naked eye and can only be read by a YPB-developed scanner that costs about $35. The material can be applied to any product and costs less than 50¢.

    According to John Houston, chief executive YPB Group; “Only two people in the world know the tracer formula.” 

    PB Group also acquired Brand Reporter, a US-based start-up that developed a platform for companies to identify and track counterfeit products in the supply chain and at retail points.

    “The tracer can be put into fibers, plastics and inks to determine a product’s authenticity,” Mr Houston said.

  • SM Malls embrace future style

    SM Malls embrace future style

    On her first visit to SM Aura in Taguig, Michelle Dabuet, 38, an IT project manager, noticed that it had an “odd” shape.

    “It’s clean and classy and not like the other SM malls that are boxed-shape,” Dabuet noted.

    Gail Dacquel-Perez, 39, and a mother of three also distinctly remembers the fragrance that accosted her upon entering the mall, as well as the cleanliness and the look and feel of a bigger “Podium” mall, one of SM’s earliest upscale shopping malls in Ortigas.

    Noticeably, SM malls today have undergone a major transformation to cater to a new breed of shoppers.

    The sleek designs, open spaces, and iconic edifices in the newest SM malls are attracting shoppers who have become more aware and appreciative of style, fashion and global trends.

    Architect Fides Garcia-Hsu of SM’s Engineering, Design and Development shared that SM, in general, has taken into account two kinds of customers in retail which are also reflected in the design of its malls. Those that are focused and those who act on impulse.

    Focused buyers go to the mall with the intention of buying and carrying the right amount of money to achieve their objectives. Impulse buyers are those who visit the mall with no original intention of buying but will do so if something appeals to them or continue to window shop.

    “Both types are important for SM and that’s why zoning is equally important for us. We try to achieve the right tenant mix to cater to both types,” Hsu said.

    Take Mall of Asia, SM’s premier mall in Pasay as an example. The Hypermarket and THE SM Store are located on both north and south car parks. The Entertainment Mall which houses cinemas and various dining establishments are at the seafront side while the Cyberzone is on another floor. The Food and Beverage units are along the pedestrian streets.

    SM North EDSA, which has undergone several renovations and upgrades in the last few years, follows a similar zoning pattern which aims to provide a more convenient shopping experience while also allowing equal exposure to majority if not all the mall tenants.

    Hsu shared that SM patriarch Henry Sy, Sr. or Tatang (father) as he is fondly called, has provided the direction for the design of SM malls and is, in a way, the first architect of the SM malls.

    SM malls usually follow a straight or H-path which makes it convenient for shoppers to find their way from point A to point B, said Hsu.

    “Tatang  also taught us how to plan the space. He told us that every inch is valuable,” she said

    In recent years, SM malls have transcended the boxy look to develop into bolder and more artistic designs. SM Aura in Taguig, which was designed by Miami-based Arquitectonica drew inspiration from the elements – much like a tree melding with its roots or a waterfall cascading into a river. It also aims to be one of the first civic centers to be certified Gold under the US Green Building Council Leadership in Energy and Environmental Design (LEED) program.

    The 470,000 sqm SM Seaside City in Cebu, which promises to be a regional landmark in the Visayas, meanwhile takes inspiration from the legendary nautilus shell. The mall, which will feature a steel cube sculpture and a 148-meter tower with a viewing deck that has a breathtaking 360-degree view of Cebu, is expected to cater to various segments of the market.

    These new designs are a huge departure from the original designs of SM malls. Interestingly, the old design mirrored the shopping preferences of the era. In the 1980s, Filipinos mainly  flocked to the box-type SM malls, usually rising three storeys, for their basic needs, for convenience and for novelty while others just wanted to bask in the air conditioning to get away from the scorching heat that a tropical country like the Philippines is known for.

    The straightforward design also appeared to echo both the personality and the vision of Sy who was known to many as a “no-nonsense”, straightforward man.

    “Every mall has a touch of Tatang (as Sy is fondly called by family, friends and employees). He is always involved in the design. His direction was to make it (mall design) simple, straightforward, convenient and efficient for shoppers,” Hsu said.

    Sy was inspired by his travels to the US where he saw malls starting to proliferate, or a series of retail stores and major stores put under one space with a common pathway. The desire to offer this emerging retail concept to Filipinos was strong, says SM Prime Chairman Henry Sy, Jr , the eldest son of Sy.

    “My father saw the US model. Being in the retail business, he was attentive to the needs of the people and what will make things convenient for them here in the Philippines. When he built the first SM mall on North EDSA, what he had in mind was the real estate play and that everything should be under one roof,” Henry Jr. said.

    Many thought that the opening of SM North EDSA, with a gross floor area of 125,000 sqm then, was ill-timed in 1985, with the country plunged into political upheaval.  But Filipinos quickly latched on to the new concept, much also to the surprise of the Sy family.  The first mall opened with SM’s own brand of supermarket and department store as many businesses were fearful then to open in uncharted waters such as in North EDSA.  Cinemas in the mall were also a novelty and as more tenants warmed up to “SM City”, the new business venture flourished and was soon replicated across the country at a rate of three to four malls a year.

    The next wave: sustainable malls

    Hsu said environmental sustainability has become the paramount consideration at present and for years to come in terms of mall development.

    “SM will continue to incorporate sustainable features in its malls. Rain harvesting, water recycling and expansive skylights to provide sufficient daylighting, the use of solar panels to provide adequate percentage of the mall’s power requirement, the use of high performance IGU (insulating glass units), deck landscaping and a host of other measures will be looked into and integrated into the planning,” Hsu said.

    SM Marikina which is within the Marikina River watershed and situated in a flood prone area was built on concrete stilts to elevate the structure. The mall was constructed 20 metres farther than the suggested 90-meter distance from the center of the Marikina river.

    SM Center Muntinlupa was also enhanced to be more resilient in light of two fault exposures in the area. It stands with a five-meter buffer zone to minimise the impact of earthquakes and other disasters such as the rupturing of both sides of the fault.

    SM City Masinag in Antipolo has fully revolutionised the company’s approach to sustainable and disaster resilient design. It incorporates a 3 million gallon holding tank to reduce the impact of super typhoons that plague the area. The tank has the capacity to hold water volume generated from constant rainfall of a storm similar to Typhoon Ondoy (Ketsana) for over three hours.

    Other unique sustainable features of SM malls include high windows above eye level that use natural light to illuminate company facilities; the use of LED and CFL light bulbs to further reduce electricity consumption; environmentally-friendly materials and technology for all heating and cooling processes; water-efficient fixtures systems to reduce potable water consumption such as waterless urinals and faucet aerators; and prudently-selected construction materials that minimise the impact of certain structures, promote healthier indoor environments and enhance performance of all company facilities.

    Roof gardens are also incorporated in the malls which make both commercial and environmental sense. These not only cool the mall, but also draw people upwards, thereby providing better footfall to tenants on the higher floors; retain water during heavy rainfall and reduce flooding; reduce heat transfer to the local environment by absorbing heat through trees, plants and fauna. “The roof gardens we design for SM make a solid contribution to disaster resilience that should be considered countrywide,” Arquitectonica MD Asia Peter Brannan said.

    “As builders, we know that the most iconic monuments depend on a great foundation. Our approach to sustainability works the same way. By designing green, we are not only making a commitment to revolutionising the retail industry, but we are also creating a solid foundation for future stewards of the environment to build on,” SM Prime President Hans Sy had said.

    Indeed, today’s shoppers are exposed to international trends through frequent travels, unafraid to risk resources for experience, always on the prowl for what’s “trending” or “viral” in terms of venues, “eats”, technology and are constantly in search of new advocacies to champion.

    “The Philippines is currently one of the fastest growing economies in the world; that will inevitably result in rising disposable incomes and a much more sophisticated consumer. They will want a better environment, a better workplace, and a better home. Both designers and developers will have to respond to that, and constantly strive to improve the quality of their product. Doing business as usual will simply leave you behind in this fast-moving, interconnected world,”Arquitectonica’s Brannan said.

    This new generation of shoppers now view malls as destinations. More than just a place to hang out with friends or family, they now demand the best quality experience, the best food, the best product, the best service. And as shoppers evolve, SM malls too will adapt to ensure that there is a preferred destination for all.

  • Chinese shoppers feel safer online

    Consumers across Southeast Asia and Greater China feel safer paying in a brick and mortar environment as opposed to online; sole exception is China

    According to the inaugural MasterCard Safety and Security Index, consumers across Southeast Asia and Greater China cited identity theft and ATM-related fraud as the top two security concerns when it comes to electronic payments.

    Some 42 per cent of consumers in Southeast Asia (Indonesia, Malaysia, Philippines, Singapore Thailand, and Vietnam) were most concerned with ATM-related fraud such as a stolen card, card cloning or skimming. In the Greater China markets (China, Hong Kong and Taiwan), this figure was 31 per cent.

    But the biggest surprise was in confidence in shopping online. The Index showed that in general, consumers across Southeast Asia, and the markets of Taiwan and Hong Kong still feel safer paying in a bricks and mortar environment than buying online. China differed, being the only market where consumers felt paying online was safer than in a physical store; even more so than in Singapore.

    Almost every consumer polled in the Greater China markets had made an online payment in the past year. Consumers in China (62 per cent) particularly favored the use of digital wallets in online electronic payments over those in Hong Kong (14 per cent) and Taiwan (29 per cent).

    Consumers across Southeast Asia (35 per cent) and Greater China (32 per cent) were almost as equally concerned about identity theft in relation to data breaches. This includes personal data such as bank details, personal IDs, addresses, and signatures that are stolen or compromised through websites. In both regions however, it appears that these concerns do not directly stem from consumers’ own personal experiences but rather, as a result of the perceived severity of fraud based on what was reported in the media.

    MasterCard chart1

    Meanwhile, the Index also reinforced that banks continue to play a critical role in ensuring payment safety and security for consumers in Southeast Asia. This is both, because of the high levels of trust consumers place in banks as well as the reliance that consumers have on banks to help them resolve issues that crop up in this area.  Banks are often the first line of defense and recourse for the affected consumer – nearly half of all consumers in Southeast Asia who experienced ATM fraud first approached their card-issuing banks for advice.

    “The fact that most cardholders have a primary relationship with their banks, has an obvious and deep-rooted correlation to their sentiment, around who they trust most when it comes to ensuring the safety and security of electronic payments,” said Ari Sarker, oo-president, Asia/Pacific, with MasterCard.

    “This was emphatically reflected in the feedback from all the markets in Southeast Asia and Greater China. However, in Singapore in particular, in addition to banks, consumers also placed significant trust in the government, which is a natural outcome given the country’s strong regulatory environment and overall reputation around safety and security.”

    None of the respondents surveyed in Southeast Asia placed any trust in local websites, suggesting that there is still a lot of work to be done by local eCommerce merchants to ensure that they meet global security standards for payments and build consumer confidence on this front.

    In Greater China, aside from banks and governments, merchants were also seen to have a growing responsibility in ensuring payment safety and security, with 28 per cent of consumers in these markets going to merchants as their first recourse in seeking resolution for payment safety and security issues. Furthermore, merchants in these markets were instrumental in solving 40 per cent of all online electronic payment disputes.

    These and other key findings of the MasterCard Safety and Security Index will be discussed at the MasterCard Global Risk Leadership conference in Singapore on August 26 – 27. The 20th edition of this conference will gather global payment risk leaders to share best practices in fighting fraud together, as an industry. The conference demonstrates MasterCard’s commitment in helping partners and customers fight fraud using the latest tools, processes, and technologies so there is no one weak link in the payments ecosystem.

    The survey was carried out across in six markets in Southeast Asia (Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam) as well as three markets in Greater China (China, Hong Kong, and Taiwan). A total of 6600 consumers and 100 merchants were polled online and face-to-face between January and May 2015 on questions relating to the payments security landscape, payments in brick and mortar and online, safety and security payment concerns and experience with payment fraud, among others.

  • Jollibee opens 3000th store

    Jollibee opens 3000th store

    Philippines-based fast food chain operator Jollibee Foods has surpassed the 3000 store milestone as it reports a 7.4 per cent increase in net income for the first half of 2015, to P2.7 billion (US$58.5 million).

    Sales rose 9.5 per cent, but increased cost of raw materials squeezed profit growth.

    Having reached the 3000 store milestone, the company has no plans to slow its growth.

    “We are on track to open at least 200 new stores in one year in the Philippines, the first time we will able to do so,” said JFC CEO Ernesto Tanmantiong said in a statement.

    “Historically, we were opening 100 new stores per year in the country. We look forward to opening 300 new stores worldwide this year, also a first in our history, with 100 abroad, the bulk of which will be in the People’s Republic of China,” he added.

    “We look forward to JFC’s resurgence to double-digit sales growth in the quarters and years ahead.”

    CFO Ysmael V. Baysa said the group hopes to achieve double-digit growth in 2016 due to the network expansion and improved margins.

    “Raw materials prices are [now] declining, however their benefits on profit margins have been offset by high levels of inventories of materials with still high prices. We deliberately increased our inventories in the Philippines starting in 2014 as a safety measure during a major new system implementation, and as a way of dealing with the logistics and delivery challenges in the country,” Baysa said.

    Jollibee has 2374 outlets in the Philippines and 627 overseas – 3001 in total.

  • SSI Group enters travel retail arena

    SSI Group enters travel retail arena

    Philippines specialty store operator SSI Group has made its first foray into the travel retail sector.

    SSI, through a subsidiary SKL International, has bought a 50 per cent stake in Landmark Management Services which marks its debut in the increasingly lucrative travel retailing category.

    The stake was acquired from duty free distributor Prime and the Regent Asia Group.

    “We are very happy to be part of the development of the travel retail industry. We believe that with SSI’s retailing experience and Landmark’s deep understanding of the unique shopping requirements of travelers, we can expand our market to cover tourists and business travelers,” SSI President Anthony Huang said in a statement.

    Landmark operates duty free and travel retail fashion stores at the Philippines’ larger airports as well as at Fiesta Mall in downtown Manila, under a concession from Duty Free Philippines.

    SSI Group ended last year with 723 specialty stores and 134,000 sqm of retail trading area and was planning to open a further 130 this year, outside this week’s acquisition. The company’s brand portfolio includes Marks and Spencer, Gucci, Burberry, Hermès, Prada, Salvatore Ferragamo, Lacoste, Michael Kors, Kate Spade, Gap, Bershka, Aeropostale, Samsonite, Nine West and Payless Shoe Source.

  • Fusionex eyes Philippines, fuelled by 26% jump in revenue

    Fusionex eyes Philippines, fuelled by 26% jump in revenue

    BIG data and analytics software company Fusionex International Plc will be widening its footprint in South-East Asia by expanding to the Philippines over the next few months, its fourth market in the region.
    The company, listed on the London Stock Exchange’s Alternative Investment Market (AIM), has a presence in Hong Kong, Macau, the United Kingdom and the United States; as well as its home base of Malaysia and South-East Asian neighbours Singapore and Thailand.

    Its expansion strategy is somewhat conservative, but it is already close to securing an anchor customer, Fusionex cofounder and managing director Ivan Teh told Digital News Asia (DNA) in Kuala Lumpur recently.

    “We have been spending time to ensure that we got the right partner, the right place, the right kind of ecosystem, infrastructure and setup.

    “We want to know the market first, so we don’t want to go in and waste two years only to realise the market is not suitable,” he said.

    One may wonder why Fusionex is eyeing the Philippines, where ICT spending is significantly lower than its home market even though its population is triple Malaysia’s.

    According to an IDC report, Philippines’ ICT spending is expected to reach US$6.76 billion this year. In contrast, according to a Gartner report, Malaysia’s ICT spending is estimated to be around RM65.1 billion (US$16.42 billion).

    But Teh, an inaugural DNA Digerati50, said Philippines is a good expansion destination for various reasons.

    “The retail market is booming over there. The shared services and outsourcing markets are exploding too,” he argued.

    According to a Manila Bulletin report, citing the Philippines Retailers Association, the country is expected to see 40 new malls open in 2014 and 2015. The association projected retail sales would reach P1.61 trillion (US$35 billion) by 2016 and P1.78 trillion (US$38 billion) by 2017.

    “Malaysia will remain to be our centre of excellence – a lot of the research and development will be done from Malaysia. Nevertheless, the Philippines is undeniably a booming market,” said Teh.

    For the six months ended March 31, 2015, Fusionex’s revenue increased 26% to RM31.6 million, while gross profit jumped 31% to RM24.9 million. [RM1=US$0.25 at current rates]

    The strong performance was mainly driven by its flagship big data analytics product Fusionex Giant , which has found over 25 customer wins since launch. These companies include the domestic unit Japanese retailer Aeon.

    Fusionex has managed to get other big-name customers this year, including AirAsia; Brother Industries Ltd, a multinational electronics and electrical equipment company headquartered in Nagoya, Japan; and Islamic insurer Syarikat Takaful Malaysia Bhd in Malaysia.

    But for now, all of Teh’s attention will be on ensuring its Philippines expansion goes according to plan, and also that the business runs smoothly post-launch.

    “It’s important for us to set up the right team and to hire the right people. We will also get some of our Malaysian employees to be there for a period of time, just to make sure we have a cultural transition.

    “Then, we want to grow the local talent as well,” he said.

  • Boracay Beach Resort deal secures Mövenpick Hotels & Resorts

    Boracay Beach Resort deal secures Mövenpick Hotels & Resorts

    Mövenpick Hotels & Resorts has secured its own piece of paradise in one of Asia’s most exclusive holiday destinations, having signed a deal to manage the Sol Marina Resort, which will soon be renamed Mövenpick Resort Boracay, in the Philippines.

    Located in the north west of the island on idyllic Punta Bunga Beach, famed for its white powdery sand and aquamarine waters and considered one of Asia’s luxury resort hotspots, the upscale 333-key property will start welcoming guests in December 2015.

    The property will not only shore up Mövenpick’s presence in the Philippines, where it already manages Mövenpick Hotel Mactan Island Cebu, but also bolster the hospitality firm’s portfolio of resort properties in top Asian locations. In Thailand the company operates two resorts in Phuket and one on Koh Samui, while construction is underway on properties in leisure destinations such as Pattaya, Thailand, Quy Nhon, Vietnam and Bali, Indonesia.

    “Signing a property in Boracay is a significant development for Mövenpick, as it cements our presence in one of Asia’s most established resort destinations,” explains Andreas Mattmüller, Chief Operating Officer, Mövenpick Hotels & Resorts, Middle East and Asia.

    “Punta Bunga Beach, with its crystal-clear waters and soft white sand, is unspoiled and truly idyllic, attracting discerning travellers from all over the world from both the upscale leisure and corporate meetings segments.”

    Mattmüller also notes how the Filipino culture marries well with Mövenpick’s ‘We make moments’ guest promise, which guides the hospitality firm’s service ethics world over.

    “The Filipinos have a friendly attitude towards life; in the Philippines you will always receive a warm welcome,” he adds.

    Mövenpick Resort Boracay will comprise a cluster of three buildings nestled around the lagoon pool with most of the resort’s rooms and suites boasting sea views. Designed to give guests the ultimate luxury experience, the Presidential Suite will be housed in a stand-alone villa, featuring two bedrooms and a private pool.

    Key resort features will include family rooms; a kids club for young children and a games area for teens; and several dining outlets including Italian, Japanese and Korean restaurants plus a lobby lounge, beach club and swim-up pool bar. Meetings and events facilities will span a ballroom that can accommodate up to 450 guests for a seated dinner, three multi-function rooms and a boardroom.

    The property’s owner, Ambassador Alfredo Yao, who is also the founder and owner of the Philippines’ largest beverage producer, Zest-O and a partner in AirAsia Zest, Philippines, says signing the management agreement with Mövenpick Hotels & Resorts marks the start of a “new exciting era” for the resort.

    “The rebranding of Sol Marina as Mövenpick Resort Boracay will mark a new beginning for our beautiful property, steered by the capable team at Mövenpick Hotels & Resorts, which has a formidable reputation as one of Asia’s top resort operators,” says Yao.