Manila Inasal

Opportunity

The demographics of Filipino Americans represent a diverse and vibrant community in
the United States, reflecting a rich cultural heritage from the Philippines. According to
the 2020 Census, there were approximately 4.4 million Filipino Americans, including
multiracial Americans with Filipino heritage, making them the third-largest Asian
American group in the country. Additionally, Filipino Americans constitute the largest
population of Overseas Filipinos.

Filipino cuisine, known for its bold and bright flavors, has a presence in all 50 states,
as well as Washington, D.C., and Guam. This cuisine caters to a variety of dietary
preferences, being friendly to vegetarians, omnivores, and seafood lovers alike.
Although Filipino food has been celebrated for its phenomenal flavors for centuries, it
has only recently gained widespread recognition in the culinary world. Experts and
restaurant forecasters are now hailing Filipino cuisine as the “next big thing.”

The simplicity and pleasure of cooking and eating Filipino food contribute to its
appeal. A typical Filipino meal includes a harmonious blend of vegetables, seafood,
dairy, meat, and rice. During fiestas, food presentation becomes an art form, with
dishes displayed in vibrant and appetizing arrays in homes, captivating both the eyes
and the palate.

The unique aroma of Filipino food, a result of a secret mix of vegetables, herbs, oils, citrus, and spices, adds to its allure and distinctiveness, making it an irresistible culinary experience.

Problem

In the Filipino cuisine business in America, several challenges and problems may
arise. Below are some common issues:

1. Ingredient Sourcing: Difficulty in sourcing authentic Filipino ingredients, which are crucial for maintaining the authenticity of dishes.
2. Customer Awareness and Education: Educating customers about Filipino cuisine, particularly in areas with a smaller Filipino population.
3. Competition: Facing competition from other Asian cuisines and restaurants within the Filipino community.
4. Cultural Adaptation: Adapting traditional Filipino dishes to cater to local tastes without compromising authenticity.
5. Operational Costs: Managing the high costs associated with running a restaurant, including rent, labor, and food costs.
6. Regulatory Challenges: Navigating health and safety regulations and obtaining necessary licenses and permits.
7. Marketing and Branding: Effectively marketing Filipino cuisine to a diverse audience and building a strong brand identity.
8. Staffing and Training: Finding skilled staff, particularly chefs and cooks familiar with Filipino cooking techniques.
9. Menu Development: Continuously innovating the menu to attract and retain customers while maintaining authenticity.
10. Customer Loyalty: Building and maintaining a loyal customer base in a competitive market.

These challenges require careful planning and execution to overcome and succeed in
the Filipino cuisine business in America.

Solution

The Filipino cuisine business in America faces several challenges, but there are various solutions and strategies that businesses can employ to address these issues and enhance their offerings. Below are some key solutions:

1. Diversify Menu Offerings:
   • Problem: Limited menu variety can restrict appeal to a broader audience.
   • Solution: Introduce new and innovative dishes alongside traditional favorites to cater to diverse tastes and preferences. Offer vegan, gluten-free, and healthier options to attract health-conscious customers.
2. Enhance Dining Experience:
   • Problem: The absence of dine-in facilities limits customer engagement and revenue potential.
   • Solution: Invest in establishing dine-in restaurants in key locations. This can increase customer satisfaction, encourage higher spending per visit, and provide a space for events and social gatherings.
3. Expand Market Reach:
   • Problem: Limited awareness and reach beyond the Filipino American community.
   • Solution: Increase marketing efforts to target a wider audience. Utilize social media, influencer partnerships, and local community events to raise brand visibility and attract new customers.
4. Improve Quality and Consistency:
   • Problem: Inconsistent food quality can lead to customer dissatisfaction and impact reputation.
   • Solution: Implement strict quality control measures. Train staff rigorously on food preparation techniques and ensure adherence to recipes. Use high-quality ingredients to maintain consistency.
5. Franchise and Expansion Opportunities:
   • Problem: Limited presence outside major Filipino food hubs.
   • Solution: Explore franchising opportunities to expand into new markets. Select locations with a strong Filipino community and a growing interest in international cuisines, such as San Francisco, Chicago, and Las Vegas.
6. Community Engagement and Cultural Events:
   • Problem: Limited connection with the broader community and cultural events.
   • Solution: Participate actively in local cultural festivals, food fairs, and community events. Sponsor Filipino cultural activities and collaborate with local influencers and organizations to strengthen ties with the community.
7. Embrace Technology and Innovation:
   • Problem: Lack of modern technology adoption may hinder efficiency and customer engagement.
   • Solution: Implement online ordering systems, mobile apps, and delivery platforms to enhance convenience for customers. Utilize virtual reality (VR) or augmented reality (AR) to create immersive brand experiences and showcase the restaurant environment.
8. Sustainability and Ethical Practices:
   • Problem: Increasing consumer demand for sustainable and ethical food
     practices.
   • Solution: Source ingredients responsibly and support local suppliers. Adopt eco-friendly practices in packaging and waste management. Communicate these efforts transparently to appeal to socially conscious consumers.
9. Adaptation to Trends and Preferences:
   • Problem: Rapid changes in food trends and customer preferences.
   • Solution: Monitor industry trends and consumer feedback closely. Stay agile and adapt the menu and business model to reflect current trends, such as plant-based options, fusion cuisines, and interactive dining experiences.
10. 10.Regulatory Compliance:
    • Problem: Navigating complex health regulations and zoning laws.
    • Solution: Stay informed about local regulations and ensure full compliance. Seek legal advice when expanding or modifying business operations to avoid potential fines or closures.

Market

The Market for Filipino Cuisine in the US:
The market for Filipino cuisine in the US is vibrant and growing, with several cities emerging as hotspots for this rich and diverse culinary tradition. According to a comprehensive study that surveyed the top 100 U.S. metro areas, San Francisco has been crowned the top city for Filipino food. This ranking was based on the number of Filipino restaurants, food awards, customer interest, and Jollibee locations, ensuring a consistent quality and quantity of Filipino food offerings.

Following San Francisco, the cities of Chicago, Los Angeles, New York, Seattle, Las Vegas, San Diego, Honolulu, San Jose, and Houston round out the top ten. These cities have seen a burgeoning interest in Filipino cuisine, reflected in the increasing number of restaurants, the diversity of dishes offered, and the accolades received within the food community.

Industry Trends and Drivers: Factors Contributing to the Success of the Filipino Restaurant Business Sector
Several factors contribute to the flourishing Filipino restaurant business sector:

1. Highly Educated Population: A significant portion of the Filipino community consists of highly educated individuals working in professions such as doctors, nurses, scientists, IT professionals, and engineers. This demographic has both the financial means and the desire to frequent restaurants that offer high-quality Filipino cuisine.
2. Cultural Significance of Food: Food plays a central role in Filipino culture, with a strong tradition of sharing meals during family and social gatherings. This cultural emphasis on communal dining creates a consistent demand for Filipino restaurants, especially those that can cater to large groups and special occasions.
3. Growing Filipino-American Population: The Filipino-American community is one of the fastest-growing Asian-American groups in the United States. As this population continues to expand, so does the demand for authentic Filipino dining experiences that remind them of home.
4. Rise of Filipino Cuisine’s Popularity: There is a growing interest in Filipino cuisine beyond the Filipino community. Filipino food is gaining recognition for its unique flavors and diverse culinary traditions, attracting a broader audience and increasing the customer base for Filipino restaurants.
5. Innovation and Fusion Cuisine: Filipino chefs and restaurateurs are increasingly experimenting with fusion cuisine, blending traditional Filipino dishes with modern culinary techniques and ingredients. This innovation appeals to both Filipino and non-Filipino customers, driving interest and repeat business.
6. Media and Social Media Influence: The rise of food bloggers, cooking shows, and social media influencers highlighting Filipino cuisine has significantly boosted its popularity. Positive media exposure helps attract new customers who are curious to try Filipino dishes.
7. Economic Factors: The economic stability and increasing disposable income of the Filipino-American community support the growth of Filipino restaurants. With more financial resources, people are more likely to dine out and explore different culinary options.
8. Community Support: Filipino restaurants often receive strong support from the
   local Filipino community, which values the preservation and promotion of their
   cultural heritage through food. This community loyalty ensures a steady customer
   base.

By leveraging these trends and drivers, Filipino restaurants can continue to thrive and
expand their presence in the competitive restaurant industry.

_{Fig 1: Price of Meat: The 20 best cities for Filipino Food: Manila Inasal}

The popularity of Filipino cuisine in these cities is driven by several factors:

• Cultural Diversity and Integration: Cities like San Francisco, Los Angeles, and New York are known for their diverse populations and open embrace of multicultural influences. This diversity fosters a welcoming environment for Filipino cuisine to flourish and be appreciated by a broad audience.
• Strong Filipino Communities: Many of these top cities have significant Filipino communities that contribute to the proliferation and authenticity of Filipino dining options. These communities often support local Filipino businesses, creating a robust market for traditional and contemporary Filipino dishes.
• Recognition and Awards: Filipino restaurants in these cities are increasingly recognized with prestigious food awards, which help to elevate the cuisine’s profile and attract food enthusiasts. This recognition also encourages more restaurateurs to explore and innovate within the Filipino culinary space.
• Mainstream Appeal: The mainstream appeal of Filipino cuisine is on the rise, driven by popular food trends that celebrate bold flavors and unique culinary experiences. Filipino dishes such as adobo, lumpia, and halo-halo are gaining popularity among diverse customer bases.
• Influence of Filipino Fast-Food Chains: The presence of Filipino fast-food chains like Jollibee in these metro areas contributes significantly to the visibility and popularity of Filipino cuisine. Jollibee’s success has helped introduce many Americans to Filipino flavors and sparked further interest in exploring more traditional and varied Filipino dishes.

With these factors in play, the market for Filipino cuisine in the US is not only expanding but also evolving, offering a promising landscape for businesses like Manila Inasal to thrive and innovate.

Roadmap

Manila Inasal has meticulously crafted a strategic roadmap designed to comprehensively evaluate every aspect of its business requirements. This roadmap serves as a vital guiding tool for enhancing management efficiency and effectiveness.

By fully embracing this roadmap, Manila Inasal strategically positions itself to identify both opportunities and challenges, addressing critical questions that demand attention. Acting as a compass, this roadmap directs the company’s focus toward essential areas crucial for achieving its objectives and ensuring sustained success with its Filipino cuisine restaurant business.

The Manila Inasal roadmap consists of several key steps, each playing a pivotal role in the company’s journey towards its goals:

• Market Analysis and Positioning: Thoroughly evaluate market trends and customer preferences to refine its positioning in the competitive Filipino cuisine market.
• Operational Excellence: Implementing best practices to streamline operations and improve service delivery across all restaurant locations.
• Menu Innovation: Continuously evolving the menu to cater to changing tastes while maintaining authenticity.
• Customer Experience Enhancement: Enhancing the overall dining experience through improved service, ambiance, and customer engagement.
• Sustainability Initiatives: Introducing sustainable practices to reduce environmental impact and resonate with eco-conscious consumers.
• Employee Development: Investing in training and development programs to empower employees and ensure high standards of service.
• Financial Strategy: Implementing sound financial practices to maintain profitability and support growth initiatives.

Each step in the roadmap is designed to reinforce Manila Inasal’s commitment to excellence and its mission to become a leading name in Filipino cuisine. By adhering to this strategic framework, the company aims to not only meet but exceed the expectations of its customers, stakeholders, and the community at large.

Milestones

Break Even Milestone:

Currently, operating as a ghost kitchen, our breakeven point stands at $50,000.

Growth: 1, 3 and 5 years:

• 1 Year: Revenue is expected to triple within the next 12 months following the establishment of a dine-in restaurant with a bar, expansion of catering services, and franchising. 
• 3 Years: Continuing forward, revenue is projected to grow by 40-50% annually, driven by the addition of new franchises.

Revenue Milestone:

• Year 1 (upon setting up dine-in restaurant): $1.5 million
• Year 2: $2.25 million
• Year 3: $3.4 million

Geographic Expansion Milestone:

Manila Inasal intends to expand its business in the future to include San Francisco (Northern CA), San Diego, Las Vegas, Chicago, New Jersey, New York, and Florida.

Products or Services Milestones:

• Introduction of new dishes
• Expansion of multi-tiered catering services
• Inclusion of alcoholic drinks (bar in dine-in restaurant)
• Initiation of franchising
• Sale of commodities such as food and drinks through groceries

Biggest Milestone: 

Expanding our brand through franchising across the US and internationally.

Scalability: 

Manila Inasal achieves vertical scalability by adding more cooks and staff. It achieves horizontal scalability by expanding to additional restaurant locations beyond a 50-mile radius from each other.

Company Overview:

Our story begins in the Philippines, where Manila Inasal was founded in 2020 as a
home business in San Juan City, Metro Manila, by Chef Natalia and her siblings,
Enrique and Bella. Initially operating as a delivery service out of her home kitchen, it
soon expanded into a cloud kitchen in Makati. Today, there is also a branch in
Bonifacio Global City’s Mitsukoshi Mall in the Philippines.

In 2023, Chef Natalia partnered with long-time family friends, the Simon family, to
bring Manila Inasal to LA. Their shared love for food and friendship sparked this new
venture, which began in Echo Park, Los Angeles.

At Manila Inasal, our staff represents the face and soul of our restaurant, making
assembling the right team crucial for our success. Finding individuals who share our
passion for Filipino cuisine and culture can transform customer service into an experience rather than mere transactions. Training our team on the nuances of Filipino hospitality adds an authentic touch that sets our establishment apart from others.

Moreover, our chefs’ skills in traditional cooking methods are invaluable assets that
ensure our menu offerings remain true to their roots while appealing to contemporary
palates. Investing time in building and nurturing our team pays dividends in customer
satisfaction and loyalty.