PH brands going overseas seen doubling in 2 years

Filipino brands expanding overseas are expected to double to 100 in the next two years with the Middle East becoming the new destination for these local brands.

PFA President Richard Sanz said in a speech at the opening of the Franchise Asia Philippines 2018 Conference and Expo said they expect to double the current 50 Filipino brands overseas to 100 or even 200 in the next couple of years.

Christopher Lim, overall chairman of Franchise Asia Philippines Conference and Expo, told reporters that Middle East has emerged as the most preferred destination for Filipino brands.

Lim said the interest from Middle East businessmen to tap Filipino brands will help push that target.

According to Lim, brokers and buyers from the Middle East are part of the 30 international buyers and brokers participating in this year’s twoday conference and expo, which opened yesterday at SMX Convention Center.

According to Lim, Dubai is the entry point in the Middle East for local franchisers. Several local brands have already conquered Dubai, UAE and Kuwait particularly Jollibee and Potato Corner. But there are also food brands such as Binalot, Bibingkinitan, Shawarma concepts among others that are now in Dubai.

“Bench is there, Jollibee and Potato Corner while Papa’s and Bibingkitian have signed up for Dubai,” he stressed.

Lim said that Saudi Arabia is another destination that PFA is trying to develop for local franchises.

Expansion to Middle East is largely through franchising making it easier for companies because they don’t have to run the business themselves.

The US has always been the traditional destination for Filipino brands but has a very complicated and stringent rules on franchising. That is why most of Filipino brands overseas are company-owned. These Filipino brands are also primarily serving the huge Filipino community.

Food brands that sell nonpork and halal-prepared products have also good prospects.

“Filipino workers in the Middle East serve as our good ambassadors over there,” said Lim.

The franchising conference and expo with the theme “Be The Boss” has attracted delegations from 40 countries, including US, Europe, China and ASEAN.

The three-day expo, which will open on Friday, is expected to attract 65,000 visitors.

This is also the biggest event which gathers some 200 international brands.

There are an estimated 200,000 franchise concepts in the country of which 60 percent are homegrown.

Lim expects this year’s franchise event to generate R3 billion in investments.