Cebu food sector booms amid rising competition

CEBU, Philippines - In recent years, the restaurant industry in Cebu and even in other areas of the country has achieved a tremendous growth due largely to increasing demand and consumer spending.

Cebu has recently seen a gradual increase of food businesses rising especially in the metro area. This significant growth has also made the food industry a booming ground of intense competition among players in the sector.

But, for Chief Operating Officer Bernadette Lee of Pancake House Group, food companies -- like their group -- should grow together with the competition as this signal a positive outlook for upbeat consumer consumption.

“We should be excited about it (competition),” Lee said in an interview. “That is something that tells us that there is really potential in the market.”

Lee particularly described Cebu as a thriving place for food businesses as more people, especially the employed are now “more passionate” on food and are excited on the new restaurants existing in the city.

Nowadays, restaurant operators compete for various aspects such as the price, value and promotion, services, location and food quality.

Lee explained that every food business has its own style and target customers and has always adjusted to the changing trends in the market.

A case in point is the group’s new restaurant concept, Maple, which sells American food and targets the upscale and high-end segment of the market. The food store, which recently opened in Ayala Center Cebu, is the group’s first branch outside Metro Manila.

Ruby Bautista, the company’s marketing director, says they are looking at expanding in the regional market and international market as well.

In addition, Lee also shared the Pancake House Group and the Max’s Group of Companies recently merged through a P4.05-billion share-swap deal to create the largest restaurant group in the country.        

The transaction involved the acquisition of Max’s group’s Max’s Restaurant, Krispy Kreme and Jamba Juice, among others.

The Pancake group, on the other hand, operates the food shops such as Yellow Cab, Teriyaki Boy, Maple, Kabisera and others.  (FREEMAN)