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Fuzion Smoothie Cafe: Expanding its market

After gaining a foothold on the affluent market, Fuzion Cafe makes a gradual foray into a broader C segment
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Meredith Ngo's Fuzion has outpaced the growth of its Singaporean mother company, with its unique food offerings.





Since opening its doors in 2005, Fuzion Smoothie Caf‚ has already cornered a sizable loyal following. And today, it continues to win an ever-increasing number of health-conscious customers for its fresh fruit smoothies, power fruits shakes, and other healthy fare such as South Beach diet meals, pastas, and Asian snacks.

Despite the market's warm reception for it, however, Fuzion admittedly remains a niche brand for the affluent market. This is because the products are relatively expensive, with prices that start at P99 and go upwards to P239. A primary reason for this higher pricing is that smoothies don't have ice mixed with them and don't have added sugar either. They have a natural sweetness and refreshing coolness because the fruits they come from are flash-frozen at their peak of ripeness, thus rapidly sealing in all their freshness, taste, and nutrients.


Because of these product attributes, Fuzion owner and managing director Meredith Ngo says that the cafe's offerings do not particularly appeal to the C segment of the market where the volume is. A lot of people don't even know what a smoothie is, and this drawback is somehow curtailing the growth of the business.

She explains: "We have long wanted to tap the broader C segment of the market, but with the current price-points, we found that we appeal more to the AB market. So what we did was to tweak some of our products, like gradually introducing rice meals to make our food offerings better suited to the market."

Fuzion is a Singaporean smoothie brand that Ngo brought to the Philippines in 2005. She says that as the master franchiser for Fuzion in the country, she has already made the local version outpace the mother company in terms of growth. Indeed, there are now six Fuzion stores, all located in shopping malls: three in Quezon City (Eastwood City, Trinoma, and The Block at SM North EDSA), and one each in Makati City (Greenbelt 3), San Juan City (Greenhills Promenade), and Pasig City (Podium). Already in the works are Fuzion stores for Shangri-la and SM Fairview.


"The healthy-eating trend is slowly catching on in the Philippines," Ngo says. "Because of this, we are confident that in a matter of years, we will be better established in terms of market presence. Also, although we are tweaking the cafe‚ to appeal to the broader market, we are committed not to sacrifice the quality of the products that we are serving to our customers."

Fuzion is now accepting franchise applications for the business. It offers attractive investment packages ranging from P1.5 million for a kiosk to P3 million for a full cafe, and also customizes investment
packages to suit the potential franchisee.

"We are excited about the prospects for the upcoming years," Ngo says. "Smoothies can be enjoyed by people of all ages, and because more and more people are getting into healthier lifestyles, we expect the demand for our products to grow even more. We are not just a flash in the pan. We are a brand that we believe will always be in demand and more so in the coming years."

Unit 904 Raffles Corporate Center
Emerald Ave., Ortigas Center, Pasig City
Telephone: (02) 915-6007

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