MANILA, Philippines — Kuya J Group Holdings Inc. plans to spend P1.5 billion to expand fast food chain Popeyes by opening about 100 stores over a three-year period.
“If you are opening 100 stores, then you’re probably spending P1.5 billion,” Kuya J Group president Winglip Chang told reporters yesterday during the announcement of Popeyes’ partnership with Coca-Cola Co. as its official beverage provider.
He said each store would need an investment of between P15 million to P20 million, depending on the size.
While the P1.5 billion investment is just for 100 stores, he said the group could open more stores within three years.
“(In the) first year, we won’t be building that many. But hopefully by next year, the year after that, we’ll be able to open more, 40, 50. So, as we become more comfortable in the construction, in the opening, then, we will be opening more stores,” he said.
He said all Popeyes stores in the country would be owned by the Kuya J Group for now, but franchising could be considered in the future.
In terms of locations, he said Popeyes’ expansion would be focused in Metro Manila in the next two years at the least.
For its first Popeyes store, the group has chosen to locate in ArcoVia City in Pasig City.
The group invested over P20 million for the Pasig outlet, which serves as Popeyes’ flagship store in the country and has a seating capacity of almost 200.
Chang said the store, which opened last May 16, has been well-received by the Philippine market and beat the opening day sales of other Popeyes stores, as it has over 1,000 transactions per day.
He said the group is bullish in expanding Popeyes in the country given the Filipino consumers’ love for fried chicken and the brand’s good offering which can compete in the market in terms of taste, quality and pricing.
Apart from the fried chicken and signature sides, the Popeyes store in the Philippines has exclusive items such as the Filipino-style spaghetti, rice, as well as hazel nut and white chocolate biscuits.
Popeyes, founded in 1972 in New Orleans, currently has over 3,000 restaurants in the US and around the world.
Kuya J Group, meanwhile, is behind casual dining restaurant Kuya J, concept stores Isla Sugbu Seafood City, Tsay Cheng Chinese Cuisine, Majestic Restaurant, as well as events place Grand Convention Center of Cebu.