MANILA, Philippines - Asiawide Refreshments Corporation (ARC), the licensed Philippine bottler of RC Cola, has now expanded its operations in Cebu, a move that is expected to better serve RC Cola’s growing consumer base in the province: “The company’s engagement in the province will enable us to align the Visayas market with the growth of Asiawide and RC Cola in other areas,†discloses Gerry T. Garcia, executive vice president and chief operating officer of ARC.
As one of the key cities in the Philippines, Cebu is a major cola market in itself and a gateway market to the Visayas region. “It is an independent market from Manila but it has always mirrored Manila in terms of being urbanized and having a developed consumer market,†he says.
Although the province represents a new frontier for ARC, Cebu is not a new consumer base for RC Cola. Garcia shares that in the 1990s when RC Cola sales was still struggling in Metro Manila, the brand was already a success story in the Cebu-Visayas region.
“The point is we have yet to fully exploit the potential of RC Cola. That’s why we are excited about this development,†says Garcia. He explains that Cebu will be treated as an investment market and ARC in Luzon can re-channel part of its manpower and equipment there as needed. He adds that there is an opportunity to enhance RC Cola’s product lineup in Cebu to cater to different price points and tastes, as the company works to optimize the brand’s availability in the market thereby becoming the soft drink of choice among consumers.
The Cebu expansion comes at an opportune time: ARC marked its 10th anniversary in June this year while managing to maintain positive growth. “You’ll really have to go back to the roots of ARC, to the company’s modest beginnings in Antipolo, to appreciate the significance of the company’s expansion in Cebu. Presently, ARC’s operations in other parts of the country have already achieved a high level of consumer acceptance,†remarks Garcia.
Over the past 10 years, ARC has witnessed a greater leverage in the competitive market, keeping RC Cola top-of-mind among consumers despite the presence of other giant cola brands. For Cebu, Garcia says, “We are aiming for RC Cola to be the favorite brand among soft drinks consumers just like in Manila. Definitely, RC Cola International will benchmark it against our success in Luzon.â€