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Shakeyss Company Background

The document provides background information on Shakey's Pizza Asia Ventures Inc. It discusses the history and founding of Shakey's Pizza in 1954 in California. It then describes Shakey's expansion and operations in the Philippines since 1975. It provides an overview of Shakey's corporate structure and subsidiaries. It also outlines Shakey's mission, vision, values and value proposition.

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0% found this document useful (0 votes)
2K views4 pages

Shakeyss Company Background

The document provides background information on Shakey's Pizza Asia Ventures Inc. It discusses the history and founding of Shakey's Pizza in 1954 in California. It then describes Shakey's expansion and operations in the Philippines since 1975. It provides an overview of Shakey's corporate structure and subsidiaries. It also outlines Shakey's mission, vision, values and value proposition.

Uploaded by

NocQuisaot
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
  • Client Background
  • Group Companies
  • Our Mission
  • Our Values
  • Value Proposition

2 CLIENT BACKGROUND

SHAKEY'S PIZZA ASIA VENTURES INC.

Shakey’s Pizza Parlor begins in 1954, when Sherwood “Shakey” Johnson opened the first
Shakey’s Pizza Parlor® in a remodeled grocery store on 57th and J Street in Sacramento,
California. Originally established as “Ye Public House” for pizza & beer, Johnson indulged his
passion for Dixieland jazz and added live ragtime music to mix, featuring banjos and player
pianos throughout his rapidly expanding franchise.

For over 40 years, Shakey’s has been creating great times and great memories in the
Philippines. From its first store in Metro Manila way back in 1975 to its present nationwide
operation with a strong store count of 184 stores, comprising of 109 Company-owned stores and
75 franchised stores. Shakey’s is one of the leading operators of Fast Casual Restaurants in the
Philippines, focused on family casual dining. In 2015, Euromonitor released a report stating that
Shakey’s is the market leader in both chained pizza full-service restaurant and chained full-
service restaurant, with market shares of 26.7% and 57.7%, way ahead of other competition in
the industry.

Shakey’s target market consists of the A, B, and upper C income class segments that
prefer full-dining restaurants over fast-food establishments. Shakey’s attracts families and groups
through its meal bundle offerings and party-size portions that are ideal for sharing.

HISTORY

The brand became a well-established franchise in the Philippines, where it began in 1975
under the ownership of the country's largest food conglomerate, San Miguel Corporation,
primarily promoting their San Miguel draft beer. Beginning with a restaurant on Makati Avenue
in Makati, the brand expanded rapidly in Metro Manila, with most of the restaurants offering live
music. San Miguel had difficulty maintaining the consistency of the branches, and ultimately
sold the franchise in 1987 to International Family Food Services, Inc. (IFFSI), a group led by
sports executive Leo Prieto. By 1997, the brand had evolved into mostly a fast-food franchise. In
2003, the company began a "reengineering" of the brand as a family-oriented casual dining
brand. In 2004, Shakey's partnered with Sports Vision for the launch of the Shakey's V-League,
one of the pioneering volleyball leagues in the country.

As of early 2015, there were 153 Shakey's outlets in the Philippines, more than double
the number remaining than the United States.

In March 2016, a new group formed by the Century Pacific Group and the Singapore-
based GIC Private Limited acquired the majority shares of IFFSI from the Prieto family, which
will keep their minority shares in the company. On October 2016, ISSI changed its name to
Shakey's Pizza Asia Ventures Inc. (SPAVI) and became listed in the Philippine Stock Exchange
on December 15, 2016 with the ticker symbol PSE: PIZZA. It was disclosed that IFSSI acquired
2 CLIENT BACKGROUND

ownership of the Shakey's trademark in the Philippines since 1999 and also owns the trademark
rights for the Middle East, Asia (excluding Japan and Malaysia), China, India, Australia and
New Zealand. It recently signed a joint venture deal to bring the brand to Kuwait.

GROUP COMPANIES
1. Bakemasters Inc.

Bakemasters Inc. is a Philippine company engaged in manufacturing and distribution of


fresh, frozen, par baked and baked bread, pastries, cakes and other confectionary items
to Shakey’s franchise owners and company-owned stores. BMI also supplies other
baked goods, sauces and other finished foods to third parties such as airlines, hotels and
other restaurant chains.

2. Shakey's Seacrest Incorporated

Shakey's Seacrest Incorporated is a recent subsidiary formed on June 2016 to serve as


the vehicle for holding certain other trademarks and intellectual property rights in the
future.

3. Golden Gourmet Limited

Golden Gourmet Limited is a Hong-Kong based company owning certain trademark


and brand rights over Shakey’s operations in the Philippines. It is also engaged in
restaurant management consulting.

4. Shakey’s International Limited

Shakey’s International Limited is a Hong-Kong based company holding the trademark


rights of the Shakey’s trademark for countries in the Middle East, Asia (except Japan
and Malaysia), Australia, and Oceania.

OUR PURPOSE
(Our Reason for existence)

To provide good times and great memories.

OUR VISION
(Our Desired Future State)

To be the leading and preferred Family Casual


Dining Restaurant, serving pizza as its core
product.
2 CLIENT BACKGROUND

OUR VALUES

 GUEST FOCUSED

All of our actions are centered towards


enhancing the Shakey's experience and
value for all our guest.

 PASSION FOR EXCELLENCE

We set high standards of performance by


doing things better than others and better
than expected.

 CRITICAL THINKING

We prepare our people to exercise good judgement. We are detail-oriented and


disciplined in our thought processes.

 ENTREPRENEURIAL SPIRIT

We are bold, daring, and actively seeking opportunities for the benefit of the company.

OUR MISSION

o TO OUR GUEST:

We genuinely care for our guest. We seek to know


their needs and wants so we can provide them high
quality food products and services at great value for
money.

o TO OUR EMPLOYEES:

We nurture an environment where people are


respected and empowered to be their best. We create
opportunities for personal and career growth so they
may succeed and gain a sense of achievement and
pride.

o TO OUR SHAREHOLDERS:

We grow the business by increasing the size and value


of the company and by achieving industry leading
returns on investment.
2 CLIENT BACKGROUND

o TO OUR BUSINESS PARTNERS:

We are fair, professional and collaborative


business partner.

o TO OUR COMMUNITY:

We recognize our responsibility to contribute


to nation building through job creation and by
having a positive impact in our communities.

VALUE PROPOSITION

Shakey’s believes its superior value arises from its ability to serves its guests with
differentiated menu offerings and high-quality products. Our iconic chicken n’ mojos and world
famous original thin crust pizza appeal to customers across all ages, demographics and various
income levels. From time to time, Shakey’s introduces menu items that have a limited time offer.
These innovative menu items make for a renewed and exciting dining experience for every
Shakey’s customer.

Common questions

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Trademark ownership and joint ventures are pivotal in Shakey’s global expansion strategy. By acquiring trademark rights for multiple regions including the Middle East, Asia, and Oceania, Shakey's ensured control over its brand's identity and consistency across international markets . This legal framework enables it to prevent unauthorized use and maintain brand integrity. Joint ventures, such as the one with Kuwait, facilitate market entry by leveraging local expertise and resources, accelerating Shakey’s establishment and consumer penetration in new regions . These strategies collectively enhance Shakey’s capacity to expand and compete in the global restaurant industry efficiently.

Shakey’s Pizza Asia Ventures Inc. adapted its business model by reengineering the brand into a family-oriented casual dining experience, which aligns with the preferences of its target market comprising the A, B, and upper C income class segments in the Philippines . The introduction of meal bundle offerings and party-size portions catered to the needs of families and groups, maintaining its market leadership in the chained pizza full-service restaurant and chained full-service restaurant categories . These adaptations reinforce the brand’s value proposition of providing superior dining experiences with differentiated menu offerings .

Shakey’s Pizza Asia Ventures Inc. undertook several strategic initiatives to strengthen its market position and expand globally. These include acquiring trademark rights for Shakey’s in various regions including the Middle East, Asia (excluding Japan and Malaysia), China, India, Australia, and New Zealand . Additionally, the company signed a joint venture deal to bring the brand to Kuwait . They have also diversified their operational subsidiaries, such as Bakemasters Inc. for supply chain efficiency and Shakey's Seacrest Incorporated for holding intellectual properties . These initiatives reflect Shakey's focus on both brand expansion and solidifying its operational foundation.

Shakey’s vision—to be the leading family casual dining restaurant focusing on pizza as its core product—aligns closely with its operational practices and customer experience initiatives. The implementation of family-oriented dining settings, meal bundles, and party-size portions directly supports this vision by catering to family and group dining experiences . The focus on high-quality, differentiated menu offerings, such as their original thin crust pizza, backs this vision by ensuring that the core product remains attractive and satisfying to customers . These operational choices reinforce the vision by consistently delivering the promised dining experience, thus driving customer satisfaction and brand leadership .

Shakey’s Pizza Asia Ventures Inc. leveraged its operational subsidiaries, such as Bakemasters Inc., to enhance supply chain efficiency and diversify product offerings. Bakemasters Inc. manufactures and distributes fresh, frozen, par-baked, and baked goods, ensuring a consistent supply of high-quality products to both company-owned and franchised Shakey's stores . This vertical integration helps Shakey’s maintain control over quality and supply chain efficiency. Additionally, Bakemasters also supplies baked goods and other finished foods to third-party clients, expanding revenue streams beyond the internal supply chain . This strategic subsidiary operation underpins Shakey’s ability to offer differentiated and high-quality menu items consistently.

Shakey’s mission and values play a crucial role in its business success and stakeholder satisfaction by focusing on guest orientation, passion for excellence, critical thinking, and entrepreneurial spirit . The commitment to high-quality food and service at great value helps build customer loyalty, enhancing guest satisfaction. The nurturing work environment and opportunities for personal growth resonate well with employees, ensuring high morale and productivity . For shareholders, the focus on business growth through increased company size and value leads to industry-leading returns on investment, fulfilling their expectations . These interconnected elements of the mission and values promote overall organizational success and stakeholder contentment.

Shakey’s collaboration with external partners like Sports Vision, particularly through the launch of the Shakey's V-League, significantly enhanced its brand profile and market reach. This partnership allowed Shakey’s to associate its brand with popular sports, thereby increasing its visibility and appeal among sports enthusiasts . The association with a pioneering volleyball league also positioned Shakey’s as an active promoter of local sports, appealing to national pride and community interests. Such strategic collaborations not only broaden brand exposure but also attract diverse customer demographics, reinforcing Shakey’s leading position in family casual dining .

Shakey’s gains significant strategic advantages from its diversified group companies and subsidiaries, which enhance its operational resilience and market flexibility. Subsidiaries like Bakemasters Inc. streamline supply chain operations and product consistency, offering a competitive edge in quality control and cost management . The establishment of subsidiaries such as Shakey’s Seacrest Incorporated and Golden Gourmet Limited aids in the management of intellectual property rights and restaurant management consulting, respectively, underpinning Shakey's strategic positioning and operational effectiveness . This diversified structure not only supports Shakey’s ability to execute its growth strategies effectively but also mitigates risks associated with operational concentration.

Shakey’s focus on community responsibility significantly shapes its corporate identity, positioning it as a socially conscious brand committed to positive societal impact. The company's dedication to nation-building and community engagement, such as through job creation and local development initiatives, enhances its reputation and brand loyalty . This approach not only brings Shakey’s closer to the communities it serves but also creates a positive brand perception that distinguishes it from competitors. By aligning corporate goals with social responsibility, Shakey’s reinforces its identity as a company that values more than just profit, fostering public trust and goodwill .

Shakey’s Pizza Asia Ventures Inc. uses limited-time menu items as a key element of its marketing strategy to both attract new customers and retain existing ones. By periodically introducing innovative and exclusive menu options, Shakey’s creates a sense of urgency among customers to try these limited offerings, thereby driving repeat visits and enhancing customer engagement . This approach not only keeps the dining experience fresh and exciting for loyal patrons but also draws new clientele interested in novelty and variety . These strategic menu rotations help Shakey’s maintain a dynamic and appealing brand image.

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