Retail News CRM

Tag: Philippines

  • Low cost carrier Cebu Pacific blames Pratt & Whitney for flight disruptions

    Low cost carrier Cebu Pacific blames Pratt & Whitney for flight disruptions

    Philippine low-cost carrier Cebu Pacific has attributed its series of flight cancellations to engine manufacturer Pratt and Whitney, citing the delay of jet engine deliveries as the reason for operational disruptions.

    This was the essence of the airline’s explanation before a Senate hearing held on June 21, 2023. The hearing was prompted by mounting customer complaints about the airline’s widespread cancellation of domestic and international flights.

    “The global aviation industry has been impacted by Pratt & Whitney engine issues,” Cebu Pacific chief commercial officer Alexander Lao told the senate.

    Lao said that the airline had anticipated the global shortage of jet engines, so it had already placed its order with Pratt and Whitney back in 2022.

    Lao claimed that in March 2023, the American engine manufacturer advised them that “there were no more engines”, as a result of which the airline made adjustments to its flight schedules.

    In a statement published by various local media, the airline said: “While Cebu Pacific provisioned double the level of recommended spare engines as early as last year, we were advised in March 2023 that we would no longer receive the spare engine support that Pratt and Whitney had previously indicated. Immediately upon receiving such advice, we sought to adjust our flight schedule accordingly to minimize the impact. A number of flights, which were scheduled and sold months in advance, inevitably had to be disrupted.”

    One of the senators presiding over the hearing went on to question why the airline continued to aggressively market airfare promos when it knew about the jet engine shortage and limitations.

    Cebu Pacific is known to entice consumers with cheap ticket promotions such as PHP 1.00 fares ( $0.018).

    Over the past few months, frustrated passengers have uploaded video clips showing disgruntled customers dealing with Cebu Pacific’s flight cancellations.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Philippine Airlines inks deal for nine A350-1000s

    Philippine Airlines inks deal for nine A350-1000s

    PAL and Airbus officials sign the Purchase Agreement for 9 Airbus A350-1000s on the sidelines of the Paris Air Show: PAL President Capt. Stanley Ng (center), PAL Holdings President Lucio Tan III (leftmost), Airbus Chief Commercial Officer Christian Scherer (3rd from right) and Airbus Asia Pacific Pres. Anand Stanley (rightmost)

    Philippine Airlines (PAL) and Airbus have finalized a purchase agreement for the firm order of nine A350-1000 aircraft, at the 2023 Paris Air Show held at La Brouget, France this week.

    The A350-1000 will fly on non-stop services from Manila to North America, including to the East Coast of the US and Canada. The new aircraft, able to accommodate 380 passengers in a three-class layout, will join two A350-900s already in service at the airline. Expected time frame for the first delivery was not mentioned.

    Captain Stanley K. Ng, president and chief operating officer of Philippine Airlines, said the order will see PAL operating one of the youngest and most modern widebody fleets in Asia.

    “We selected the A350-1000 to give PAL the power to match capacity closely to predicted demand on both the very longest routes to the North American East Coast but also on our prime trunk routes to the West Coast and potentially to Europe as well. At the same time the aircraft will use significantly less fuel than older aircraft of a similar size, which also brings an important reduction in carbon emissions.”

    Airbus claims the A350 offers the longest range capability of any commercial airliner in production today and is capable of flying 9,700 nautical miles or 18,000 kilometers non-stop. For cargo, it has a payload of 68 tonnes and a capacity of 44 LD3 containers. So far, only Qatar and Virgin own an A350-1000.

    Lees ook:

    Lees ook:

  • Spanish footwear label Toni Pons opens first store in the Philippines

    Spanish footwear label Toni Pons opens first store in the Philippines

    When it comes to espadrilles, Toni Pons, a Spanish footwear company, is known as one of the pioneers in this design concept. Finally, the brand has officially opened the doors to its first official store in the Philippines at SM Megamall and Robinsons Place Manila. 

    Down the memory lane

    In 1946 Spain, Toni Pons founder, Antoni Pons Parramon, created the first traditionally-made espadrilles using jute or rubber in Osor, a small village near Girona. More than 75 years later, Toni Pons is now selling in different parts of the globe. 

    Influenced by the land where it was born, the Toni Pons brand maintains its Mediterranean character. The relaxed and carefree vibe of the region has accompanied the brand all throughout its history. The brand’s aesthetic of easy elegance and freshness is very befitting for a tropical country such as the Philippines, especially during the summer season. 

    On the Philippine market

    To make sure that there is something for everyone, the brand brings a wide array of collections in the country—from kids’ and men’s to bridal footwear. On top of that, the brand also introduced some of its other pieces such as bags and belts.  

    During the brand’s official launch last May 16, 2023 at SM Megamall, Fashion Hall, Jordin Pons, Toni Pons’ founder and president, told Manila Bulletin Lifestyle that the brand is looking forward to creating Philippine exclusive designs and incorporating local sustainable materials in the future designs. 

    “We know that the Philippine market is not new with handmade shoes, but we are not here to compete but to bring a new concept which is the espadrilles,” he said. “As a brand, we like to say that we arrive to a lot of people because we also do men’s, women’s, kid’s, and shoes for special events.”

    The event is an ode to summer as it celebrates its launch with a dance-infused fashion show. The show featured the Philippine Allstars as they strutted down the runway in their Toni Pons shoes, capping off the event with a dance number that is reminiscent of the movie musical, “Mamma Mia.” The brand is planning to open a total of 15 stores in the country by the end of the year. Last May 20, 2023, they opened a store at  The Hue Hotel Boracay.

  • AirAsia reopens international routes from Cebu and Manila

    AirAsia reopens international routes from Cebu and Manila

    AirAsia Philippines is strengthening its international presence in two of its major hubs – Manila and Cebu, with the return of the Manila-Shanghai flight and two new routes out of the Queen City of the South to Shenzhen and Narita.

    ‘The reopening of international routes is part of AirAsia Philippines’ recovery plan. We believe that the Filipinos’ hunger for travel is now strongly backed by opening more international destinations as shown in our forward bookings until the rest of Q2. As the World’s Best Low-Cost Airline that pioneered affordable air travel, we will continue to give our guests the best value for their money,’ said AirAsia Philippines Communications and Public Affairs Country Head Steve Dailisan, announcing that two new flights out of the Mactan-Cebu International Airport (MCIA) will be opened in June and July 2023.

    The Cebu-Shenzhen, China direct flight will be launched on June 2, 2023, while the Cebu-Narita, Japan route will be opened on July 1, 2023.

    On the other hand, the Manila-Shanghai flight which is set to open on 1 July is the last piece in AirAsia Philippines’ China network following the reactivation of the Manila-Shenzhen flight last month.

    The re-opening of more international direct flights, Dailisan said is seen to revitalize further the travel experience of the Cebuanos and other travelers from Central Visayas as they no longer have to transit to Manila to reach these exciting destinations.

    To invite more travelers from Manila and those from Central Visayas – Cebu, Bohol, Siquijor, and Negros Oriental to travel via MCIA, the World’s Best Low-Cost Airline is offering a PHP 1 one-way base fare to Tokyo, Shenzhen, and Seoul, Kaoshiung, Kuala Lumpur, and other international destinations for flights from 3 April to 31 October that are booked until 30 April 2023.

    AirAsia Philippines also reminds its guests to allot four hours for international travel to facilitate check-in procedures and other travel requirements. Those traveling light who are carrying hand-carry luggage are likewise advised to check in via the AirAsia Super App or through the self-check-in kiosks at the airport.

    Guests are also advised to accomplish the eTRAVEL form 72 hours before departure and arrival via etravel.gov.ph.

    Likewise, guests are encouraged to take advantage of the online payment for travel tax via tieza.gov.ph.

    Lees ook:

    Lees ook:

    Lees ook:

    Lees ook:

  • Jollibee Foods Corporation gears up to open 600 stores this year

    Jollibee Foods Corporation gears up to open 600 stores this year

    Home-grown fast food giant Jollibee Foods Corp. (JFC) is planning to expand its global presence by opening up to 600 new stores this year.

    In a Thursday disclosure to the Philippine Stock Exchange, JFC said it plans to open 550 to 600 owned and franchised stores in 2023.

    With this, the company expects its capital expenditures to range from P17 billion to P19 billion this year.

    This year, the quick-service restaurant chain’s expansion plan could be the biggest in its history, exceeding the record 542 stores openings in 2022.

    At the end of 2022, JFC operated 6,480 stores worldwide —3,285 in the Philippines and 3,195 internationally.

    The company booked a net income of P7.338 billion in 2022, up 33.4% from P5.502 billion in 2021 driven by P211.9 billion in revenues, which grew by 38% year-on-year.

    “Looking ahead, while we expect macroeconomic challenges to persist in 2023, we are confident that the JFC Group is resilient and well-positioned to drive near-term growth. We have clear priorities on profitability while we continue to invest strategically to deliver long-term growth and value for our shareholders,” said JFC CEO Ernesto Tanmantiong.

    Lees ook:

  • Philippines’ baby food market to shrink by 4.5% annually until 2028

    Philippines’ baby food market to shrink by 4.5% annually until 2028

    The baby food market in the Philippines is expected to decline by 4.5% on average annually to reach $826.7m by 2028 as the government pushes for public access to contraceptives and family planning that resulted in childbirth rates.

    In a report, GlobalData said the rising inflation will also contribute to constraining spending on baby food products.

    “Demographic changes taking place with respect to the baby population and live birth rates, and the government’s measures to restrict the number of births coupled with an increase in the number of working women will contribute to a decline in the Philippines’ baby food market,” said Shraddha Shelke, consumer analyst at GlobalData.

    Within the sector, baby milk was the largest category in terms of value and volume in 2022, with a GlobalData survey showing 47% of 369 respondents saying they spent a very or quite high among on baby milk in the fourth quarter of the year. Around 43% also said they spent a high amount on baby food.

    Per capita expenditure on baby food in the country increased to $267.1 in 2022 from $204.1 in 2017 due to a high inclination for high-quality products, exceeding the regional level of $177.3 and $167.2 globally.

    But as the economy rebounds, following the high inflationary pressures, consumer spending is seen to recover in value sales and reach $271.2 by 2027.

    “The Philippine baby food market’s growth is tied to the economic fortunes of the country. The rising disposable income of Filipino families with babies will stimulate sales of premium and organic baby food products,” the analyst said.

    “To build a stable consumer base in the country amid changing demographic conditions, manufacturers should focus on offering affordable premium baby food products with value-added benefits,” Shraddha added.

  • Cebu Pacific restores flight network

    Cebu Pacific restores flight network

    Cebu Pacific is set to restore 100% of its pre-Covid network and capacity by March 2023. It now flies to 34 domestic destinations and is set to bring back all its 25 international destinations before the end of the first quarter.

    To support the return of domestic flights, the low-cost airline bundles fares to offer passengers a discount of up to 28% on their baggage, seat, and CEB Flexi fees when booking directly through the airline booking website.

    CEB offers three fare bundle options; Go Basic, Go Easy, and Go Flexi.

    On the Go Basic option, you pay for your fare and get one hand-carry baggage weighing up to 7 kg for free. With Go Easy, you can choose your standard seat and check in one piece of baggage weighing up to 20 kg.

    Score the biggest discount on your seat and baggage fees and automatically get a CEB Flexi add-on with Go Flexi. This allows you to cancel your flight, store its amount in your Travel Fund, and get all the benefits of the Go Easy bundle.

    Each fare bundle must be purchased at the initial booking for the discount to apply. CEB Fare Bundles cannot be refunded, transferred to another passenger, or stored in a Travel Fund without a purchased CEB Flexi add-on.

  • Watsons opens 1000th Philippine store

    Watsons opens 1000th Philippine store

    Health and beauty retail giant Watsons has opened its 1000th store in the Philippines – which is also its largest in the country yet.

    Coinciding with the company’s 20th anniversary in the Philippines, the new store located in The Block, SM City North Edsa, spans nearly 1000sqm and displays a range of products the company says “takes the shopping experience to the next level”.

    “This new flagship store is important in the nationwide expansion in this beautiful country as it’s a clear demonstration of Watsons’ determination to strengthen our connection with customers via seamless O+O (online-to-offline) platforms,” said Dominic Lai, group MD of Watsons, who attended the opening event.

    “O+O platform strategy is at the core of our business to create an integrated experience, to better serve customers anytime, anywhere.”

    The interactive O+O experience includes several tools online and on-site, including a Skinfie Lab, a skin analysis tool that creates personalised skincare recommendations from selfies; a #ColourMe Virtual Makeup tool that lets customers try cosmetics digitally; a virtual consultation and remote physical examination in partnership with The Medical City; and a Supplement Finder.

    Using its 1000-strong store network in the country, Watsons also offers customers an online express delivery service that can deliver their products within three hours or pickup orders in-store within 30 minutes via Click and Collect Express.

    In addition, the company also aims to support customers’ sustainable lifestyles by offering more than 1500 eco-friendly products under Clean Beauty, refill packs, better packaging, and better ingredients.

    “Looking ahead, we’re committed to continuing our expansion in the Philippines and the rest of the world,” Lai concluded. “Besides bringing pleasurable O+O shopping experience to our customers, we want to engage our customers to do good to the c

    Lees ook:

  • Cebu Pacific aims to boost demand for Manila – Hong Kong travel

    Cebu Pacific aims to boost demand for Manila – Hong Kong travel

    Cebu Pacific (CEB) said on Sunday it will now fly four times daily to Hong Kong, but hopes to boost demand by offering airfare discounts.

    “After Hong Kong eased requirements for inbound travelers in December, the airline operated Manila-Hong Kong flights 32 times weekly until January due to the anticipated high traffic over the resumption of the destination amid the holiday season,” Cebu Pacific Director for Corporate Communications Carmina Reyes-Romero said.

    Cebu Pacific will fly 28 times weekly for February. The budget carrier hopes Filipinos will “take advantage of the easier travel protocols in Hong Kong,” Cebu Pacific said in an e-mailed statement.

    The airline targets to restore 100% of its pre-pandemic network and capacity in March this year.

    The budget carrier currently flies to 34 domestic destinations and is set to restore all its 25 international destinations in the first quarter.

    “Even better, every Juan can fly to Hong Kong for as low as P499 one-way base fare, made possible by a CEB special seat sale which runs from Jan. 27 to 31, 2023,” the airline said.

    The travel period is from June 1 to Aug. 31 this year.

    “Upon check-in, travelers must present a negative result from an antigen test taken within 24 hours or a negative 48-hour RT-PCR result, and a proof of vaccination of primary doses for non-Hong Kong residents aged 12 or above,” Cebu Pacific said.

    It noted that the test results may also be submitted online through Hong Kong’s health and quarantine information declaration website (https://www.chp.gov.hk/hdf/). Travelers are reminded to keep photos of their test results for 90 days.

    Arriving travelers are also encouraged to take a self-arranged antigen test daily until the fifth day from their arrival.

    Cebu Pacific said that the results of the antigen tests may be reported through the Hong Kong government’s electronic monitoring and surveillance system

    Lees ook:

    Lees ook:

  • Cebu Pacific looking to restore Clark flights

    Cebu Pacific looking to restore Clark flights

    Cebu Pacific is working to restore more of its flights in other air hubs in the Philippines, such as Clark International Airport, the budget carrier’s president told reporters last week.

    “We will be happy to resume flights at Clark and the other destinations we used to fly in,” Xander Lao, president and chief commercial officer, said. “Actually, when we said we were back at 100 percent operations, it referred to the seats and not actually to our fleet. From a pacing perspective, we are not there yet. For now, it is a matter of connecting the points and going from there.”

    He continued that on whether there is a possibility of moving some of their flights from the Ninoy Aquino International Airport to Clark International Airport, he said they are open to that idea.

    “Honestly, we welcome any capacity growth that comes from the market, but I think it should come down to the airlines on where they would want to designate flights to,” the Cebu Pacific president remarked. “We think Clark on its own has a lot of potential as it has around 20 million people in its catchment area, but Clark from Manila is very far as it is around 100 kilometers apart. It will be hard to convince businessmen or some passengers to travel that far to an airport.”

    Lao said that it is very good that the government is trying to improve the airport infrastructure in the Philippines, and said that they are excited about its various developments.

  • Cebu Pacific receives first of 10 expected Airbus NEO deliveries for 2023

    Cebu Pacific receives first of 10 expected Airbus NEO deliveries for 2023

    Cebu Pacific (CEB) received on Jan 1 the first of the 10 expected brand new airbus NEO (New Engine Option) deliveries for the year: three A320neo, four A321neo and four A33neo. It is also the airline’s ninth Airbus 320neo.

    The aircraft used sustainable aviation fuel (SAF) from the Airbus Hamburg facility in Germany to the Ninoy Aquino International Airport (NAIA) in Manila.

    “This SAF-powered aircraft delivery supports our sustainability strategy in shifting to a more fuel-efficient NEO fleet by 2028. We will continue prioritizing our sustainability journey as we maintain our position as the greenest airline in Asia,” said Alex Reyes, chief strategy officer at Cebu Pacific.

    SAF is a drop-in fuel, which can be an interchangeable replacement for fossil fuels. It does not require any adaptations to the aircraft or engines and has no negative impact on performance or maintenance. Using SAF results in an up to 80 percent reduction in carbon emissions across the SAF lifecycle.

    CEB is the first low-cost carrier in Southeast Asia to incorporate SAF into its operations when it delivered its third A330neo in May 2022.

    CEB’S sustainability goal aligns with global aviation’s commitment to achieving net zero carbon emissions by 2050. The airline has made various investments that enable it to become fuel-efficient in its operations to keep fares affordable for passengers.

    Besides fleet modernization, the airline’s major pillars on its sustainable journey are resource optimization, which includes pushing for fuel efficiency best practices and utilizing SAF by launching green routes by 2025.

    CEB’s fleet is composed of 21 A320ceo, nine A320neo, seven A321ceo, 10 A321neo, four  A330ceo, four A330neo, 14 ATR 72-600, six ATR 72-500 and two ATR Freighters.

    Lees ook:

  • Dr Martens shuts all stores in the Philippines

    Dr Martens shuts all stores in the Philippines

    German-founded British footwear and apparel brand, Dr Martens, has closed all of its physical stores in the Philippines.

    The brand announced on social media that it closed all of its remaining four stores in Glorietta 4, SM Mall of Asia, SM Megamall, and Manila Bay by the end of last month. However, Dr Martens did not disclose the reason behind its physical withdrawal from the market.

    Local sources said Dr Martens started shutting its stores in the country last February, including its flagship store in Two Parkade BGC.

    UK-based footwear retail reported a 13 percent year-on-year increase in revenue, reaching US$507 million in turnover for the first half of the fiscal year 2023. The brand opened 21 new stores and closed five stores during the period.

    “Although there are economic challenges ahead, we are well positioned for future growth,” said Kenny Wilson, CEO of Dr Martens.

    Dr Martens’ store closure in the Philippines occurred despite the market having seen growth in sportswear spending. Last month, US sneaker chain Foot Locker expanded into the country with the first store opened inside Manila’s Glorietta shopping mall under the partnership with Indonesian retailer MAP Aktif Adiperkasa.

    Lees ook:

    Lees ook:

  • AirAsia Philippines expects demand for foreign flights to rise

    AirAsia Philippines expects demand for foreign flights to rise

    Low-cost carrier AirAsia Philippines has already booked close to 300,000 seats for January 2023 as it begins its quest to return to pre-pandemic capacity and boost international travel.

    Based on data, AirAsia Philippines said that forward bookings for January had already reached 285,000. This is 70 percent higher than the seats booked a year ago.

    With only a few days left in 2022, AirAsia Philippines CEO Ricky Isla said AirAsia Philippines appears on track to end the year strong.

    On the domestic side, Isla said AirAsia Philippines had posted a load factor of 93 percent as of Dec.19. This means that nine in every 10 seats per flight were booked. Zamboanga remains to be the top performer with a load factor of 98 percent, followed by Puerto Princesa and Roxas with 95 percent each.

    On the other hand, Bangkok tops the list among international routes of AirAsia Philippines with a load factor of 92 percent.

    Isla said Incheon placed second with 90 percent.

    AirAsia Philippines expects demand for overseas travel to rise in 2023, fueled by the downward trend in ticket prices and the continuous lifting of border restrictions.

    “We are seeing a robust travel demand for next year, especially as travelers now become more comfortable with locking their trips ahead of time,” Isla said.

    “A more relaxed protocol for international destinations has also set the pace for outbound travel, which we expect to pick up next year as we open new exciting destinations,” he said.

    Lees ook:

    Lees ook:

  • Philippines’ Jollibee in talks to sell a stake in Vietnam’s Highlands Coffee

    Philippines’ Jollibee in talks to sell a stake in Vietnam’s Highlands Coffee

    Jollibee Foods Corp, the biggest fast-food operator in the Philippines, is in advanced discussions to sell a minority stake in its Vietnamese coffee chain Highlands Coffee, two sources with knowledge of the matter told Reuters.

    Jollibee, controlled by Philippine billionaire Tony Tan Caktiong, is considering a sale that could value the fast growing coffee chain at roughly $800 million, one of the sources said, declining to be named as the information is confidential.

    The group is looking to sell 10% to 15% of its stake in Highlands Coffee to an investor, the source added, declining to name the party.

    Jollibee declined to comment. Highlands Coffee did not respond to requests seeking comment on Tuesday.

    Jollibee initially bought a small stake in Highlands Coffee a decade ago and then took a controlling interest. Highlands Coffee, which was established in 1999, began as a coffee products packager in Hanoi and has since grown to become a chain with more than 500 stores in Vietnam and the Philippines.

    The sources said the stake sale, if successful, could eventually pave the way for an IPO of Highlands Coffee, a move that Jollibee has been considering since many years.

    Vietnam, with a population of 99 million, is Asia’s fastest growing economy with gross domestic product seen expanding 8% this year and 6.5% next year, the government said last month.

    A boom in coffee drinking has spawned big domestic brands in Southeast Asia. Last year, Indonesian coffee chain Kopi Kenangan was valued at more than $1 billion in a funding exercise.

    Jollibee has been rapidly expanding overseas and especially across Southeast Asia, aiming to capture growing consumer spending in the region of some 680 million people.

    Jollibee operates the largest food service network in the Philippines with more than 1,500 stores in 17 countries, including U.S. brand Coffee Bean & Tea Leaf and its own fast-food chain with the ubiquitous smiling bee logo.

    Lees ook:

  • E-commerce giant Carousell lays off 110 staff

    E-commerce giant Carousell lays off 110 staff

    Carousell, a Singaporean consumer-to-consumer (C2C) service platform operating across Southeast Asia, is letting go of about 110 employees, or 10% of its total headcount, to reduce costs amid a challenging market condition for the tech industry. 

    The announcement came from the company’s blog on Thursday, posted by co-founder and CEO of Carousell Siu Rui Quek, saying, “I take responsibility for the decisions that have led us here. Parting with teammates, whom we are grateful to for joining us on this mission, is a very difficult decision.” 

    Carousell did not specify which business units or regional offices would be affected by the layoffs. The Singapore-headquartered company operates in Malaysia, Indonesia, the Philippines, Cambodia, Taiwan, Hong Kong, Macau, Australia, New Zealand, and Canada. 

    In the statement, the company’s leaders had discussed finding ways, including moving to an inexpensive rental office and slashing co-founders and executives’ salaries voluntarily to save budgets without cutting staff. But that was “far from enough,” it said.  

    Quek also explained in the blog post that he “was too optimistic” about the recovery from the COVID pandemic and even doubled down on recruitment and investment for its business. “The reality is that we were quick to grow our expenses and hire, but the returns took longer than expected,” Quek wrote. “It is important to act swiftly, course correct, and right-size our investment levels to better align with this new reality.” 

    The affected workers will receive at least three months’ salary and be able to extend their medical benefits and insurance coverage through June next year. According to the statement, the company will also pay out all remaining time off balances and offer career counseling and job search support, letting those laid-off workers keep their office laptop and LinkedIn Learning membership until June 2023. 

    Founded in 2012, Carousell, backed by Sequoia Capital India, Naver, 500 Global and Rakuten Capital, has raised a total of $372.6 million since its inception.