Raising the bar the Chic-Boy way

by Rizal Raoul Reyes, BusinessMirror

Posted at Jan 10 2013 09:40 AM | Updated as of Jan 10 2013 08:10 PM

MANILA, Philippines - After achieving success in putting up Pier One Bar and Restaurant, owner Francis Juan yearned for more challenges.

“Mr. Juan wanted to push himself as an entrepreneur and wanted to take on new challenges after he established his name in the country’s bar industry through Pier One Corp.,” said Catherine Juan, franchise director, Pier One Holdings, in a recent interview with the BusinessMirror.

Pier One Corp. is the holding company of Pier One Bar and Restaurant.

At the same time, Francis wanted to remain in the food business as he had developed a strong attachment to the food industry. He, however, wanted to diversify from his bar business as running a bar had certain limitations, such as shorter operating hours, compared to a typical restaurant.

Also, according to Catherine, Pier One management had to deal with hot-headed customers in the bar at times.

To take on his new challenge, Francis went to Cebu in 2008 and introduced lechon (roasted pig) and lechon manok (roasted chicken). He also developed the Cebu liempo (grilled pork belly), the house specialty. The three items would figure on the menu when Francis put up Chic-Boy, a name inspired by a bar of the same name that operated in the 1980s.

In 2010 he opened the first Chic-Boy store in Cebu. Catherine said the store gave Filipino food lovers a taste of Cebu lechon and lechon manok at affordable prices.

In building the Chic-Boy brand, according to her, management wanted to stress that Chic-Boy is a quick-service and “cut-above-the-rest” fast-food store, with a huge following.

“Our concept focused on quality, quality, variety and service,” Catherine said.

Chic-Boy’s Cebu lechon manok and Cebu lechon liempo are marinated and stuffed with herbs and spices, and charcoal-broiled to juicy and tasty perfection.

The fast-food restaurant also serves chicken inasal from Bacolod, inihaw na liempo, pork barbecue, sisig variations (lechon sisig, chicken sisig, bangus sisig and tuna sisig).

Catherine said the growth of Chic-Boy was impressive. In just one year, it opened its first dine-in store on Jupiter Street in Makati City in Metro Manila. “We now have 93 dine-in stores in Metro Manila and nearby cities and provinces, and 40 more franchised stores under construction,” she added.

At present, it has four company-owned stores and 122 franchised outlets.

Franchise fee for Chic-Boy is P950,000, exclusive of the 12-percent value-added tax.

Catherine said an investor will need at least a total investment of P5 million, depending on the size and condition of the store. The term of franchise is seven years. A royalty fee of 5 percent of gross sales is one of the requirements for the franchisee. According to Catherine, the projected return on investment could be realized in two to two-and-a-half years.

The franchise package consists of use of trade and proprietary marks; use of Chic-Boy business model; initial site assessment; site design and construction assistance; use of Chic-Boy management manual;

Training in the Chic-Boy Dine-In Store systems for the franchisee, managers/supervisors and initial branch employees; procurement program; information-technology support; marketing assistance; pre-opening assistance (dry run); grand-opening assistance;

Provision of opening team for the franchisee’s first month of operations; post-opening assistance; continuing research and development of Chic-Boy Dine-In Store’s product line; field call for on-site assistance as requested; and training programs throughout the year.