14th Franchise Expo attract new entrants

CEBU, Philippines - Bullish with the vibrant growth of the franchising industry in Cebu, exhibit organizers expect higher foot traffic and more franchising opportunities to the market for this year’s exposition.

Together with RK Franchise Consultancy, the Filipino International Franchise Association (FIFA) hosted the 14th Cebu Franchise Expo, which ran until March 10 at SM City Cebu Trade Hall. 

RK Franchise Consultancy founder Rudolf Kotik said that the three-day expo showcased 80 booths, 70 national exhibitors and 300 franchising opportunities.

“We are actually happy to be able to fill it up. What we provided was an avenue for franchisors to get investors and for interested buyers to inquire with the business owners. The actual business happens after the expo,” he said.

Compared to previous years, he cited that the 2013 expo is actively participated by new entrants which includes Verband Management, Suds Laundry, YTC, 7-Eleven, Minute Burger, Don Juan, Arte Man printing, Doc Alternatibo, Cocomangas, Ministop and Star Car Wash.

Although majority of the exhibitors are from the food business, he further noted that the non-food business franchise sector is growing triple in terms of service industries attracting interested franchisees.

There were also repeat exhibitors who joined the expo to have additional franchisees again, he said.

For his licensed franchising company, he aims to develop 65 companies which are higher than the targeted 53 companies last year’s exhibit.

As a senior franchise consultant, Kotik also conducted seminars during the expo which included topics on Franchising 101, how to select a franchise, mistakes by franchise buyers, franchising a business, legal franchise requirements, franchise operations manual, the future of franchising, franchise opportunities and trademarking.

Cebu Chamber of Commerce and Industry executive director Buddy Villasis said that the year-on-year growth of new exhibitors joining the exhibit could be attributed to the projects conducted by the chamber on entrepreneurship and micro, small and medium enterprise development, increased purchasing power, growing investment capabilities, movement of goods and services and affordability of small franchises.

He cited that people such as Overseas Filipino Workers, business people and aspiring entrepreneurs actually have the money but do not know where to invest.

“Franchise doesn’t need a lot of requirements. It is just simple, no trial and error. The risk potential is limited since the franchisor has already studied the business. A franchisee already has the operations manual, sufficient training and assistance from the owner himself,” Villasis stated.

According to Kotik, the least capital for franchise carts amounts to P250,000.

Meanwhile, 7-Eleven as a first-time exhibitor of Cebu Franchise Expo expected to receive around 200 inquiries for franchise of the convenience store given the anticipated high foot traffic.

This is according to Philippine Seven Corporation Franchise PR specialist Nicole Angelica Villano who cited that the company targets to reach 40 stores to be built in Cebu within this year.

She said that the expo serves as a marketing effort for the store to enhance its expansion in the Vis-Min areas.

Apart from the positive market reception and high sales turn-out, she added that 7-Eleven continues to be bullish in the Cebu market taking into account the best locations that it has tapped for its expansion program.

Currently, there are 840 7-Eleven outlets nationwide of which 25 stores come from Cebu.  (FREEMAN)