Po family-led restaurant group Shakey’s Pizza Ventures Inc. (SPAVI) aims to continue expanding, particularly outside of Luzon, even as the industry is still in the process of recovering from the impact of the pandemic on consumer preferences.
According to SPAVI President Vicente Gregorio, they remain optimistic this year as inflation eases and despite the challenges posed by the escalating trade war between the United States (US) and its trading partners.
He noted that the company remains focused on expanding its business in the Philippines and is eyeing the opening of more stores in the Visayas and Mindanao, since average sales continue to grow.
Their Shakey’s brand is looking at opening 20 new stores this year, with half of these to be company-owned, while the others will be franchised outlets. Last year, Shakey’s also added 20.
“That’s where the growth will be coming from in the next couple of years. Remember, the economy is not yet in the best shape. We believe the potential or growth is for long term.
“We’re like a perfect match for those who want better than fast food but lower price than fine dining, so we’re right there. Once the economy improves, that’s where we see a big upside,” said Gregorio.
Shakey’s operates in the casual dining segment of the restaurant market and owns the brand and the rights to franchise and operate Shakey’s Pizza in Asia ex-Japan, Middle East, and Oceania.
At present, SPAVI has Shakey’s stores in Singapore and in the Middle East, although the bulk of its business is still in the Philippines, which is still under-penetrated in many areas.
“But we already have made inroads across international market. We continue to look for the right opportunity to expand internationally,” he said.
For its domestic business, Gregorio said there are still many cities and first- and second-class municipalities where Shakey’s has yet to penetrate.
“It’s (municipalities) something that we’re looking at. Because in some of these places we are considered to be in the high-end. It’s in cities where we are in the casual dining segment. And, because of our low investment and healthier margins, it's easy to make the brand work in Visayas and Mindanao,” Gregorio added.
Currently, SPAVI has around 300 Shakey’s stores out of its 2,483-store network for all of its brands—Shakey’s, Peri-Peri Charcoal Chicken, R&B Milk Tea, Potato Corner, and Project Pie.
“We’re still almost on a 50-50 ratio. We’re also keen on opening more company stores, but whenever a franchise partner come up to us with a good location, we also consider that.
“Depending on the market condition, we have different store models—freestanding stores, mall stores, in-line stores—that we can choose from and decide what is suitable for that specific city or location,” he said.