Unveiling Crispy King: A Philippine

Fast-Food Phenomenon

This presentation offers an in-depth

analysis
of Crispy King,a rapidly expanding Philippine
fast-food chain. We will explore its origins,
operational strategies, value creation,
and the challenges it faces in a competitive
market. Our insights are designed for investors,
franchise prospects, and business analysts
seeking a comprehensive understanding of this
remarkable success story.
COMPANY OVERVIEW

Mission and Core Offerings

Crispy King's stated mission is clear and impactful: to deliver
"high-quality crispy fried chicken to the masses at a very
affordable price." Crispy King is committed to delivering
quality food at an affordable price, making it accessible to all. Primarily
targets Filipino families and individuals seeking affordable and
satisfying meals.

The core menu is built around its signature Crispy Fried

Chicken, typically priced at an accessible ₱40 per piece. This
signature product is complemented by a range of popular
Filipino snack items, reinforcing its value proposition.
■ Ngohiong
■ Bola-bola ( meatballs)
■ Lumpia Shanghai
■ Siomai Krispy King's commitment to "quality and customer service are non-negotiable" underscores its operational philosophy, ensuring every interaction exceeds customer expectations and solidifies brand [Link] King's commitment to "quality and customer service are non-negotiable" underscores its operational philosophy, ensuring every interaction exceeds customer expectations and solidifies brand loyalty.

Crispy King's commitment to "quality and customer service are non-negotiable" underscores its operational
philosophy, ensuring every interaction exceeds customer expectations and solidifies brand loyalty.
COMPANY OVERVIEW

From Humble Beginnings to National Reach

Krispy King, officially known as Crispy King,

emerged from ERT Corporation, a Leyte-based
company founded in 2001 as Dayka Bakery. The
first Crispy King outlet opened its doors in Ormoc
City, Leyte, in 2015—a modest 20 m^2 space on
Lopez Jaena Street. From this single location, the
chain experienced explosive growth. By 2018, it
boasted approximately 38 outlets across the
Visayas region, with about 20 concentrated in
Leyte alone. As of 2022, Crispy King has
expanded its footprint to over 900 branches
nationwide.
The company's headquarters and corporate offices remain rooted in Ormoc City (Cogon
Combado, with a franchise office en Anubing St.), underscoring its commitment to it’s origins
while pursuing national dominance.
OPERATIONS MANAGEMENT PRACTICES
Efficiency and Consistency through Centralised Control

Centralised Commissary Standardised In-Store Processes

Stores handle final preparation, such as frying and
A central commissary in Cebu prepares and
assembly, using strict standard recipes and
distributes core ingredients like batter and
equipment. This approach minimises variability and
marinades to all outlets. This ensures uniform
maintains the brandIs signature crispiness and
quality and taste across the entire chain,
regardless of location. juiciness.

Rigorous Staff Training Franchise Support & Guidelines

New employees undergo comprehensive training in The franchise model includes detailed guidelines
cash handling, frying procedures, inventory tracking, and end-to-end operational support, even
and customer service. This commitment to training providing initial staffing during opening. This
ensures consistent operational excellence and standardisation mechanism ensures rapid yet
customer experience.
controlled expansion.
 VALUE CREATION

The Winning Formula: Affordability Meets Quality

Crispy King's success hinges on its dual commitment to exceptionally low prices and consistently high food quality,
a powerful combination in the Philippine market.

1 Cost Leadership Pricing 2 Consistent Product Quality

Menu items are strategically priced for affordability, such as Every product is "meticulously prepared to achieve a level
fried chicken at ₱40/pc and ngohiong at ₱10. This aggressive of crispiness and juiciness," setting Crispy King apart.
pricing strategy makes quality fast food accessible to a bad
This focus on taste and texture builds strong customer
customer base.
satisfaction and repeat business.

3 Widespread Convenience 4 Strong Brand Loyalty

With hundreds of outlets strategically located near Through effective branding and consistent delivery of
schools and residential areas, Crispy King offers its value proposition, Crispy King has cultivated strong
unparalleled convenience and quick service, catering to brand awareness and loyalty, associating the brand
its busy, budget-conscious target market. with delicious, affordable, and filling meals.

This Integrated approach combining cost leadership, decent quality, widespread convenience, and a clear budget-friendly brand-has effectively created
significant value in a highly price-sensitive market
VALUE CHAIN ANALYSIS: PRIMARY ACTIVITIES
Delivering the Promise: From Procurement to Service
Inbound Logistics
Sources
1 ingredients via stable supplier contracts. Pre-battered chicken mix and other high-volume ingredients are
processed centrally at the Cebu commissary before distribution to stores, ensuring supply stability and initial quality
control.

Operations
2
In-store activities focus on precise frying and packaging. Strict adherence to procedures and consistent training of all
employees on frying techniques and hygiene ensure product consistency and safety.

Outbound Logistics
3
Finished products are distributed through dine-in, takeout, and drive-through services. The Cebu commissary
maintains regular replenishment of prepared ingredients and initial staff deployment (one cook and cashier per new
outlet) ensures smooth openings.

Marketing & Sales

4
Marketing leverages low-price mass appeal through on-site signage, social media, and word-of-mouth. Seasonal
promotion, combo meals, and local tie-ups (e.g.) campus promos) drive sales and reinforce the "patok ng masa"
branding.

Service
5
Customer service is prioritised, with staff trained for quick and courteous interactions. The company's strategy
explicitly targets "excellent customer service" to foster loyalty, with many outlets offering casual dine-in seating
for customer comfort.
VALUE CHAIN ANALYSIS: SUPPORT ACTIVITIES

Foundations of Growth: Infrastructure and People

Firm Infrastructure
Corporate functions are centralised in Ormoc. As ERT - Crispy King Ventures Inc., it provides unified
1 support and invests in key infrastructure, including the Cebu commissary and franchise training centres.

Human Resource Management

Focuses on local recruitment (often students) and systematic training in food preparation, hygiene, and
2 customer service. A culture of employee care fosters motivation, with regular evaluations to uphold
standards.
Technology Development
Utilises essential POS and inventory software at stores, with social media for marketing. While proprietary tech is
3 minimal, IT supports critical logistics like commissary deliveries and online franchise management, optimising
efficiency.

Procurement
4 Centralised procurement of raw materials and equipment, including bulk chicken orders and packaging, secures
favourable pricing and consistent quality. This ensures uniform production capabilities across all new outlets.
CHALLENGES IN OPERATIONS
Navigating the Path to Sustained Success
Despite its impressive growth, Crispy King faces significant operational hurdles
that require strategic attention to ensure continued success and market
leadership .

Intensifying Competition Quality Consistency

The Philippine fast-food market is highly competitive, with Maintaining uniform food quality across hundreds of diverse
established giants like Jollibee and KFC posing threats. New branches, particularly smaller franchise outlets, presents a
considerable challenge. High staff turnover and variable
entrants, capitalised and resourced, can easily emerge,
franchise management can undermine consistency, despite
impacting Crispy King,s market share and margins.
rigorous training efforts.

Supply Chain Vulnerability Digital Adaptation

Although Crispy King has stable supplier contracts, Compared to larger competitors, Crispy King has limited online
disruptions in the supply of key ingredients like chicken, or delivery and app-based ordering capabilities. Integrating e-
significant price spikes due to inflation, could severely commerce and cashless payment systems is a crucial upgrade to
impact operations and profitability. meet modern market expectations.
GROUP REFLECTION

Operational Excellence Driving Competitive Advantage

Crispy King's case powerfully illustrates how a regional fast-food chain can leverage sound operations management to
achieve a robust competitive position.

■ Its cost leadership is a direct result of lean operations, characterised by small outlets and a centralised
commissary, reflecting classic efficiency principles.

■ The commitment to "non-negotiable" quality and extensive staff training embodies Total Quality
Management (TQM) principles, ensuring consistent product standards across all branches.
■ The value chain is meticulously aligned: reliable procurement via contracted suppliers and the
centralised commissary ensure consistent operations, which in turn supports the marketing promise of affordable,
tasty food.

■ Strong support activities—firm infrastructure, human resource management, and strategic

procurement—bolster the primary value chain, reinforcing a powerful local brand with positive customer
associations and loyalty.
Crispy King stands as a testament to how standardised production, focused training, and tight cost controls can
 CONCLUSION & OUTLOOK

Crispy King: A Recipe for Future Success

Crispy King has masterfully combined affordability
with quality, establishing a formidable presence in the
Philippine fast-food landscape. Its rapid expansion and
strong brand loyalty are testaments to its effective
operational strategies and deep understanding of the
local market.
As the company navigates intensifying competition
and the imperative for digital transformation, its
foundational strengths in cost control, standardised quality,
and strong supplier relationships will be critical.

For investors, Crispy King represents a compelling opportunity in a growing market, driven by a proven business model and
robust operational framework. For franchise prospects, it offers a well-supported system with strong brand recognition and a
clear value proposition.
Crispy King is not just selling fried chicken; it is selling a successful model of affordable quality and widespread
accessibility—a true Philippine success story poised for continued growth.