Franchise Asia opens at Manila’s SMX Convention Center
The Philippines became an increasing center of the franchising world’s attention when it hosted one of the franchising’s biggest events in Southeast Asia, Franchise Asia 2014 and a U.S. franchise trade mission. The show was originally scheduled to take place July 16-20 at the SMX Convention Center in Manila, Philippines but took place July 17-20 because of the typhoon that hit the Philippines on the 16th. Recognized as the biggest franchise show in the Philippines each year, Franchise Asia continued not to disappoint, welcoming over 500 exhibitors, including IFA member and trade mission participant Tutor Doctor, and an estimated 50,000 attendees.
Due to the typhoon, the first day of Franchise Asia was cancelled. However, the Philippine Franchise Association’s staff worked diligently through the night to reconfigure the program. Their hard work paid off when Franchise Asia opened its doors on the morning of the 17th and soon saw its convention hall filled with hundreds of attendees from the Philippine franchise community. These attendees demonstrated the remarkable resilience of the Filipino people, by leaving their homes (many without power) and traveling through a city just hit by a typhoon to fill the hall.
The Filipino franchise market is highly mall focused due to weather and pollution. Jan Paul Custodio, Senior Director CB Richard Ellis Philippines told trade mission participants that the Philippines’ has 1/10th the real estate costs of Hong Kong or first-tier Chinese cities. It also has the lowest mall real estate prices in Asia, 20 times lower than Beijing. Market challenges include public infrastructure and high energy costs. According to a US Embassy briefing, the number one drag on growth is corruption, especially outside of Manila.
Bill Edwards, Vice Chair of the IFA’s International Committee and CEO Edwards Global Services and IFA’s Josh Merin addressed the general session of Franchise Asia on July 17. In “Conquering the Global Market with Your Brand” they presented IFA and its experience with international franchising including strategy and tactics for franchising internationally. The presentation included international development models, what to look for in an international licensee and considerations before going international. The event included Certified Franchise Executive (CFE) classes and this year’s CFE graduation.
Trade Mission attendees were able to tour Franchise Asia on Saturday, July 19th.