Going Japanese

Teriyaki Boy, Inc. started with a market observation.

"We saw a gap between the high-end Japanese restaurants, most of which you’ll find in hotels, and the Japanese fastfood offerings. There was no one in the mid-market. We filled in the void. Our average lunch bill at Teriyaki Boy is about P250 per person," said general manager Germin Espino.

Started in 2001, the company now has eight outlets, all company-owned and all but one located in Metro Manila. Sales per outlet has grown 5% year-on-year, net of any price increase.

Service

"We have been able to successfully combine fast service and first-class authentic Japanese food products while keeping our costs down," said Espino. "Our customers do not have to line up to give their orders. Neither is the food served in plastic or in styropore containers. Our customers get to sit down, are waited on, and eat from nice ceramic plates."

To ensure such service, the company maintains a workforce that currently hovers at between 400 and 450. Each store has about 60 employees, including the cooks, working in two shifts.

"Our standards have to be higher than your average casual dining restaurant. We want to be fast. If we can’t seat a customer within 15 minutes, an order of California maki is on the house. This is not a promotion or a gimmick. This is part of our commitment to delight our customers," said Espino.

To keep costs down, the company operates a commissary, where all materials for the stores come from.

"Costs are competitive because we eliminate as many middle men as possible in buying our ingredients, even imported ones. This way, we not only control quality, we also get bulk prices," said Espino.

Plans

This year, the company will be opening up two more stores, one of these in Libis, Quezon City. A franchising study will also be completed by the third quarter of this year.

While there are no available numbers, a store with a floor area of about 150 square meters would need an investment of between P10 million and P12 million, with the bulk of the money going to construction expenses and equipment.

"One of the things that we will have to work out is the selection of our partners. They must share our passion for Japanese food. At the same time, they must be committed to maintaining the level of excellence in food and service found in company-owned stores," said Espino.