Fastfood chain mulls Phl expansion
Quick-service restaurant chain KFC (Kentucky Fried Chicken) Philippines is expanding its footprint in the country capitalizing on the sub-franchise system, taking advantage of the promising economic prospects in the food and beverage sector.
In an interview with KFC Philippines senior trade marketing manager Leony Rodriguez-Enriquez, she said that post pandemic KFC stores all over the Philippines have been performing very well.
“We are expanding and we are open to sub-franchising,” said Enriquez.
Since its entry to the Philippines in 1966, KFC now has 380 stores across the Philippines, of which 12 stores are in Metro Cebu.
According to Enriquez, with encouraging business performance post-pandemic and promising outlook for the Philippines, KFC is poised to add more stores allowing interested Pinoy entrepreneurs to own and manage a KFC store through sub-franchise system.
Currently, of the 380 KFC stores around the country, 345 are company-owned and managed, while 35 stores are operated by sub-franchisees. This time, she said the company is expanding its sub-franchise stores, particularly in areas where KFC is not present yet.
Recently, KFC Philippines invested in its participation in the Sinulog Festival 2024 in Cebu for the first time. This move not only showcased KFC’s dedication to the Cebu market, but also emphasizes its commitment to engaging with local communities and festivities, she added.
By joining festivals, like the recently concluded Sinulog Festival in Cebu KFC is to strengthen its connection with consumers, reinforcing the brand’s role in the rich cultural tapestry of a particular City or region.
During the Sinulog festival, KFC supported the “Banay Baniladnon” group of Barangay Banilad in Cebu City.
“This is our way of supporting Cebu, and at the same time we want KFC to be seen and be present in all of the country’s festivals,” she said, adding that part of the brand’s thrusts is to support the different festivals in the country, including the Baguio City’s annual flower festival called “Panagbenga Festival”, which takes place every February.
Yum! Brands, the mother franchise to KFC Philippines, has allowed KFC Philippines to start offering the business to sub-franchisees since 2019.
Under this new franchising scheme, investment starts at P19 million, which includes store construction, equipment and the initial fees.
The minimum area requirement is 1,200 square meters for a free-standing/ drive-thru store and 160 square meters for an inline or a mall store.
The US-born and bred KFC first brought its secret-recipe chicken to the Philippines in 1966. There are currently 380 KFC outlets across the country, now operated by the Ramcar Group of Companies.