Page | 1 About RFM Food Corporation RFM Corporation is one of the biggest diversified food and beverage companies in the Philippines (Over US$250 Mn asset-size in 2007). It was established 50 years ago (1958) as the pioneer in the flour- milling industry in the Asian region, and it evolved from a single company producing bags of flour, to a multi-company enterprise managing a chain of branded products that are highly visible in the consumer market today. RFM offers strong consumer brands known for quality and value in the Philippine market. The company is either the market leader or a significant player in many of the food and beverage categories in the market. Among the branded products which it markets are: White King (cake mixes and flour-based products), Fiesta (Pasta and Sauce), Swift (meat based products), Sunkist (fruit juices), Selecta (milk- based products) and Selecta (ice cream, under the joint venture with Unilever). The company also has business interest in non-food categories, which includes Philippine Township (property development), RFM Insurance and Brokerage Inc. (industrial and consumer insurance) and Rizal Lighterage Corp. (integrated cargo-handling services). Over the years, various partnerships, acquisitions and licensing agreements have boosted RFM's strong market presence and successful brand building efforts. Among its past acquisitions were the Cosmos Bottling Corp., Selecta Dairy Phil., Inc. which have grown to be major brands in the country. RFM also has partnership with Unilever Philippines Inc. on the Selecta ice cream operations, and a brand franchising arrangement with Sunkist Growers of USA, Inc. The solid partnerships that it has built, together with its commitment to produce more value for the consumer's money, contributed much to making RFM world-class Filipino food conglomerate. It is expected to gain even more consumer patronage as it continues to give the Filipino consumer the option to buy world-class products at affordable prices. Value for money is the same commitment it upholds in entering the highly competitive and dynamic world market.
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About RFM Food Corporation
RFM Corporation is one of the biggest diversified food and beverage companies in the Philippines (Over US$250 Mn asset-size in 2007). It was established 50 years ago (1958) as the pioneer in the flour-milling industry in the Asian region, and it evolved from a single company producing bags of flour, to a multi-company enterprise managing a chain of branded products that are highly visible in the consumer market today.
RFM offers strong consumer brands known for quality and value in the Philippine market. The company is either the market leader or a significant player in many of the food and beverage categories in the market. Among the branded products which it markets are: White King (cake mixes and flour-based products), Fiesta (Pasta and Sauce), Swift (meat based products), Sunkist (fruit juices), Selecta (milk- based products) and Selecta (ice cream, under the joint venture with Unilever). The company also has business interest in non-food categories, which includes Philippine Township (property development), RFM Insurance and Brokerage Inc. (industrial and consumer insurance) and Rizal Lighterage Corp. (integrated cargo-handling services).
Over the years, various partnerships, acquisitions and licensing agreements have boosted RFM's strong market presence and successful brand building efforts. Among its past acquisitions were the Cosmos Bottling Corp., Selecta Dairy Phil., Inc. which have grown to be major brands in the country. RFM also has partnership with Unilever Philippines Inc. on the Selecta ice cream operations, and a brand franchising arrangement with Sunkist Growers of USA, Inc.
The solid partnerships that it has built, together with its commitment to produce more value for the consumer's money, contributed much to making RFM world-class Filipino food conglomerate. It is expected to gain even more consumer patronage as it continues to give the Filipino consumer the option to buy world-class products at affordable prices. Value for money is the same commitment it upholds in entering the highly competitive and dynamic world market.
Product excellence, aggressive marketing, keen management and good governance are the driving forces that steer RFM's recognized success.
Company Vision
To be the Philippine market leader in affordable-quality food and beverage products.
Company Mission
To produce and market better value branded food and beverage products for the greater mass of Filipino consumers everywhere in the country.
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Business Portfolio
Sunkist®
Sunkist Fruit Drinks Sunkist Tea Drinks Sunkist Hi- Juice Sunkist Powder Juice
The 9 circles in the growth-share matrix represent a company’s 9 current SBUs. RFM Corporation has four stars, four cash cows, and one question mark.
Stars. Sunkist Beverages, White King Fiesta, Swift Processed Meat, and Health Beverage Line of RFM Corporation are SBUs which generate a large amount of cash because of their strong relative market share, but also consume large amounts of cash because of their growth rate. The company is expanding its manufacturing facilities, specifically in PET bottleblowing and filling lines for the newly launched Sunkist Iced Tea, Hi-Juice products and Vitwater (the first vitamin water produced in the country). Vitwater was also endorsed by people’s champ Manny Pacquiao. Swift Processed Meat has been
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awarded halal certification by the Islamic Da’Wah Council of the Philippines (IDCP), the only halal certifying body in the country recognized by the World Halal Council. RFM “constructed a new pasta-making plant to service the growing demand for its Fiesta pasta products, which is now a strong number 2 in the market due to its consistently good quality and affordability in pricing."
Cash Cows. Selecta Moo, Selecta Ice Cream, Selecta Fortified Filled Milk and Swift Canned Goods of RFM Corporation are SBUs which generate more than is invested in them. Selecta brand which has remained the number one ice cream brand in the country while Swift meat canned goods and Selecta milk products have also registered high double-digit sales growth in 2009 in the company. These successful SBUs had less investment for their advertisement and innovation compared to the new products introduced by the company last year.
Question Mark. White King of RFM Corporation is the only SBU which consume resources of the company efficiently but generate a little in the sales. Management stated that its flour division "which has exhibited healthy growth despite the serious wheat market situation due to better plant efficiencies and cost management.
Dog. The company is consistent in achieving income rises due to the innovations and marketing strategies they do.
Product/ Market Expansion Grid
RFM Corporation's mission is to produce and market better value branded food and beverage products for the greater mass of Filipino consumers everywhere in the country. In order to attain its
mission through its predetermined objectives and goals, the RFM Corporation innovates and developed their products. First, RFM Corporation consider on how to increase its sales of existing products to existing markets (market penetration). They distributed their products not only in the supermarkets, but also in convenience store like, 7-11 Stores, Mini Stop, and the like. Consumers can access easily to RFM products anytime to the nearest 24-hour stop shop. They also
promote their products through TV Commercials. They hire Judy Ann Santos, Sarah Geronimo, Vhong Navarro, Carmina Villaroel and Zoren Legaspi for their Selecta Ice Cream brands which captivated the attention of the mass people and continue purchasing the said product. RFM Corporation also released its new product line, the
Vitwater, which endorsed by people's champ, Manny Pacquiao. They also capture the kids through promoting its Selecta Moo site, which engaged to different kinds of games which kids would love.
RFM management also consider on how to develop its existing products to new markets (market development). Selecta Ice Cream created a Premium Line of Selecta ice cream which is low-fat and best for consumers who is diet-conscious. They also offer different flavors for various ages, kids, teens and adults. Swift Brands enter its new market, the Muslim community. Only Swift offers a wide variety of all-time favorite canned and processed meat products with Halal Certified which means those products that do not contain any prohibited substance, and have been prepared and processed in accordance with strict standards for purity, nutrition and quality in the Muslim community. Swift formulate Rica Protina hotdogs with lower price for the budget-concerned consumers. Swift canned goods also offer a Premium brand of corned beef and luncheon meat for the consumers who like imported but can avail in affordable price.
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Offering modified or new products to current market segments (product development) is the third consider of RFM. Sunkist brands now offer Hi-Juice with three times daily supply of Vitamin C. They
also offer Sunkist Healthy Heart, which reduce cholesterol and god for the heart. Selecta Moo also introduced Selecta Moo Rocky Road, it's not just a simple choc drink but with a premium flavor of mallows, nuts, and chocolate. Selecta Ice Cream brand modified its 3-in-1 Ice cream with free mini Nips, which kids would love. They also
developed their ice cream by adding coco milk to its newest, Pinoy Sorbetes line endorsed by Michael V.
Starting up a new product to the new markets (diversification) is the fourth consideration. RFM take the pride in helping Filipino farmers. They release a vegetable-enriched pancit canton noodles made from real squash. Selecta Ice Cream, newest Sorbetes with coco milk, collaborated with Mang Inasal which they offer a 3-scopped ice cream or a halo-halo topped with Pinoy Sorbetes. New Alo
Youth is also offered to its target market, the youth, endorsed by Chris Tiu.
Product excellence, aggressive marketing, keen management and good governance are the driving forces that steer RFM's recognized success.
