Tag: Max’s

Max’s maps expansion as mid-income class grows

Report by Denise A. Valdez
Published online by the Business World, November 4, 2019

THE growing middle income class in the Philippines has made it the perfect time for Max’s Group, Inc. (MGI) to expand, and the company is putting all hands on the table to prepare for boodle fight.

The listed operator of casual dining restaurants said the increasing number of middle income earners is encouraging it to take a bigger chunk of the market through franchising.

“If you look at the consumer trends, it’s looking very optimistic. Data shows there’s an increasing middle income class. That alone is very attractive as a business,” MGI Chief Operating Officer (COO) Pyrus A. dela Cruz said in an interview last week.

“We’ve been targeting them (for years), and they’re the ones growing, so that becomes a bigger opportunity for us,” he added.

MGI, which handles brands such as Max’s Restaurant, Pancake House, Yellow Cab Pizza and Krispy Kreme, is targeting to have more franchises than company-owned stores across the country by 2020.

“We’re moving towards a 60-40 ratio, meaning 60% will be franchise and 40% will be company-owned,” John S. Amante, MGI COO handling Pancake House, said last week. MGI is looking to end the year with a 55-45 ratio for franchise to company-owned stores by the end of the year.

“It will be very hard to expand company-owned (stores) outside our homebase which is Metro Manila. I think local knowledge, especially in Visayas and Mindanao, will help us further develop the brands,” Mr. Amante added.

As of 2018, MGI has 695 stores across 10 brands, of which 411 are company-owned, 219 are franchises, six are joint ventures and 59 are international.

The 10 brands are Max’s Restaurant, Pancake House, Yellow Cab Pizza, Krispy Kreme, Teriyaki Boy, Dencio’s, Sizzlin’ Steak, Jamba Juice, Kabisera and Maple. MGI also owns Max’s Corner Bakery, which are attached to Max’s Restaurant branches.

Aside from expanding its geographic footprint, the company is also seeking to tap newer markets consumer-wise. Mr. Dela Cruz, who handles Yellow Cab Pizza and Krispy Kreme, said there is an active effort for the company to mainstream its products.

Among the strategies it is exploring is offering items for single customers at more affordable prices. For example, Yellow Cab has started offering pizza slices from only full-size pizzas previously. Max’s Restaurant also now offers rice bowls of its best-sellers that used to be only for sharing.

“It’s our way of giving our consumers a taste of our brands without actually breaking the bank, and at the same time, their first entry and experience to our respective brands,” Mr. Dela Cruz said. “It’s not just an expansion as far as landscape is concerned. It’s also an expansion as far as target consumers are concerned.”

Paolo S. Serrano, MGI COO handling Max’s Restaurant, also noted how the digitalization of its operations helps the company craft its next move. He said the data they gather is able to help them analyze consumers, and from there come up with offers. “And it’s very mainstream already moving forward,” he said.

The company is targeting to open more multi-brand stores next year, which will feature various MGI restaurants under one roof. Mr. Serrano said having all these brands within its portfolio gives the company confidence in staying relevant despite the entry of several foreign restaurants. The group’s pool of menus of various cuisines helps it find consumers for every product, making multi-brand stores interesting for all types of market.

For this effort, Mr. Dela Cruz said it is helpful that the different COOs for different brands are able to come together to synergize operations. Externally this is seen through multi-brand stories, but internally this means a stronger backend support for its supply chain.

He also said having independent teams running the brands helps allow different ideas to flourish. “It gives us confidence even more as we move forward to the next year and the years forward, because coming from different backgrounds, we give each other different points of view on what we can do better,” Mr. Dela Cruz said.

With a loaded team paving the way for the company to grow, MGI is bracing itself for what Mr. Serrano calls the upscaling of the Filipino amid the turn of the decade.

“From our standpoint, it’s actually the best outlook that we can think of. It’s the perfect storm for us,” Mr. Dela Cruz said.

Earnings of MGI rose 10.4% to P366.45 million in the first semester on the back of improved margins. Its shares inched up 0.04 points or 0.30% on Thursday to close at P13.24 apiece.

This article is originally published by the Business World which can be accessed online at https://www.bworldonline.com/maxs-maps-expansion-as-mid-income-class-grows/

Max’s turns 72

from: Manila Standard Lifestyle, November 19, 2017 at 04:40 pm

For over seven decades, Max’s Restaurant has become synonymous with genuine home-style Filipino food, and has become a favorite venue for countless Filipino celebrations. Known as “The House That Fried Chicken Built,” the brand’s Sarap-To-The-Bones Fried Chicken has been enjoyed by millions since it was first introduced in the Philippines in 1945.

“We owe a lot of our success to many Filipinos and their families here and abroad who keep on coming back for our genuine food and thoughtful service. Max’s Restaurant started as a home café that served hearty and delightful meals, and we are proud that it resounded well to millions all over the world. We have reached this milestone and many others because we are inspired to serve only the best Filipino food with love and for love,” shares Ariel Fermin, Max’s Restaurant COO.

Max’s drive to continuously innovate has been felt with its numerous initiatives in the past year. It is a brand that strives to put out new ideas, products, and campaigns to respond to its customers’ needs, particularly those from the younger segment who might not be familiar yet with the brand.

“The House That Fried Chicken Built” commercial launched recently is a testament to how the brand is constantly thinking of new ways to express itself to make it more alive and relevant to its customers. It is a completely fresh approach, but still grounded in the brand’s Pinoy values as evidenced by the inclusion of classic OPM tunes like “Rock Baby Rock,” “Bongga Ka ‘Day,” and “Sumayaw Sumunod” as the ad’s soundtrack.

The introduction of its new Crispy Pata and Kare-Kare Rice Bowls earlier in the year was received well by its customers, prompting the release of new additional flavors such as Fish Fillet in Black Bean Sauce, Chicken Sisig, Adobo, Pork Barbecue, and Pata Tim. This solo version of Max’s signature dishes has made the brand go beyond the historically associated formal events and gatherings, to one that is more relaxed and friendly for more casual visits.

Pastry products sold at Max’s Bakery 

“Tapping the younger market has been crucial for us and we knew that most of the things we were doing in the past might not appeal so much to the younger generation. That’s why we wanted to shake things up a bit and do things differently. Of course, we were still conscious of the values strongly associated with the brand so this is just a different side of who Max’s has always been,” adds Fermin.

To have a tangible showcase of how Max’s has been evolving, it recently opened its new concept store in Shell NLEX Mexico, which features a new Instagrammable plant wall, new murals, and quirky lighting. The uniforms of the store’s team members also echo this easy vibe with a new jeans and sneakers outfit.

As Max’s celebrated its 72nd birthday last month, the brand invited customers to experience for themselves the many things they have prepared to show that there is still more to love with the brand.

“We are thankful to the Filipino people for the many years of great food and delightful experiences they have shared with us. This is our way of sharing in the joy of their personal milestones, and we hope to have several decades more with them to show how there will always be more to love with their favorite Max’s Restaurant,” ends Fermin.


*This article is copied from Manila Standard published in their newspaper and is available online at http://thestandard.com.ph/lifestyle/food/252043/max-s-turns-72.html.

Max’s to open first branch in Washington state by next year

by BusinessWorld, September 27, 2017

MAX’S Group, Inc. (MGI) is ramping up its overseas expansion with the signing of its sixth development agreement for 2017, which will see the opening of the first Max’s Restaurant in Washington state by next year.

In a statement issued on Tuesday, MGI said it has inked a deal with JS Restaurant LLC to open a Max’s Restaurant in Tukwila, a suburb south of Seattle in Washington.

“We are witnessing the fastest rate of expansion in North America. For this year alone, we opened three new Max’s Restaurants across New Jersey, Calgary, and San Diego. Moreover, we have another two stores in the pipeline for 2018 to be located in Winnipeg and Tukwila,” MGI Chief Executive Officer for International operations Peter H. King said in a statement.

MGI last week signed a deal with Canada’s Alibin Group, Inc. for the establishment of the first Max’s Restaurant in Winnipeg, Canada. This adds to the 27 Max’s franchised outlets abroad.

Established in 2012, JS Restaurant LLC is a private firm in Washington that offers medical services. MGI noted that owners of the company, who have been residing in Tukwila for two decades now, have established connections and alliances in the area that will help grow the branch.

“We are thankful to have been entrusted with a well-loved Filipino brand. We are determined to extend the Max’s Restaurant tradition of excellence in food quality and heartwarming service to our customers in Tukwila,” JS Restaurant Managing Director Joselito Santos said in a statement.

With its sizeable Filipino community, Tukwila already has branches of Jollibee and Chowking, as well as Seafood City, a supermarket selling Filipino and Asian products.

For his part, MGI President and Chief Executive Officer Robert F. Trota said the partnership gives them another chance to share the Max’s brand to Filipinos residing in the area.

“This is another exciting moment for us to provide our countrymen based in the United States a genuine taste of home. We are grateful to be in partnership with JS Restaurant LLC to serve our best-in-class products to the community of Tukwila,” Mr. Trota said.

Earlier this year, MGI said it has allotted P600 million to P700 million to roll out 60 to 70 new stores for 2017, in an effort to hit the 1000-store mark by 2020.

MGI recorded a 12% increase in its attributable profit for the first half of 2017 to P329 million, as store expansions pushed revenues 11% higher to P6.05 billion during the period.

Shares in MGI fell 24 centavos or 1.25% to P19 apiece at the Philippine Stock Exchange on Tuesday. — Arra B. Francia

*This article is copied from BusinessWorld as published in the newspaper, Sept. 27, page S1/3. This is also available online at http://bworldonline.com/maxs-open-first-branch-washington-state-next-year/

Max’s coming to Winnipeg, Canada in 201

By: Doris Dumlao-Abadilla – Reporter / @philbizwatcher /Philippine Daily Inquirer / 02:45 PM September 20, 2017

The country’s leading casual dining chain Max’s Group Inc. (MGI) is expanding its footprint in Canada with a new deal to set up shop in Winnipeg, the capital city of the province of Manitoba, by next year.

In a disclosure to the Philippine Stock Exchange on Wednesday, MGI announced that the group had signed a deal with a local partner, Alibin Group Inc., to bring Max’s Restaurant to Winnipeg by 2018.

“We welcome the opportunity to once again serve distinct flavors of home to our countrymen based in Canada. We will strive to become part of their growing list of preferred dining destinations through our classic bestsellers,” said MGI president and chief executive officer Robert Trota.

This signifies the fifth offshore store development agreement inked by MGI for 2017.

To date, Max’s Restaurant currently operates five stores in Canada. It previously opened restaurants with the help of other partners in Vancouver, Toronto, Scarborough and Edmonton. This is so far the only brand in its portfolio brought by MGI to Canada.

“Existing stores are doing well. Customers also include non-Filipino diners,” said MGI investor relations officer Paul Cheah, when asked about how this Filipino brand was faring in Canada.

“Our tie-up with Alibin Group will anchor the success of this endeavor. They are equipped with the necessary knowledge and business acumen to foster our shared vision,” Trota added.

Alibin Group is a privately held Canadian company, comprised of family shareholders and operators which is into the retailing business, food services, accounting, finance and private capital market, architectural and information technology. Winnipeg has been the Alibin family’s home turf since early 1990s, where they have formed business network and alliances integral in marketing for their businesses.

“We are honored to be in partnership with Max’s Group Inc. and ecstatic to spread the standards, tradition and experience set by its founders in Winnipeg. Our extensive research determined that the people of Manitoba have been clamoring for a Max’s Restaurant,” said Alibin Group managing director and chief executive officer Hipolito Alibin Jr.

Max’s Restaurant currently operates a total of 175 stores including 27 franchised branches overseas. Including other brands such as Pancake House, Yellow Cab and Sizzlin’ Steak, MGI group operates a total of 655 stores, including 55 franchised outlets abroad located across North America, Middle East and parts of Asia.

*This article is originally published online by the Philippine Daily Inquirer at: http://business.inquirer.net/237190/maxs-coming-winnipeg-canada-2018#ixzz4tIhrHPT1

MGI’s Sizzlin’ Steak to enter Middle East market

by BusinessWorld, September 19, 2017

MAX’S Group, Inc. (MGI) looks to expand its footprint in the Middle East after entering into an agreement to put up seven Sizzlin’ Steak outlets in the United Arab Emirates (UAE) over the next five years.

The listed casual dining restaurant operator announced on Monday its partnership with Abu Dhabi-based Kasamar Holdings (KH) for establishment of Sizzlin’ Steak branches, the first of which is targeted to open by early 2018.

“We are witnessing the emergence of Sizzlin’ Steak as a global mainstream brand. At the same time, we are pleased with our partnership with Kasamar Holdings to introduce our hot plate concept to the UAE,” MGI President and Chief Executive Officer Robert F. Trota was quoted as saying in a statement.

For his part, KH Director Mo Bississo cited MGI’s reputation in the food and beverage industry in the Philippines as well as the value proposition of the brand as among the reasons for the partnership.

“We genuinely believe in the uniqueness and value proposition offered by Sizzlin’ Steak. We look forward to launching our first shop in the UAE by early next year with the intent to accelerate rollout in the long-term. I am confident the brand will be positively received by the local community due to its mainstream appeal,” Mr. Bississo said in the statement.

KH has core interests in private equity and venture, real estate, and public securities, while also operating one of the largest private health care providers in UAE.

The partnership with KH marks the fourth development contract MGI signed into this year, adding to the pool of over 130 stores set to open in the coming years.

This will be added to MGI’s current portfolio of 655 stores, including 55 franchised outlets located across North America, the Middle East and some parts of Asia.

MGI currently has three brands in the Middle East, namely Max’s Restaurant, Yellow Cab, and Pancake House.

Also under MGI’s brands are Krispy Kreme, Jamba Juice, Max’s Corner Bakery, Teriyaki Boy, Dencio’s, Meranti, Le Coeur De France, Maple, Kabisera, and Singkit.

MGI posted an attributable profit of P154 million in the second quarter of 2017, 18% higher than its earnings in the April to June period in 2017. This follows a 14% uptick in revenues to P3.14 billion for the period.

Including first quarter results, MGI’s year-to-date net income attributable to the parent rose 12% year on year to P329 million, while revenues went up 11% to P6.05 billion.

Shares in MGI climbed 40 centavos or 1.95% to P20.90 each at the stock exchange on Monday. — Arra B. Francia

*This article is first published online on BusinessWorld: http://bworldonline.com/mgis-sizzlin-steak-enter-middle-east-market/

Pepsi-Max’s partnership: 15 years and counting

PEPSI’S partnership with Max’s Restaurant remains strong as top executives of both firms recently sealed the renewal of their tie-up, led by Max’s Chairwoman Sharon Fuentebella, and Max’s President, CEO and Executive Director, Robert Trota, (3rd and 4th from left, respectively), Pepsi Philippines President Samudra Bhattacharya and PepsiCo Country Manager Maricelle Narciso (4th and 3rd from right, respectively). Also in photo are (from left) Max’s Executive Director and Vice-President for Marketing Jim Fuentebella, Max’s Executive Director Carolyn T. Salud, Pepsi Philippines GM for Modern Trade Marvyn Taningco; and PepsiCo Commercial Director Chiqui Palileo.

Aside from Krispy Kreme, the partnership was expanded further with the inclusion of Yellow Cab Pizza. Max’s has over 190 branches while Yellow Cab has 137 outlets nationwide. On the other hand, Pepsi’s growing beverage portfolio offers well-loved drinks like Pepsi, Mountain Dew, and Lipton Ice Tea, among others. “Starting in 2002, Max’s and Pepsi Philippines have worked hard to keep this partnership strong, serving up refreshing goodness that customers have grown to love over the past fifteen years.

We remain as the proud beverage partner of such an iconic company that can perfectly capture the flavors that Filipinos love,” Bhattacharya said. “Starting in 2002, Max’s and Pepsi Philippines have worked hard to keep this partnership strong, serving up refreshing goodness that customers have grown to love over the past fifteen years. We remain as the proud beverage partner of such an iconic company that can perfectly capture the flavors that Filipinos love,” Bhattacharya said.

*This article is copied from Malaya Business Insight and can be found online at http://www.malaya.com.ph/business-news/living/pepsi-max%E2%80%99s-partnership-15-years-and-counting