8 success secrets from Jollibee, which aims to be in world’s top 3

Jollibee Group is celebrating its 35th anniversary this year and targeting opening its historic 800th Jollibee store in the second half of 2013, Jollibee chief operating officer Ernesto “Ato” Tanmantiong said in an exclusive interview with The Philippine STAR. The Burger King chain in the Philippines is also now 54-percent owned by Jollibee, with 29 outlets that will also expand and focus on the more premium market.

If you combined all of the Jollibee group’s other brands such as Chowking, Greenwich and others, at present the company has 2,060 stores throughout the Philippines and they’re planning to hit 2,100 in total by the end of 2013.

Overseas, the Jollibee group has 600 stores and they’re targeting expanding to 150 new stores this year, mostly in the booming China market. Jollibee has acquired two brands in Vietnam: Pho 24 noodles (opening this year in the Philippines) and Highlands Coffee.

What are Jollibee’s success secrets, which even small and medium-sized firms or non-business organizations can learn from? Ato Tanmantiong shared the following:
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1. Customer focus — “The market is so dynamic and fast-changing, so we do a lot of research. When Jollibee was small and we had little research funds, we directly asked customers their needs and wants.”

2. Vision — Tanmantiong said, “When we started in 1978, people asked why we didn’t get a US franchise. We already wanted to create our own brand because we didn’t want to be limited to the Philippine market. Since the start, our vision was, first, to become No. 1 in the Philippines; second, to eventually expand overseas. Now our vision is we want to be one of the top three largest and among the most profitable restaurant companies in the world. Again, this is a big dream.”

3. Spirit of family and fun — “Among the Jollibee core values are unity and team work. We have less than 10 family members working at Jollibee group. We now have over 40,000 employees, roughly 4,000 of whom are managers. If you include the other brands, we have maybe more than 60,000 employees.”

4. Good quality — Tanmantiong said that the consistently “superior taste” of Jollibee foods is one success secret of their business. The family’s eldest sister Virgie Tan Chua was the one who started Jollibee spaghetti. When I asked if they had paid her for this recipe, Ato Tanmantiong laughed, saying, “Don’t give her the idea!”

5. Location — Jollibee makes sure that its stores and affiliates are conveniently located.

6. Good partners — Jollibee group has grown phenomenally due to good business partners through its franchising system. Today, 50 percent of Jollibee stores are owned by franchisees. Each franchise now costs about P25 million.

7. Culture — “We make sure the whole organization shares our vision and values, meaning they’re all part of that,” Tanmantiong said. “Our corporate values are excellence, spirit of family and fun, humility to learn and listen, integrity, frugality, respect for the individual, and teamwork. Anybody who is not a fit to all that, we remove from the organization. Our people are more engaged and committed.”

8. Marketing — The overall marketing programs and efforts have contributed to the success of Jollibee, from the brand name, logo, the popular mascot, TV commercials and print ads, to their very own TV show. Their top celebrity endorsers include Aga Muhlach, Sarah Geronimo, Gerald Anderson, Enchong Dee, Kim Chiu, international brand ambassador Jessica Sanchez and the very first endorser of the early 1980s, singer Gary Valenciano. –Wilson Lee Flores (The Philippine Star)