GREENWICH PIZZA

FRANCHISING
FEASIBILITY STUDY

Antoniette B. Pucot
Patricia Angela Marzan
BSBA-MM-3
 INTRODUCTION

Popular Filipino fast-food restaurant Greenwich Pizza, also known simply as

"Greenwich," specializes in pizza and pasta dishes. Since its establishment in 1971,

Greenwich has grown to be a well-liked brand in the Philippines and is renowned for its

scrumptious and reasonably priced Italian-inspired food.

Background and History

Greek immigrant Dr. George Sarakinis and his business partner Steve Psinakis

established Greenwich in the Philippine metropolis of Makati. It began as a modest

pizzeria but quickly became well-known for its delectable pizza selections.

Menu

The main draw of Greenwich is its extensive selection of pizzas, which range

from classics like Pepperoni and Hawaiian to unusual concoctions with a Filipino

influence like the Ultimate Overload and Cheesy Steak and Fries. In addition to pizza,

they also serve fried chicken, pasta, and sides like garlic bread and potato waves.

Fusion Filipino

The menu items at Greenwich have been adapted to the Filipino palate by using

regional flavors and ingredients. Its success in the Philippine market can be attributed in

part to this fusion strategy.

Dining Experience

Restaurants in Greenwich offer a relaxed and welcoming dining environment.

Numerous locations provide dine-in, takeout, and delivery options, making it simple for

patrons to partake in their preferred Greenwich fare.

Specials and Promotions

Group lunches, package deals, and limited-time specials are just a few of the

numerous promotions and special offers that Greenwich is renowned for. These

services have aided in drawing in a committed clientele.

Community Participation

In addition, Greenwich participates in a number of civic and charitable activities.

Through their CSR initiatives, they have contributed to causes like youth development,

disaster assistance, and education.

Expansion

Over the years, Greenwich has expanded significantly, opening multiple locations

all over the Philippines. To reach a wider customer base, they continue to increase their

presence in both urban and rural locations.

Competition

Greenwich confronts competition from international pizza chains like Pizza Hut

and Domino's Pizza as well as domestic fast-food goliaths like Jollibee and McDonald's

in the fiercely competitive Philippine fast-food sector.

Online Presence

Greenwich has a significant online presence in order to react to shifting

consumer tastes and technological advances. Through their website and mobile app,

they provide online ordering and delivery services, making it simpler for clients to enjoy

their meals.

Client Loyalty

In order to increase client retention and engagement, Greenwich routinely offers

loyalty programs and awards.

With a reputation for making delectable pizzas and pasta as well as a dedication

to satisfying regional tastes, Greenwich Pizza has made a name for itself in the fast-

food sector in the Philippines. It continues to succeed in the Philippine market thanks to

its commitment to innovation and community involvement.

 HISTORY OF THE BUSINESS

1971

Greenwich Pizza is one true Filipino pizza chain – a small entrepreneurship that

made an extraordinary leap to the big league. What started out as a small over-the-

counter pizza store in the Greenhills Commercial Center, is now the Philippines’ biggest

pizza chain.

1994

The initial steady growth of its business is credited to the entrepreneurial spirit of

Mrs. Cresida Tueres. By this year, her store counter grew to 50 branches. It was then

that fast food giant Jollibee Foods Corporation saw the great potential in venturing into

the growing market of pizza and decisively obtained a deal, acquiring 80% of Greenwich

shareholding. The new company became known as Greenwich Pizza Corporation and

went through exciting rapid developments with the mobilization of experienced

marketing and operations teams.

Successive innovations happened for the company immediately after the

acquisition.

September 8, 1994
 Greenwich opened its first store at Ever Gotesco Commonwealth Shopping Mall,

sporting the new and vibrant image of Greenwich.

June 1995

New packaging designs were introduced and 7 different pizza flavors were

launched in July of the same year. The Greenwich Special Pizza, with 7 toppings,

became the classic favorite of customers.

October 1995

The Greenwich marketing campaign went into full swing. With the young and the

young-at-heart as the target market, a tri-media campaign was launched to reveal

Greenwich’s new image. By year-end, Greenwich had more than doubled the previous

year’s sales from Php100 million to Php200 million with a base of only 53 stores.

1996

The ensuing years saw a remarkable boom in Greenwich’s operations and

revenues. This year is the launching of local actor and personality Rico Yan as the

image model proved to be a successful campaign strategy. By the end of that year, the

number of stores had grown to 80 and sales rose to nearly Php500 million.

September 1997

Greenwich opened its 100th store in Fairview Regalado – that’s twice the number

of outlets in just three years! By year-end, 20 more stores were added and sales

doubled to Php1 billion.

1998

To support the expected growth, Greenwich acquired new pizza equipment and

complemented its state-of-the-art pizza crust production line in the Pasig commissary.

This automated system produces consistently high-quality pizza crust to ensure

customer satisfaction and meet operational efficiencies.

August 1999

Greenwich made a significant improvement by loading all pizza flavors with more

toppings of choice meat and vegetables without increasing its selling price. Within the

same year, new appetizing Pasta Supreme dishes were launched: So Meaty Spaghetti,

Lasagna Supreme, and Baked Chicken Macaroni.

2005

Greenwich is present from as far north as Tuguegarao to General Santos City

down south. With over 240 stores and sales of more than 3 billion as of end of this this

year, Greenwich continues to write business history by consistently improving its

product offering and quality through research and development, as well as continuous

expansion of its stores nationwide.

 MARKET ANALYSIS

Greenwich embarked on a rebranding journey to stay relevant and appealing to a

changing customer base. The transformation included a dynamic "G" logo design aimed

at attracting more patrons. This redesign reflected the brand's adaptability to evolving

customer preferences and lifestyles. Greenwich's physical stores underwent a modern

makeover, transitioning from their previous dark green and red color scheme to a more

vibrant palette of fantastic green and vivid rose. These new colors and graphics aimed

to create a livelier and more welcoming in-store environment.

Furthermore, Greenwich's corporate visual identity revamp conveyed the brand's

dynamism. This transformation was not limited to aesthetics; it extended to enhancing

the quality and taste of their pizzas. Greenwich achieved this by loading their pizzas

with abundant toppings on a crunchy crust, striking a balance between customer

expectations for product excellence and an enjoyable dining experience. It was a

complete revitalization, a fresh and rejuvenated Greenwich, aligned with the brand's

continuous efforts to resonate with pizza enthusiasts across the Philippines.

Greenwich adopted a robust advertising strategy, utilizing various media

channels to effectively communicate the benefits of dining at Greenwich. This approach

was complemented by outdoor marketing materials and collateral that raised awareness

about Greenwich's offerings. These concerted efforts and enticing promotions translated
into high sales efficiency. Greenwich's marketing efforts were particularly targeted at the

"yindie" demographic – a term describing individuals who blend profitable careers with

non-mainstream tastes.

In just five years, Greenwich transitioned from being a small player in the pizza

market to securing the top spot as the nation's No. 1 pizza chain, capturing a substantial

portion of the P5-billion market, accounting for at least 60 percent. Luis U. Velasco III,

the marketing director of Fresh N' Famous Foods Inc., the company behind Greenwich

pizza and a Jollibee Foods group member, emphasized that Greenwich's shift towards

focusing on the "barkadas" (groups of friends) was instrumental in this success story.

Recognizing pizza as a fun, adventurous, and informal food meant for sharing,

Greenwich aligned its brand with the characteristics of the yindie market, known for its

casual, adventurous, hip, interactive, and inclusive nature. This shift prompted

Greenwich to evolve from a fast-food chain into a fast-casual restaurant chain while

maintaining its roots. The transformation involved renovating outlets, enhancing pizza

quality and variety, elevating pasta offerings (especially lasagna), introducing fun items

like chicken wings, and even serving full meals and breakfast in select locations. The

goal was to upgrade the overall customer experience, focusing on good taste, quality

service, and being a part of the "barkada" lifestyle.

 SWOT ANALYSIS

Strength

 Loyal customer base

 Proven recipes

 Experience managing cash flow for the business

 Unique product vs. chain/franchise pizza operations

 Winner of "best pizza in town" award.

 Price is not a factor in earning business-people willingly pay a premium for this

unique pizza

Weaknesses

 High employee turnover

 Dining room decor is dated

 Single oven slows down order time during busy hours

 Limited funding for business improvements

 Poor at marketing and creating exciting promotions

 Menu items that aren't pizza have generally been unsuccessful

Opportunities

 New interest from local media

 Expanded market due to closing of cross-town pizza shop

 Dessert pizza to increases order size

 New industrial park nearby is adding new businesses and a large number of

employees who need lunch and food for meetings

 Interest in opening a second location in a neighboring town is strong

 Possibility to expand bar and add televisions to capture the sports crowd

Threats

 New pizza shop is opening 2 miles away

 Local farm closing which supplies the fresh tomatoes for homemade sauce

 Trends around healthy eating, organic ingredients and gluten free options

 New shopping center opening that is expected to have two new restaurants

 Anyone can get into the pizza/ restaurant business with few barriers
 TYPE OF FRANCHISE

Greenwich offers full store franchise units.

FRANCHISORS SUPPORT SERVICES

Greenwich will assist you in the recruitment and training of your store

management team. You will be then become responsible for your team’s compensation

and benefits.

The Greenwich Operations team will continue to assist you and ensure alignment

to company standards. They will also help you maximize sales and profitability.

Greenwich continues to open its doors to enterprising Filipinos who want to be

part of the Philippine’s #1 Pizza chain. By providing the best-tasting products to the

pizza and pasta-loving Filipinos, it could be the best investment you could ever had.

FRANCHISE FEE AND TERM

Franchisee Fee

 1.2 million (vat-in, net of 2% EWT)

Franchise Term
  The franchise term is ten (10) years and is renewable, depending on the

performance of the franchisee and the store.

COST OF PHYSICAL STRUCTURE

1. Building Construction: The cost of constructing the physical building structure

can vary greatly depending on factors such as location, size, and design. A rough

estimate for a small to medium-sized Greenwich Pizza restaurant building might

range from 5 million to 25 million PHP or more.

2. Interior Design and Furnishings: Interior design, furniture, and fixtures can add

significantly to the cost. Depending on the quality and style, this might range from

2 million to 10 million PHP or more.

3. Kitchen Equipment: Greenwich Pizza kitchen equipment, including ovens,

refrigerators, and prep stations, can range from 2 million to 10 million PHP or

more.

4. Technology and POS System: Implementing a Point of Sale (POS) system and

technology infrastructure might cost 500,000 to 2 million PHP.

5. Permits and Licenses: Permit fees, licenses, and regulatory costs can vary, but

budgeting several hundred thousand PHP for these expenses is common.

6. Contingency: It's advisable to include a contingency fund of at least 10% to 20%

of the total project cost in Philippine pesos to account for unexpected expenses.
 TECHNOLOGIES

1. Point of Sale (POS) System: Greenwich Pizza use POS systems to manage

orders, track sales, and process payments efficiently.

2. Kitchen Equipment: Greenwich Pizza have commercial-grade kitchen

equipment, including pizza ovens, dough mixers, refrigerators, freezers, and food

preparation stations.

3. Ordering and Delivery Technology: Greenwich Pizza delivery often have

online ordering systems and mobile apps for customer convenience. They may

also use GPS tracking for delivery orders.

4. Security Systems: To ensure the safety of both employees and customers,

security cameras and alarm systems are common in Greenwich Pizza.

 FURNITURE AND FIXTURES

1. Tables and Chairs: Greenwich Pizza outlets typically have tables and chairs for

dine-in customers. The style and design of these furniture items can vary.

2. Lighting: Appropriate lighting is essential for creating the right ambiance.

Greenwich Pizza often use a combination of ambient, task, and accent lighting.

3. Signage: Exterior signage with the Greenwich Pizza’s branding and logo is

crucial for visibility.

4. Counters and Display Units: Display counters for showcasing pizzas and other

menu items are common in Greenwich Pizza.

5. Decor and Theme: The interior decor and theme may vary from one location to

another. It's designed to create a pleasant and inviting atmosphere for

customers.

6. Kitchen Shelving and Storage: These fixtures are essential for keeping

ingredients and kitchen supplies organized.

 FRANCHISE AGREEMENT

The total investment requirement ranges from 15 million to 31 million depending

on the final store type & size. The size of the property required is dependent on the

store model that will be developed in a particular market. Floor area requirement may

range from 60 square meters to 150 square meters. There is also a franchise fee of 1.2

million (vat-in, net of 2% EWT).

Inclusion

 initial set-up fee

 design fees

 construction cost

 equipment and facilities

 furniture and fixtures

 air-conditioning system

 signage

 pre-opening expenses (training hours of crew and managers)

 initial inventory

 initial hiring selection.

Average Return On Investment (ROI)

  Based on franchisee and company data, the estimated return on

investment is 4-5 years.

Royalty Fee

 The royalty fee and advertising fee is five percent (5%) of gross sales.

This fee will be used to provide the franchise store with support services

(i.e., mass media advertising).

Location

 The site should be in high foot traffic commercial/residential areas,

accessible to both pedestrians and motorists.

 Each location is different. Once a site is ready for construction, you can

expect the store to be fully operational in 45-60 days.

Architectural Planning and Construction

 Greenwich shall assist you in the architectural planning and construction

process through its accredited architects and contractors.

 Should you wish to get non-Greenwich accredited suppliers, they will be

requested to go through the accreditation process prior to building a store.

 CONCLUSION AND RECOMMENDATION

Conclusion

Greenwich Pizza, a prominent Filipino fast-food chain, boasts a remarkable

history of growth and success since its inception as a small pizzeria in 1971. Over the

years, it has evolved into the Philippines' largest pizza chain. Greenwich's core strength

lies in its commitment to delivering delectable yet affordable Italian-inspired cuisine,

striking a chord with Filipino consumers.

The fusion of local flavors and ingredients into its menu has significantly

contributed to its popularity. The brand is further enhanced by its welcoming, family-

friendly dining atmosphere, coupled with convenient dine-in, takeout, and delivery

services, making it a top choice for customers.

Strategically, Greenwich has excelled in promotions and community

engagement, which have been pivotal in building a loyal customer base. Moreover, the

company has embraced digital technology to elevate customer convenience and

introduced loyalty programs to further enhance customer engagement.

Investing in a Greenwich Pizza franchise presents an enticing business

opportunity in the thriving Filipino fast-food industry. The franchise carries multiple
strengths, including a devoted customer base, proven recipes, and a unique product

lineup. Greenwich's steadfast commitment to quality, along with its reputation for serving

scrumptious pizza and pasta, positions it as a formidable player in the market.

Nevertheless, potential franchisees should approach this opportunity with a clear

understanding of both the advantages and challenges at hand. The weaknesses and

threats identified in the SWOT analysis, such as high employee turnover and increased

competition, necessitate effective management strategies.

The terms of the franchise agreement, encompassing the initial investment,

royalty fees, and return on investment (ROI) projections, provide valuable financial

insights for prospective franchisees. It is prudent to conduct meticulous due diligence,

encompassing financial planning and site selection, to ensure that the chosen location

aligns with the brand's requirements and local demand.

Furthermore, franchise success hinges on upholding Greenwich's dedication to

quality, ensuring efficient service, and unwavering adherence to brand standards.

Collaborating with the company's support services and embracing its updated fast-

casual restaurant model can set franchisees apart in a competitive market.

In conclusion, a Greenwich Pizza franchise holds the potential for financial

success and entrepreneurial growth. Nevertheless, it demands a comprehensive grasp

of the market dynamics, an unwavering commitment to quality, and the agility to adapt

to evolving consumer preferences. Armed with the right strategies and resources, this

franchise opportunity can be a rewarding venture for individuals seeking to invest in the

dynamic Filipino fast-food industry.

Recommendation

Based on the information provided, investing in a Greenwich Pizza franchise

appears to be a promising opportunity. The brand's strong market presence, loyal

customer base, and commitment to quality make it an attractive choice for potential

franchisees.

However, before proceeding, it's essential to conduct a comprehensive feasibility

study and financial analysis to assess the specific costs, market conditions, and

potential returns associated with the franchise opportunity. Franchisees should also

consider factors such as location, competition, and local demand.

Moreover, prospective franchisees should ensure they meet Greenwich's

requirements and have the necessary resources and management capabilities to

successfully operate a Greenwich Pizza franchise. Additionally, engaging with the

company's support services and adhering to its standards and guidelines will be crucial

for long-term success.

In conclusion, a Greenwich Pizza franchise can be a rewarding venture for

individuals interested in the fast-food industry in the Philippines. Still, thorough research,

careful planning, and a commitment to maintaining the brand's quality and customer

service standards will be essential for realizing the full potential of this opportunity.
References

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Wikipedia contributors. (2023). Greenwich Pizza. Wikipedia.

https://en.m.wikipedia.org/wiki/Greenwich_Pizza

Blogger. (n.d.). HISTORY. http://sliceapizzaatgreenwich.blogspot.com/p/history.html?m=1

SWOT_ANALYSIS_OG_GREENWICH_COMPANY. (n.d.). Scribd. https://www.scribd.com/

document/530832420/SWOT-ANALYSIS-OG-GREENWICH-COMPANY

Greenwich | Franchise Market Philippines. (n.d.). https://www.franchisemarket.ph/franchise-

listing/greenwich

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https://order.greenwich.com.ph/franchising

Franchising. (2018, March 8). GREENWICH.

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