CEBU, Philippines — The Visayas and Mindanao markets are now the growth driver for the country’s franchise sector, an industry leader said.
Philippine Franchise Association (PFA) chairman emeritus Samie Lim said the industry noted a remarkable growth of interest to venture into franchising business in the southern part of the country, led by major cities like Cebu, Davao, Cagayan de Oro, Bacolod, Iloilo, among others.
Lim noted that start-up brands in VisMin are now starting to put their companies in the franchising market. Likewise, interest of people who want to start a business through getting a franchise is in its highest peak.
Cebu-based franchise capitalist Allen Arvin Angbetic Tan said he ventures into franchising established brands because it is easier to operate and the system of the business is already in place, “all you have to do is to operate and run it.”
Tan runs several franchises in Cebu and other cities in Visayas and Mindanao, including Coffee Bean and Tea Leaf outlets (CBTL), Happy Lemon, Pepperlunch, Chowking (eMall, Parkmall, Pacific Mall, Mango Avenue, Osmeña Boulevard and Naga), among others.
Tan’s family is also the franchisee of Shakey’s Pizza in Cebu and other parts of Visayas and Mindanao.
According to Lim, the young generation now is more inclined on starting a business, rather than looking for employment, and franchising is sort of a short-cut to achieving success in business.
Nationally, the franchising industry grew by the rate of 20 percent to 30 percent, Visayas and Mindanao registered at least 50 percent growth, Lim said.
There are about 2,000 homegrown brands in the Philippines now available in the franchise market.