MANILA, Philippines — The country’s largest franchising association is looking to grow franchise stores and revenues by eight to 10 percent this year as more foreign brands are interested to enter the country, while local brands continue to expand.
Philippine Franchise Association (PFA) chairman Sam Christopher Lim said during the 31st Franchise Asia Philippines Expo the group is looking at an eight to 10 percent growth in franchise stores this year.
Lim said around 100 out of the 700 brands participating in the expo are foreign brands looking to enter the Philippines.
According to Lim, foreign brands taking part in this year’s expo include 13 from Thailand, around 10 to 15 from South Korea and around seven to eight from Singapore.
“I think there’s a continuous thirst for the Philippines as a destination,” he said.
He added that some of the foreign brands participating in this year’s expo also took part in last year’s.
Lim said many of the foreign brands are entering key cities first like Manila, Cebu and Davao.
He said local brands, meanwhile, are more comfortable to expand within the country.
Lim said there are currently around 1,800 to 2,000 franchise brands and 200,000 franchise outlets in the country.
Sherill Quintana, who serves as chair of the council of past presidents and director for membership of the PFA, said the group also expects industry revenues to grow by eight to 10 percent this year.
Quintana said some foreign brands that joined the show last year have already established their presence in the country.
“What we observe is the foreign brands coming into the show, joining, are more aggressive. They see the potential in the market. And they are able to expand quite dramatically compared to our local brands,” she said.
Franchise Asia Philippines Expo is PFA’s flagship activity to promote franchising to create businesses and jobs.
The event has an average of 50,000 visitors every year, showing the continued confidence in franchising as a way to start a business.