REDISCOVER 6 factors to consider in the beauty business
6 factors to consider in the beauty business
By Lynda C. Corpuz, MoneySense magazine | 10/17/2009 12:12 AM
Beauty clinics make sometimes outlandish promises to transform you into the prettiest, slimmest, or whitest creature to ever walk this planet. But before you enter the Promise Land, consider these important factors:
1. Look for the name
Branding is everything, so they say, and this also applies to a beauty clinic. Dr. Emma Guerrero, president of Bioessence, a beauty clinic chain that started in Davao almost 13 years ago, says advertising does not create a beauty clinic. “A brand that is there for several years becomes popular because of the experience of their existing customers.”
Celebrity doctor Joel Mendez, president of Philippine Anti-Ageing Medical Society, Laser Medicine Society, Inc., and Mesotheraphy Society, Inc. and founder of the Mendez Medical Group (of Body & Face and Weigh Less Center, which is now going on its 10th year), says branding is important. “It’s important that a name becomes an icon since the market that you’re looking at is not just one year – you’re looking at a market good for five to 10 years.”
Celebrity endorsers are also a come-on for beauty clinic clients, says Francis Albert Labora, public relations manager of Forever Flawless, a beauty clinic chain of six years. “In our case, the public gets familiar with us through (actresses) Lorna Tolentino and Judy Ann Santos. ‘Ah, pinagkatiwala nila Lorna at Judy Ann `yung mga balat nila sa Forever Flawless.’ So that means something. And even in beauty care, we are still showbiz oriented.”
Lagrace Espiritu, 38, operations manager of Banco De Oro-Equitable PCI Bank Timog branch, gets regular facial treatments and is currently enrolled in Bioessence’s slimming program. She says celebrity endorsers have a come on, but not that much. “Siyempre, kung ang endorser hindi naman kagandahan, bakit ako maniniwala? An established name is what I consider in going to a beauty clinic.”
2. Visit one near you
Truly, the mall is the mecca for most activities and interests. No wonder majority of beauty clinic chains today are located in the malls. “It doesn’t really matter though if it’s a stand-alone or a chain of beauty clinics inside a mall, as long as they satisfy your need. And usually, it’s the brand that clients think of,” Dr. Emma says.
“We like the mall setting better because we’re more accessible. A freestanding beauty clinic still brings intimidation – like they’ll be seeing and paying for a doctor – although there is still clamor for it among those who want to avoid the crowded malls,” Francis says. “Beauty clinics now are like a one stop-shop that offers clients most of what they’re looking for,” says Dr. Michelle Cruz, medical director of Forever Flawless. And gone are the days that weekends are for your salon needs, Dr. Joel says. “Most want a treatment to be done right away, that’s why we’re at the malls to cater to such clients.”
3. Check its affordability
As she ages, the more chances for Lagrace to get fatter, this mother of four thinks, so she considered a slimming regimen. She first canvassed among beauty clinic chains for affordable rates, at the same time, a program that will help achieve her desired results. Income from her various sidelines formed part of the partial lump sum she paid the beauty clinic. She will complete the balance at the end of the program, which she availed through a buy-one take-one promo of 50 sessions (with a prescribed thrice a week visit) for P30,000. “My other income is what I use for my luxury. That way, I give time to myself without sacrificing the needs of my family.”
Vanity is not anymore a luxury as more people include it in their budget, Francis observes. “(And) affordability makes beauty clinics more popular today,” Dr. Michelle says. Dr. Joel opines that longevity is the name of the game in the beauty clinics segment. “Ngayon, pababaan ng presyo ang labanan. The value for money must be there. Kaya binibigay namin `yung tamang serbisyo sa abot-kayang halaga.”
Cash remains a preferred method of payment. Currently, the mass market, which is also boosting the vanity business, is mainly driven by price in their search of a beauty clinic, says Dr. Emma. She illustrates that prices of beauty clinic services catering to the low-end market are from P200-P700 per treatment, while the middle-range spends P800-P1,500 per treatment. The upper market, which mostly avails of technology-aided services, spends around P1,500-P3,500 per treatment.
4. Confirm the standards
Females are still majority of the clients availing of popular beauty clinic services like facials, slimming, and whitening. There is also a growing base of male clients who mostly avail of facials and spa services. And well-trained aestheticians or consultants who perform non-invasive treatments such as facials, apart from doctors who do medical procedures, service them.
Equipped professionals should compose a beauty clinic, Dr. Emma says, that’s why she sends her staff to trainings abroad to keep them up with international standards. Dr. Joel says it’s a must to go where the trend is. “Training and updating is important, kahit alam na namin ang gagawin. On my end, I’m hands-on. I teach my doctors what to do. Pero hindi ako magkukunwari na alam ko kahit hindi ko alam,” Dr. Joel points out.
Apart from the doctors and staff, a beauty clinic that changes beddings regularly, sanitizes equipment frequently, upgrades tools and clothing whenever necessary are hygienic factors the mass market are not really particular about, but the mid- to high-market always look for, apart from the Zen-inspired ambience that is calming and enticing, Dr. Emma illustrates.
As for Lagrace, she will only go to a beauty clinic that’s referred to her. “Kapag sinabi na maganda ang serbisyo sa isang beauty clinic or salon, pupunta ako. Pero kung pupunta ako just for the experience, hindi, takot ako sa ganoon.”
5. Find one that goes the extra mile
Lagrace first met with a dermatologist when she was 32, to remedy the two to three visible chicken pox marks on her face. That visit went well, though she didn’t instantly become a beauty clinic patron. Only when she reached 35 that she started regularly visiting one. And so far, she finds the services commendable. “Pero kahit maganda `yung service, kung hindi friendly `yung mga tao roon, hindi ko pupuntahan.”
Since most of Bioessence’s clients are top executives who can’t afford two to three hours of visit, the beauty clinic makes sure they attend to them right away, Dr. Emma says. “Doing clients’ appointments properly and following up via calls to check if they’re applying their home medications are just two of the ways that we provide our clients value for their money,” she adds.
Dr. Michelle says, as per Forever Flawless’ experience, patients’ compliance is high, coming to the clinic twice or thrice a week for their scheduled treatments. “Hindi natatapos ang pagiging pasyente mo paglabas mo ng clinic. Pasyente ka pa rin namin paglabas mo, because we make sure you follow the prescription that we give you.” “The clients remember the aesthetician or doctor more than the service and the price. There are also patients who don’t want any other aesthetician or doctor to attend to them, gusto nila `yung suki nila – sinusundan din nila `yun kung saan man nalipat,” Francis says.
As for the celebrity doctor, Dr. Joel says he used to attend to a lot of details in his clinics. “But with the many clinics I have now, I still make sure I visit them. Hindi ko rin na kaya asikasuhin lahat. Pero pag nakita ako ng mga kliyente, I pass by, say hi, and do something for them. I have to live with the name, that’s why.”
6. Avail of the add-ons
Waiting is a common complaint among beauty clinic clients, which happens usually during weekends and in flagship outlets of beauty clinics that most clients visit, some not for just one treatment, but to avail of multi-services for half to a whole day. “Even how demanding the client is, what’s important is you make sure someone’s beside them. `Pag kulang pa, send another one. `Pag hindi pa rin kaya, I’ll be there or I’ll get their number and talk to the client myself. Pero pag hindi kaya, hindi talaga kaya.”
For such, marketing schemes are employed to ensure clients will endure the waiting, and become regulars eventually. Giving ice cream during summer, discounts when a client who doesn’t want to wait returns the next day on an assigned time, or tokens and freebies are what Forever Flawless are offering. Holistic packages and advanced treatments are next in their line-up.
Dr. Emma, meanwhile, recommends packages to clients who have a serious skin or diet problem and can finish a program prescribed to them. “Apart from the fact they can save up to 20% if they avail of packages, we make sure that each client’s specific need is done by a consultant or specialist, and we fit in the type of treatment, only if they need it.” Annual promos, like lunch break discounts, are what clients look for in Mendez clinics, Dr. Joel says. “We can lower our prices because we can. And we do that with the same expertise and facilities we have for those clients who can afford to pay more,” he prides.
And Lagrace, apart from achieving her target outcome from her slimming program, is also getting free services and tokens for the clients she referred to her beauty clinic. “Kasi `pag nakita nila sa iyo, that you’re an evidence of a good service provided by your beauty clinic, madali na maghatak na subukan din nila ang services ng beauty clinic mo,” she ends.
From the 2007 edition of MoneySense, the country’s first and only personal finance magazine. You can read more financial tips and stories at www.moneysense.com.ph.
as of 10/17/2009 12:12 AM
REDISCOVER (how to be a millionaire by 40)
How to be a Millionaire by 40
You’re either a gym owner, a serial entrepreneur, a dermatologist, real estate player, direct seller, or an insurance manager – as long as you’re determined, there is no stopping you to become a millionaire by 40.
Learn your way to a million –and more – through the stories of Gold’s Gym CEO and columnist Mylene Dayrit, serial entrepreneur Gwen De La Paz, dermatologist Dr. Theresa Tan-Pascual, real estate player Eduard Tolosa, Avon sales leader Mila Flores, and Philam Life unit manager Jeanette Fabico share in the September-October issue of MoneySense.
Also in this issue is Deputy Minority Leader and Bukidnon Representative TG Guingona (son of former Vice President Teofisto Guingona), talking about real estate, politics, and why it is important to stick our budget.
This September-October issue of the Philippines’ only personal finance magazine also carries articles about how to write your last will and testament; investing on margins; eight reasons why the gold price will rise, checking your checking account.
Also, Bank of the Philippine Islands president and CEO Aurelio Montinola III gives tips on how to cope with the continuing global and economic crisis.
Read also the buyer’s guide on home theater system; saving on your electric bill, and what to do when the product you bought poses health hazards.
Currently available in over 200 outlets nationwide, MoneySense is founded by veteran business and finance journalists with a combined 50 years of publishing experience.
To learn more about MoneySense, visit www.moneysense.com.ph. For subscriptions, contact 339-3361, 728-1073 or email info@moneysense.com.ph.
REDISCOVER (how to be a) money-smart couple
How to be a money-smart couple
Assigning money responsibilities, discussing money issues, planning for your retirement early, falling and getting back on your feet, working together as a team, and resolving differences quickly – these are the money lessons that six, model couples shared in this July-August 2009 issue of MoneySense.
Couples Eduardo and Filamie Aguillon, Alex and Elaine Araneta, Toots and Myrna Cortez, Sonny and Lyne Dilag, Michael and Monette Hamlin, and Lito and Ces Melendres share their ups and downs and how they become happy and contented as married couples.
TV personalities Julius and Christine Bersola-Babao also share how two heads are better than one, and how they are using well the opportunities and blessings they are receiving, and how they work together when it comes to business and their investments, particularly into arts.
This July-August issue of the Philippines’ only personal finance magazine also carries the “money stories” of matinee idol Carlos Agassi, Active Fun owner Tony Butler, and Casa San Pablo owner Boots Alcantara. Leadership guru, John Maxwell, meanwhile, shares how to lead in these challenging times.
Articles on global investing for beginners, toy collection as investments, bonds vs. bond funds, buyer’s guide to art, eating out on a budget, and things to do if you encounter bad customer service.
Currently available in over 200 outlets nationwide, MoneySense is founded by veteran business and finance journalists with a combined 50 years of publishing experience. To learn more about MoneySense, visit www.moneysense.com.ph. For subscriptions, contact 339-3361, 728-1073 or email info@moneysense.com.ph.
REDISCOVER Corazon “Cory” Aquino
President Corazon "Cory" Aquino (1933-2009) (Photo from http://philpoliticians.blogspot.com)
The pounding rains during the early morning of August 1, superstitiously, brought the sad news.
The first woman president of the Philippines and Southeast Asia, Corazon “Cory” Aquino, had passed away, after a year and six months of battle against colon cancer. She was 76.
From an affluent family, to a devoted housewife and mother to five children, to a widow, a devout Roman Catholic, and an unexpected heroine, Tita Cory had lived such a life.
Her administration maybe marred by several coups, and however womanly and afraid at times (as she was described in a TV interview yesterday by one of her former military aids), she never succumbed to pressure.
Her six years as president was also characterized by a struggling economy, but many acknowledges that her concentration to restore democracy after more than two decades of dictatorial rule, led to a more stable environment for the Philippines to grow economically, as what the following administration of Fidel V. Ramos managed to do.
Many also criticized Tita Cory for her seemingly lack of support to the arts, culture, and the media and entertainment industries. An anecdote I remember related to this was shared to my History in Broadcasting class last semester by no less the Asia’s Queen of Songs, Pilita Corrales: She recalls that during a banquet she and fellow artists hosted for then newly installed president Tita Cory, Pilita remembers that the late Sen. Benigno “Ninoy” Aquino, Jr. wrote her a “fan mail,” saying how good her show, An Evening with Pilita. Tita Cory affirmed that to her, saying that Ninoy would come home early whenever it was Pilita’s show on TV, and she had to wait until Ninoy finishes watching.
While such anecdote maybe atypical of a wife’s concern over her husband’s TV habits, and if it seemingly sounded of Tita Cory’s being not interested in anything that’s media, ABS-CBN CEO Gabby Lopez, Jr. acknowledged last night in a vigil they were holding for Tita Cory, that if not for the late president’s decision to return to the Lopezes their businesses, including ABS-CBN (among returning other sequested assets to their rightful owners), we would not have the TV as we enjoy it today.
Tita Cory never withdrawn from the scene. Whenever her presence was sought, she was seemingly ready to be the calm voice of reason amidst warring political interests in this country.
For my generation – and those younger – she would probably best remembered as a mother to TV personality Kris Aquino (who said in a TV interview earlier with fellow TV host Boy Abunda, that she said sorry to her mother for the times she was not the daughter Tita Cory wanted her to be. (Remember the scene when Tita Cory approached Kris and the latter tearfully hugged her after her “I-have-STD” confession on public TV?).
She was not only the mother to Kris and her siblings, anyone could identify her as more than a former president, a global symbol of democracy, but also as a mother to her beloved country, Philippines – a respect she earned, and as remarked recently, a respect that our current president would never have (good thing she decided to cut her US trip short – it could probably the most decent thing she could do, after a week of bragging through her State of the Nation Address and a hearty exchange of laughter with US President Barack Obama).
Tita Cory maybe gone, but her legacy will remain. The outpouring of support the nation have showed (through prayers, vigils, and yellow ribbons everywhere), and even her family’s political opponents (Kris thanked the Marcoses earlier for praying for her late mother, and former President Joseph Estrada, who was ousted in 2001, with Tita Cory on the forefront of the oust movement, became an unlikely friend of the Aquinos in their trying times) only prove that the Philippines had such one admirable, decent, simple leader – traits that we hope our next president will have.
REDISCOVER sleep-deprived, love-filled nights
Playing goofy here (at Palm Cove, Cairns, Queensland, Australia – April 30, 2009)
How time flies – Robin and I are now on our second year.
The first night we met is always a tingling, giggly, high-schoolish crush moment for me. Robin didn’t mind my child-like moments then and on we became an engaged couple.
The two years of us are made of sleep-deprived, love-filled nights (for most part, as we also have our share of misunderstandings). Whether we chat online (I waiting for him to come home from work, him despite being tired from a 12-hour shift, he always makes time for me [and provided our Internet connections are good]), or if we’re together, we spent our nights with hearty dinner (takeaways or cooked by him [and me until recently!]), watching TV and commenting about the programs, watching DVDs, and during my last stay in Cairns, Queensland, Australia, we were playing Nintendo Wii (and how he always finds my golfing skill [Wii Sports] and my Mario Kart Wii know-how non-existent).
Communication is the key why we’re still together as a couple (and hopefully have more anniversaries to celebrate, together at that). There are also nights spent on serious talking – what the future holds for the two of us, career-wise and financially in particular. But the bottom line remains that despite the trials we’re experiencing and constantly learning to accept and deal with our imperfections, the LOVE remains. It is not enough to survive in this world, but our love for each other makes us stronger, strive harder, and aim for that life of togetherness.
(What a way to welcome our second anniversary though – I was asleep until 2:50am earlier and bolted out of bed just to chat with Robin. I missed him by seconds (as I saw him signed out)! But I managed to talk to him over the phone – he sensed I was still feeling dazed from waking up abruptly and gently told me to go back to sleep after greeting the two of us happy anniversary [and he was as amazed how we've been together for this long] and sent me good night with “I love you”]).
To Robin, thank you very much for everything. You will always be very much a part of me and I am truly thankful to have you. Happy second anniversary!
REDISCOVER Manny “PacMan” Pacquiao
How PacMan makes – and spends money
And know to recession proof your career
Indeed, Manny “PacMan” Pacquiao again proved he is the pound-for-pound king by defeating Ricky Hatton in May 2’s much-anticipated fight. Not only he knocked out Hatton in just two rounds, but PacMan again bagged millions for his latest victory.
Know more how exactly the People’s Champ makes money and spends and invest it in the May-June 2009 issue of MoneySense, the country’s only personal finance magazine.
Also in this issue is how to recession-proof your career and the hottest jobs for 2009. Singers Jaya and Sitti, meanwhile, share their successful money stories. Renowned book author Prof. W. Chan Kim shares tips on understanding and applying the blue ocean strategy for your individual and business success.
Also read how to save for college; pick a review center; save on school supplies; choose an Internet provider, and avoid investment scams.
Currently available in over 200 outlets nationwide, MoneySense is founded by veteran business and finance journalists with a combined 50 years of publishing experience. To learn more about MoneySense, visit ww.moneysense.com.ph. For subscriptions, contact 339-3361, 728-1073 or email info@moneysense.com.ph.
REDISCOVER (How to) weather proof your investments…
…and learn how Piolo Pascual gives back
In this time of market crashes, financial crises, and economic slowdowns, you can follow some simple strategies to keep your portfolio from getting wiped out – this and more from the March-April 2009 issue of MoneySense, the country’s only personal finance magazine.
Gracing this issue’s cover is heartthrob Piolo Pascual, who shares how he returned home, turned versatile, and now giving back with all those blessings he is receiving.
Bureau of Internal Revenue commissioner Sixto Esquivias IV, meanwhile, teaches how to pay the right taxes.
Also in this issue are stories of a promdi, balut vendor, and an employee made it as entrepreneurs; and tips for buying the best value coffee and choosing the right air-conditioner. Plus, learn how to trim your cell phone bills and file a product defect complaint.
Currently available in over 200 outlets nationwide, MoneySense is founded by veteran business and finance journalists with a combined 50 years of publishing experience. To learn more about the MoneySense, visit www.moneysense.com.ph. For subscriptions, contact 339-3361, 728-1073 or email info@moneysense.com.ph.
REDISCOVER the Cultural Center of the Philippines (UPDATE)
As a fitting follow up to the Cultural Center of the Philippines (CCP) 2-part special report I co-wrote almost four years ago (Grand plan to change face of Cultural Center complex) and (‘Commercialized CCP embraces the poor), the Court of Appeals recently uphold CCP’s lot ownership – an issue that was saddling the CCP for years and hindering its potential to grow as a healthy, mixed-use venue for arts, culture, and commerce.
Following is the release from CCP:
CA UPHOLDS CCP OWNERSHIP OF LOTS
The Court of Appeals (CA) permanently granted the petition filed by the Philippine government through the Office of the Solicitor General (OSG), stopping the City of Pasay and the Republic Real Estate Corporation (RREC) from selling the lots within the Cultural Center of the Philippines (CCP) Complex over the government’s alleged failure to pay the reclamation costs made by RREC.
In a fifteen-page decision dated February 27, 2009, penned by Associate Justice Sesinando Villon and concurred by Associate Justices Andres B. Reyes, Jr. and Jose Catral Mendoza, the CA’s former Fourth Division granted to the Philippine government, with CCP as intervenor, its petition to declare null and void the Writ of Execution for the auction of two CCP lots dated May 8, 2007 issued by RTC 109 Presiding Judge Tingaraan U. Guiling and the Sheriff’s Notice of Execution and Notice to Pay dated May 11, 2007 in Civil Case No. 2229-P and uphold its earlier decision on the Writ of Preliminary Injunction as permanent. The appellate court has already issued a Notice of Judgment last March 2, 2009.
“We are pleased that finally the issue has been settled, and that we can now buckle down to the challenge of ensuring sustainability for the CCP,” said CCP Chair Emily Abrera. “It’s quite timely, as we are celebrating our 40th year. What a great way to mark our anniversary!”
In June 2008, the City Government of Pasay auctioned off to RREC the 23.89 hectares covering two lots titled in CCP’s name both located in the cities of Pasay and Manila, and a part of the 55 hectares of the prime property whose ownership has been contested by RREC and Pasay City since 1997. However, the Supreme Court ruled with finality in favor of the national government and the CCP in November 1998. The lands are presently occupied by Boom na Boom and the Ipil-Ipil area, extending up to the Manila Film Center.
In its decision, the CA agreed with the Philippine government that an execution must conform and be warranted by the judgment on which it was issued. Further, it was stated that “it should conform to the dispositive portion of the decision to be executed, and the execution is void if it is in excess of and beyond the original judgment or award.” In this case, the Writ of Execution and the sheriff’s Notice of Execution and Notice to Pay ordered the government to pay the respondents a staggering P49.17 billion, way beyond the Supreme Court’s decision in November 1998 to pay the respondents P10.9 million plus 6% interest per annum.
In addition, “the assailed sheriff’s notice of execution and notice to pay is palpably at variance with what was embodied in the Supreme Court decision.” The CA declared that the SC’s decision was categorical and unequivocal in its language when it ordered the national government to pay the respondents only P10,926,071.29 plus 6% per annum from May 1, 1962 until full payment. CA continued that there is no justification for the adjustment of the judgment award to its present day value. Hence, the said Writ of Execution and the Notice of Execution and Notice to Pay were issued in violation of the said Supreme Court decision and the Commission on Audit (COA). The CA also contended that said documents were issued with “grave abuse of discretion which this Court must correct.”
“This decision proves that our Philippine justice and legal systems do work, that no matter how long it takes, eventually justice will be served,” said Abrera. “We look forward to building a more robust future for Philippine culture and the arts, and we are confident that we have the creativity to make our vision a reality.”
The CCP’s 23.89 hectare lands are part of the Clusters 3 and 4 of the Business and Master Development Plan for the CCP Complex drawn up by the Planning Resources and Operations Systems, Inc. (PROS), the company tasked with the development of the plan. The plan-which covers some 60 hectares of land available for development, is the framework for a comprehensive artistic, cultural, ecological, commercial and tourism development to develop the CCP Complex into a cultural and tourism landmark not only in the Philippines, but also in Asia. Cluster 3 or the mixed-use area will accommodate an office bloc, multi-purpose hall and an artists center, while Cluster 4 or arts “living rooms” will contain open space venues, residential-commercial blocks for commercial and business use, a transport terminal as well as artists’ multi-purpose spaces.
The CCP Complex Development Plan is now open for interested business partners and investors.
REDISCOVER Onésimus barong Tagalog
My Money Story: Onésimus barong Tagalog
By Eduardo Canlas
As told to Lynda Corpuz, MoneySense magazine |
03/16/2009 2:57 PM
There’s a big difference between who I am now compared to when I was younger. I’ve always been a highly driven person. Through this innate drive, I excelled in school, finished college in three-and-a-half years with honors (AB Economics from the University of the Philippines-Diliman). Like most people, I was determined to become rich, live in a big house, drive a luxurious car, travel around the world, and be able to afford anything that I wished. I really wanted to live the high life.
Ironically, as I slowly began to realize my ambitions, I also began to perceive that being wealthy was just an illusion.
Seeking for meaning
On my last semester at UP, I came to a point of personal crisis where I had to face squarely the haunting question: “What is the meaning of life?” I took this painful experience so bad, which got me more into a searching mode.
I vividly remember that one UP Ikot ride where I found myself praying that whoever is the first God who would reveal Himself to me He’s the One I would accept. “Kahit hindi ikaw ang Diyos na kinamulatan ko – kahit Buddhist, kahit Hindu – kahit sino, ikaw ang paniniwalaan ko. Because You’re the one who heard my prayer and cared enough to meet me at my lowest point.” And if there was no God around who would introduce himself to me, I was well prepared and mentally conditioned to make the decision to become an atheist.
Little did I know that God had all things mapped out for my conversion all along. On my last semester, I had this classmate who was a devout Christian. One thing led to another – she shared with me her life, her spiritual ups and downs, the testimony of her walk with Lord.
That was the start of my renewal.
Realizing dreams
After finishing college, I put up my own company in 1985. I went into garments – the same business my parents put up in the 70’s that fed all eight of us children. Though I was tempted to try my hand on something else, it was difficult to deviate from it because it was the environment I grew up in.
It didn’t take long for me to apply what my parents indirectly and directly taught me, like how my mother haggled in Divisoria to bag the best prices of various supplies. I was in high school when I was asked to man the cash register, help compute the payroll, assist the master cutter, prepare receipts, and give the right clothes to the right customer. Those lessons learned from hands-on experiences proved handy when the time came for me to run my own business.
My parents, who first started a necktie shop then expanded into men’s formal wear, supported me. My first samples were sewn in their shop. I later became a supplier to Rustan’s and SM for their own clothing brands. And when I began receiving purchase orders worth hundreds of thousands, that’s when I knew I was earning. Whatever personal savings I had, I plowed them back to business.
Serving Him
While attending to my business, I remained active in church ministry, which I found more fulfilling. In 1987, I stopped the business to go full-time, and this went on until 1990. I was a volunteer worker for the church, serving as counselor and writer. At first, I was okay since I had six-figure savings back then. But my savings eventually ran out not so much from personal consumption as from engaging in constant giving to those the Lord would lead me to help. I then entered what I would call as a “wilderness experience” when I had nothing but my faith in Him.
In the church, I met a very special girl, whom the Lord revealed to me was to become my wife. Mi-an came from a well-to-do family. On top of that, she was earning her own good money, working as an international flight stewardess. Me? I was at a low point in my life. I was broke. I had nothing but this invisible faith and His equally invisible promises for my life. But both of us knew something no one else knew: we were called to be in the business and the next major step was for us to get married April 1991. Because of this, Mi-an couldn’t see me staying full time in church, although she herself was a committed member also. We sought our pastor’s counsel and he confirmed God was indeed calling me back into business.
Actually, I was in denial. Being out of circulation for four years, there were lots of changes in the market that I might not be able to cope with. But God’s calling was clear. He pulled me out of the business for a while to prepare me for something bigger.
Coming back
I stepped out of the full time ministry, with my pastor’s blessings, and registered Onésimus as a corporation in 1991. That was one of the worst times to start a business because of the Gulf War. There were many grim projections about skyrocketing oil prices and exchange rates. Still, Mi-an and I agreed to get it started while attending to our wedding preparations.
That time, I was managing one of my parents’ shops, where we had three rundown sewing machines and three tailors, and that’s where we made our first samples. I re-introduced myself to the different department stores, we sampled our products, and they liked our barongs and coats.
Before our wedding, we already got an offer to be a consignor at Robinsons Galleria where we were entrusted with our own space. Prior to that, SM accepted us as a supplier for their men’s line. Then Landmark committed to us a 30-sq.m. space, but here, we spent for the renovation. All the cash gifts we got from our wedding, amounting to over P100,000 were spent on the business. I thought to myself, “If I don’t succeed here, I don’t know where to hide from my in-laws.” Fearful thoughts crossed my mind, but not enough to stop me. The certainty that God had called us as a couple was greater.
And why offer barong? Having grown up in a tailorshop, I had a keen observation of the barong tagalog as being part of our culture. As such, I could not understand why such an important part of our culture and daily life should be relegated only to the Filipiniana section of department stores. I wanted to elevate the barong to be on a par with Western clothing. We were the first signature brand name in the Philippine market to offer such choice – suits and barongs – in one place, in different styles, consistently available throughout the year, and at affordable prices.
Remaining committed
Onésimus was born in the spirit, but it is also derived from a Greek word which means “useful” or “profitable”. Thus, you will see in our packaging this statement: “You’re now holding a very special piece of apparel, meticulously handcrafted by men and women who have spent many years of their lives perfecting men’s formal wear. For them, it’s worth it, so long as they keep up to their principle, ‘useful elegance.’”
I believe human resource is more important than capital. Capital will come and go but it’s the people who keep the business. Managing people is also like rearing up children the proper way. We don’t do anyone any favor by condoning a wrongdoing. Yet, balance it by always maintaining trust, honesty, and respect. Keep an open-door communication, even when your number of employees multiplies.
We’re more aggressive now in marketing and packaging, both of which prove to be costly. Our brand has been gaining momentum in terms of market acceptance and customer loyalty. We’ve been growing at over 30% in the previous years. There was a back-to-back year where we grew by 50% – all these through God’s grace.
Now, whenever we get to save some amount from our business, we prefer to invest in real estate. But mostly, we plow them back to the business, as we constantly shell out millions for store renovations alone in order to maintain a crisp, fresh look; security deposits and necessary bonds; and of course, ever-improving product lines.
With all these responsibilities, I can’t see myself retiring young and living it up. My conscience cannot seem to allow me to turn my back on people who depend on our business for their livelihood. It’s good to continue working for a cause, and this I believe is why I became a Christian entrepreneur.
This article is from is MoneySense, the country’s first and only personal finance magazine. You can read more financial tips and stories at www.moneysense.com.ph.
REDISCOVER (being) Chinese-Ilocano and proud of it
My money story: Chinese-Ilocano and proud of it
By Melvin Jao Esteban, as told to Lynda C. Corpuz, MoneySense magazine | 03/08/2009 6:24 PM
My being Chinese-Ilocano is a lethal combination – the Chinese are known for their business sense while the Ilocanos for their frugality.
And my parents really complement each other. My father, Manuel, is not really poor or really rich but he experienced hard labor by fetching kanin-baboy and washing frying pan. He is on the money making side, and most of what I know now, I learned from my dad. My mother, Judy, is from an affluent family in Manila and she is on the savings side. They migrated to La Union where we grew up. They taught us to have businesses of our own and to be frugal as well.
Starting young
I never had any allowance when I was in grade school. I only got an allowance when I was in high school. And it was almost the amount of jeepney fare I needed to go to school. They never deprived me though: they gave me food as baon. But they never gave me money.
My mom, meanwhile, helped me open an account when I was only seven. By the time I was in Grade 3, I was introduced to time deposits and I was so proud to have about P10,000 in the bank, which earned an interest of about 22%.
And unlike other parents, ours did not push us to stay with the family business, the Midtown Food Palace in La Union. That is why our eldest, Michael, is a physician; my twin, Malvin, is also a physician; and the youngest, Jerome, is a businessman.
I, meanwhile, finished BS Mathematics from the University of the Philippines. But I went to work for our restaurant for a while. I managed it, fixed the systems, etc. Then I moved out and went corporate.
Operating like a Chinese businessman
I operated like a Chinese businessman in my previous companu, telling people, “Let us be aggressive. Let us look at the markets where we can penetrate.” Like the Chinese market has a very big potential and we expected it to grow faster by 100% to 200% – this is the business plan I did for them. When I first joined the company, its Chinese business was around P40 million. As of the end of last year, we were generating close to P400 million. In 2005, roughly, we generated around P300 million. (Editor’s note: Esteban is now Generali Pilipinas senior vice president for non-life and bancassurance, and a registered financial consultant.)
Establishing a business
My parents kept on insisting though that I have to have my own business. So I went also into the restaurant business, but this time, I am not managing it directly. This is also to prove to my parents that I do not really need to be hands-on for it to grow. Imagine if Jollibee remained a family business, will they have so many branches now? Jollibee founder Tony Tan Caktiong hired the best people to expand the business for him. This is the same concept we are applying in Congo Grill, which I and nine partners put up in 1999.
We did not have a business plan. We did not even know where we were going to put up our restaurant – wala kaming kaalam-alam. Though my family is from the restaurant business, my partners were not really aware how this business operated in the Philippines. If you did a feasibility study on it, hindi mo nga gagawin `yung restaurant na `yun. After all the struggles, the 10 of us still decide as a group especially on expansion plans, while our managing partner handles the day-to-day operations.
Investing as passion
I also believe lahat ng puwede mong pasukan ng pera mo, lahat may risk – it is just a matter if it is a big or small risk. My first year in the stock market in 1994, I lost almost P300,000 because I invested in speculative investments. I had a working concept of how to play it but I did not know actually how to play it. It looked simple but it is really complicated to make a lot of money.
But my portfolio now is very clear. I have short-, medium-, and long-term investments. I already set aside money for my retirement or anything for my future. It is not as significant as what a business can give me, but projection-wise, in dollars, it will give me a long-term rate of around 9%. Also, I have long-term investment in stocks. Short- and medium-term investments, meanwhile, are allotted for opportunities. A portion from my short-term investments is now in stocks – this is actually where I expect the growth would come from. If I am earning 30% to 40% on my stock investments, I do not really need to create a business. And the probability of my earning that much in a year is already very good. And I would project, after the stock market, the next thing to go to is real estate, considering the trend three to four years from now.
Not only do I invest money-wise, I also advance my education to increase my competency in financial management. I already completed courses on financial planning and insurance, investment planning, tax planning, retirement planning, and employee benefits from the College of Financial Planning in Colorado, US. Currently, I am pursuing my post-graduate studies (distance education) in the same school, undergoing my Certified Financial Planner Level 5 on estate planning.
All what I am doing now, I learned from my upbringing, and I am thankful that I am a Chinese-Ilocano.
This article is from is MoneySense, the country’s first and only personal finance magazine. You can read more financial tips and stories at www.moneysense.com.ph.
