Getting stronger and bigger

At 100 stores after over three decades of operations, Shakey’s seems to lag behind its competitors in the pizza sector, which have grown their networks to over 200 in just a few years. But the store network of Shakey’s Philippines is even bigger than the 70-store chain of its peers in the United States, where it started.

But Vicente Gregorio, general manager of the International Family Food Services Inc., operator of the Shakey’s store brands in the country, is quick to add: “We are not in the numbers game. We want to be known more for quality service, quality food and wholesome family restaurants.”

Shakey’s projects to grow its store network by 10 to 12 in 2009 and would maintain a ratio of 60 percent company owned and 40 percent franchised outlets, Gregorio said.

Part of the packaging of Shakey’s into a fun family restaurant is its transformation of four outlets into a complete image of traditional Shakey’s with benches and long tables, to smaller tables and individual chairs for functions, meetings and social gatherings and a fun zone (similar to those operated in malls) for children to play in while their oldies are busy socializing, Gregorio said.

Shakey’s four flagship outlets are located in: E. Rodriguez (beside St. Luke’s Medical Center) in Quezon City; Lipa, Batangas; Paseo de Roxas in Makati and Las Piñas, Parañaque.

The store on E. Rodriguez, measuring 400 square meters can easily accommodate 180 persons and is separated by a glass door where individual chairs and tables can be secluded from the rest of the floor for exclusive parties, functions, meetings and presentations. The main floor contains a huge screen that plays cable TV and which on certain schedules will run the ladies volleyball games that Shakey’s has been sponsoring for the past five years. Called the V-League, this volleyball inter-school tournaments are even more awaited and popular than the UAAP of basketball, Gregorio said.

Since its introduction in the Philippines by San Miguel Corp. (which used Shakey’s as the venue for launching its draft beer line in the early eighties), Shakey’s has gone through so much transformation. At one point it became a family restaurant, then a rock and roll outlet (which diminished its prestige) and then into a fastfood chain and now back into a wholesome family restaurant, Gregorio narrated.

“We position ourselves from the A, B and upper C markets which is why our products are priced higher than our competitors since we guarantee value for money to our customers,” Gregorio said.

Shakey’s has not been very aggressive in pushing its franchising program, but would rather select carefully its would-be partners, “because we want them to grow with us and we want to assure our shareholders that their investments are all well worth it getting into Shakey’s,” Gregorio said.

“Our franchisees have as much stake in the company and they also give their views and suggestions to us that we value and implement to the extent possible,” he added.

The investment for a Shakey’s franchise could range from P9 million to P15 million, depending on the size of the outlet. Gregorio said that the franchisee will just wait for the outlet to be turned over to him/her. The investment for the size of Shakey’s outlet on E. Rodriguez Avenue is P15 to P18 million (including the fun zone).

“We have also done a lot of improvements in our food by offering salads (for the health conscious); pizza (the core business); chicken meals; potatoes (mojos and garlic fried); pasta (spaghetti with monster meatballs or carbonara); thick fruit shakes; desserts; soups and a lot more,” Gregorio said.

“We try to have everything possible that anybody (from all ages) would look for in a family   restaurant,” he said.