Entrepreneur 23: RAYMOND MAGDALUYO

RAYMUND MAGDALUYO

Business: Red Crab Seafood and Steaks

Category: The Young Millionaires

"I am proud to say that we are the safest place for crab and seafood."

His mother started Red Crab in Clark, Pampanga in 1998, then a year later he put up a second branch in Malate, Manila while working as a research associate at the Asian Institute of Management. Then he later quit his job to focus on Red Crab.

"When you start a restaurant business, it's hard to penetrate the hot locations because you don't have a name yet. So you have to start where it's easier to penetrate, where the rent is low and the overhead is manageable. When you have proven your worth that's the time these locations come to you."

The Red Crab transformed from being a purely mid-to-high end crab and seafood restaurant chain into a "house" of branch. Business has gone from tough to very very tough in the past couple of years with consumer confidence on the wane and inflationary pressures squeezing their margins. He attribute their success on their unique product - there are a lot of restaurants offering pasta, pizza and grilled food, but they are the only restaurant that offers crabs and seafood in a casual dining setup.
Their biggest problem is how to get more crabs to meet the growing demand and minimizing crab spoilages.
They have a professional food safety manager who does hazard analysis on the crabs they serve. They constantly monitor places reported to have been contaminated by red tide and make sure that they don't get their supplies from there.

"What we're selling really is the experience of eating crabs and seafood. Most restaurants dwell on creating the perfect ambiance. For us, Red Crab is a place for people who know their seafood. We also want it to be a place where people - even those in casual clothes - can relax and not be intimidated by classy furniture. We also offer fast, reliable, attentive and anticipative service to our guests."

GOLDEN RULE:
"To be the best in your field, you must love your customers, have passion for detail, and an obsession for unique and powerful dining concepts."