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Agri-tech, wellness entrepreneurs triumph at She Loves Tech Philippine finals

She Loves Tech 2024 Philippines winners Unprude and Farmtri will represent the country in the competition’s Regional Finals in Singapore, competing against other women-founded startups from Southeast Asia.

Singapore-based startup accelerator She Loves Tech, together with QBO Innovation Hub, Ideaspace Ventures, Inc., and with SM Supermalls, empowered 10 Filipina-led tech startups to showcase their innovative and impactful business models in the Philippine finals of She Loves Tech 2024, held last Aug. 2 at SM Aura’s Samsung Hall.

This year’s finalists come from varying industries, including agri-tech, health and wellness, communications for differently-abled people, and more. From this selection of outstanding businesses, Unprude and Farmtri were chosen to represent the Philippines in the Regional Finals, which will be held in Singapore later this year.

The grand winner, Unprude, is an app that encourages self-reflection to help users navigate sexual and life challenges, fostering deeper self-understanding, better relationships, and greater compassion for others.

In second place, Farmtri is a business-to-business digital platform that is innovating the food value chain. It utilizes artificial intelligence to predict market trends that help food businesses and farmers minimize losses and food waste.

She Loves Tech, led and founded by three women, has made supporting and launching women-led businesses their main focus since 2015. This advocacy brought along the establishment of the world’s largest startup competition for women and tech with the same name.

SM Supermalls shares in She Loves Tech’s vision, as one of the largest supporters of micro, small and medium enterprises (MSMEs) and projects that empower women.

SM Cyberzone is also celebrating Cyber Month this August, which means a larger focus on all things tech and how it can help level up anyone’s lifestyle, including through tech-powered job creation and tech-integrated business practices that address sustainability and community-building.

The partnership is also a continuation of SM’s year-round support for women-led businesses and startups, which can be seen through initiatives like SM’s Weekend Marketplace and the SM4SMEs Community Bazaar.

“SM is deeply honored to be partnering with She Loves Tech to host the Philippine leg of this competition. We are excited to see what these brilliant, hardworking, and business-minded women have in store for the betterment of our society,” said Steven Tan, president of SM Supermalls.

Filipino Gen Zs prioritize self-reward when shopping, study finds

Filipino Gen Z spend primarily to reward themselves, according to a joint study by the Filipino-focused sociocultural research firm The Fourth Wall and communications firm Uniquecorn Strategies.

About three out of four Filipino Gen Z consumers living in urban areas said they shop online because they believe that they deserve it. This shopping philosophy is driven by their desire for happiness, fear of missing out on trends, and the need to reward themselves for overcoming work or study-related stress.

The survey revealed that 50% of a typical Filipino Gen Z’s finances come from parental allowances, while the other 50% come from full-time work, businesses, or side gigs. On average, they make six online purchases per month, ranging from a minimum of one to a maximum of 10.

“The young generation is rapidly becoming a significant portion of the consumer market, and is already shaping market trends, especially the e-commerce space,” said John Brylle L. Bae, research director at The Fourth Wall.

“This self-rewarding behavior among Filipino Gen Zs stem from their growing self-awareness, driving them to seek rewards that affirm that sense of self-worth,” he added.

Mr. Bae also attributed this behavior to the Filipino “sayang” mindset, where daily struggles and deprivations lead them to seize rewarding opportunities out of fear of missing out.

The study adds that urban Filipino Gen Zs are intelligent buyers as they splurge based on quality (81%) and price competitiveness (10%). They are most likely to repurchase from the same brand that consistently delivers high-quality and affordable products, but are also willing to try other brands even if they are emotionally attached to their current ones.

The study also found that Filipino Gen Zs buy based on trust and personal affinity. Upon hearing about a product, 81% of them do not purchase immediately but search customer reviews first on shopping platforms and Google.

They still primarily rely on word of mouth to discover products (60%), while others rank social commerce ads (59%) as important to their shopping experience. They take cues from the people they deeply trust, friends, and family. They are also more influenced by honest, objective or out-of-pocket reviews from influencers or content creators with appropriate expertise.

Gen Z is known as the first generation to grow up with the internet and digital devices practically glued to their hands, which means they prefer the convenience of online shopping. Almost all the respondents (92%) use their own mobile phones for purchases and prefer cashless payment methods (53%).

Given this, Uniquecorn Strategies Founder and CEO Dean Bernales said that it is important to understand the consumer behavior of the younger generation.

“Online retailers should pay close attention to the shopping desires and needs of Filipino Gen Zs. Brands need to reassess their supply chain strategies and enhance their social commerce platforms to build trust, create personal connections, and develop a relatable image to capture the young market,” Mr. Bernales said.

As a result, the study identifies several key opportunities for brands to connect with Filipino Gen Z consumers more effectively. There is a significant potential for advertising on more personal yet credible emerging media platforms such as podcasts. Brands can leverage self-expression and identity in their branding to establish a personal affinity with target customer personas.

Additionally, adapting different messaging strategies and formats to align with influencers’ content can appeal to their niche audiences. Creating personalized subscription models for fast-moving consumer goods (FMCGs) can offer an immersive experience while promoting convenience and catering to personal preferences.

Tapping into Gen Z’s hobbies, interests, and desired personal images when developing brands, products, and services can further enhance their engagement and loyalty.

Citing prior research, the study noted that there are about 41 million Gen Zs in the Philippines, making up for about 38% of the total population, according to Philippine Statistics Authority’s latest official 2020 census.

Meralco’s MGen steps back from Laguna hydropower complex bid

BW FILE PHOTO

MERALCO PowerGen Corp. (MGen) opted out of the bidding process for the 796.64-megawatt (MW) Caliraya-Botocan-Kalayaan (CBK) hydroelectric power complex in Laguna, citing constraints within its portfolio as the primary reason.

“Today, there’s still the limited portfolio that we have in order to at least provide the value for CBK that would be competitive,” MGen President and Chief Executive Officer Emmanuel V. Rubio told reporters on July 29.

“We decided not to proceed with that. I think, let the others with the bigger portfolio participate. I think that’s how they’re going to justify the participation of ACEN, First Gen, and Aboitiz,” he said.

Mr. Rubio said that it would be difficult to provide the value for the CBK hydro complex with the upcoming round of the Green Energy Auction (GEA), which involves pumped storage hydro.

MGen, the power generation arm of Manila Electric Co. (Meralco), currently has a total power generation gross capacity of 2,425 MW, utilizing coal, liquefied natural gas, diesel, and solar technologies.

MGen was among the eight qualified bidders identified by the Power Sector Assets and Liabilities Management Corp. for the CBK hydro complex privatization.

Other bidders were Marubeni Corp., Semirara Mining and Power Corp., First Gen Prime Energy Corp., Giga Ace 11, Inc. under ACEN Corp., and Korea Water Resources Corp.

The Thunder Consortium, composed of Aboitiz Renewables, Inc., Electric Power Development Co., and Japanese firm Sumitomo Corp., and the consortium composed of China Huadian Hong Kong Company Ltd. and Citicore Renewable Energy Corp. were also qualified bidders.

The CBK hydro facilities are currently under a 25-year build-rehabilitate-operate-transfer and power purchase agreement between independent power producer CBK Power Co. Ltd. and National Power Corp., which will expire in 2026.

These facilities include the 39.37-MW Caliraya HEPP in Lumban, the 22.91-MW Botocan HEPP in Majayjay, and the 366-MW Kalayaan I and 368.36-MW Kalayaan II pumped storage power plants in Laguna.

The bidding is set to commence this year, with awarding targeted for 2025.

Meanwhile, Mr. Rubio said that MGen’s participation in the third round of the GEA would depend on the prices that will be set.

“It depends on what the prices are, but we would have projects that can participate as long as the prices are acceptable,” he said.

The Department of Energy will offer an estimated 4,399 MW of capacity, covering geothermal, impounding hydro, pumped storage hydro, and run-of-river hydro.

Meralco’s majority owner, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera

Sonet boon

PHOTO BY KAP MACEDA AGUILA

Kia’s crossover contender is flying off the shelves, as expected

EXECUTIVES of Kia Philippines are probably waxing lyrical right now about the Sonet.

Not even two months since the launch of the compact crossover here, more than 700 units already found homes in people’s garages. Said Kia Philippines Motor Corp. (KPMC) President and ACMobility Head of Automotive Distribution and Retail Toti Zara III in a speech ahead of a recent drive with members of the press and content creators, “The whole organization is very excited about the Sonet because we feel it is the right car at the right time, at the right place, at the right price. We in Kia need to seize the opportunity.”

And seize it Kia did, with great results.

Meanwhile, in an interview with “Velocity,” Kia Philippines Marketing Director Patrick Manigbas reported, “The Kia Sonet is now our volume driver, as anticipated. That’s how we planned and positioned it. It’s meeting and even slightly exceeding expectations. A lot of our dealers are already requesting for more units.”

The key, he added, lies in ticking boxes not normally done so in the segment and price point. “We call it an entry-level SUV, but it’s not really entry level in terms of features,” Mr. Manigbas averred. “It has ADAS (advanced driver assistance system), a very capable engine, sunroof. I think it represents the formula of getting the right mix or product balance for the Philippine market.”

The Sonet is said to be in a “sweet spot,” with its pricing allowing it to compete at levels below the traditional “psychic barrier” of P1 million. The base variant 1.5 LX MT is priced at P758,000, the 1.5 LX AT at P888,000, and the 1.5 EX AT at P998,000. Only the range-topping 1.5 SX AT (which we drove) breaches the aforementioned mark, as it is priced at P1.158 million.

“Where would you find advanced driver assist systems in a model in this segment?” stressed Mr. Zara, referring to the SX AT’s lane keeping assist, lane following assist, forward collision avoidance assist, downhill brake control, high beam assist, and driver attention warning — in addition to cruise control which is standard on all variants, save for the entry-level 1.5 LX MT.

As the market response to the Sonet has been better than expected, Kia Philippines now finds itself with a good problem — with supply being overtaken by demand. Aside from the 700 units sold, there is “about the same number of bookings,” shared the executive. “When we launched the car, we had 900 or 1,000 units on the ground, now all spoken for. Unfortunately, we do have back orders; there was a delay in the shipment. We realized that people love the masculine and modern design of the Sonet relative to its direct competitor.” He added cheekily, “You know what that is.”

Mr. Zara promised, “By early fourth quarter we should be able to catch up with customer back orders. We apologize to all our customers who we’ve not been able to serve. We’re addressing it and are encouraged by the market take-up.”

Driving southward from Taguig to Cavite and Batangas, our convoy of Sonet units went through a mix of terrain and driving situations — made even more diverse when the skies dumped rain on us while we were in Tagaytay. Even through twisties and inclines, the Sonet’s 1.5-liter four-cylinder Smartstream gasoline engine, mated to an Intelligent Variable Transmission (IVT), proved adequate for realistic expectations. If you desire a bit more response and agility, keep the drive mode at Sport to more readily access the 115ps and 144Nm of torque promised by the mill. Keeping the revs above 2,000rpm also helps when going uphill.

Inside, the SX AT boasts an all-digital affair, with similarly sized 10.25-inch infotainment and instrument screens. Other touches including two-tone leather seats adding to a more upscale feel and finish. Apple CarPlay and Android Auto connectivity are supported, and the vehicle also offers wireless charging.

The timing of the Sonet’s release, maintained Mr. Zara, coincides with the continued resurgence of the auto industry. “The industry is very strong,” he observed. “It looks like it’s trending to hit more than 474,000 in sales — a record-high. We feel it’s the right time because (Kia) has a very strong and mature dealer network. We’ve completed the transition to the new CI (corporate identity), and we’ve been working on our after-sales… we now have better parts availability and technical competence.”

Joined Mr. Manigbas, “We came into the market targeting millennials, which we call the practical indulgers. To echo Mr. Zara’s point, even during the launch back in June 6, this is the sweet spot in terms of pricing in the market. Those who are looking to buy their first SUV would gravitate to something like this.”

The executive added that the crossover segment is expected to continue growing as more Filipinos — particularly a younger demographic — are able to buy new vehicles. “Sedans will still be there, but we see SUVs really driving growth. That’s the trend we’re seeing.”

Hive Health raises $6.5 million to transform HMO access for more SMEs

From left: Hive Health President and Co-Founder Jiawen Tang and CEO and Co-Founder Camille Ang

Digital health insurance company Hive Health raised $6.5 million in Pre-Series A funding to transform healthcare access for more SMEs in the Philippines.

Key investors of the fund raise included Sy family-backed Gentree Fund and global VC firm BEENEXT. Other institutional investors include Y Combinator, The Graduate Syndicate, Amasia, and Oak Drive Ventures. Angel investors include David Wells, former CFO of Netflix and chairman of Wise; Lee Kheng Nam, former deputy chairman of Temasek subsidiary Vertex Holding; Natasha Reyes, former owner of HMO HPPI; and Dr. Edwin Mercado, founder of one of the largest healthcare systems in the Philippines that is now part of the Healthway Qualimed network.

“We see immense potential in Hive Health’s innovative approach to transforming healthcare for SMEs. Leveraging our extensive local consumer knowledge and operational expertise, we are confident in Hive Health’s ability to cement its market leadership in the SME space and drive significant positive change in the Philippine market. We are excited to support their journey,” said Mark Sng, representing the Gentree Fund.

“We’ve validated that SMEs love what we’ve built and now we want to reach more lives by accelerating our penetration of the underserved SME market in the Philippines,” Hive Health’s CEO and Co-Founder Camille Ang noted. “The fresh funds will help us grow our superstar mission-driven team, and invest in our technology platform and operations to further elevate the patient and employer experience.”

In addition, Hive Health will be expanding its already extensive nationwide network to more healthcare providers, including those in more remote areas of the country.

Founded at Harvard and Stanford Universities in 2021, Hive Health is a full-stack digital health insurer, offering hassle-free, comprehensive HMO health plans for SMEs and startups, encompassing outpatient, inpatient, emergency, and dental care through an extensive nationwide network of 1,700 hospitals and clinics, and over 60,000 doctors across locations.

Prior to this raise, Hive Health made history by being the first startup to acquire one of the pioneering health maintenance organization (HMO) insurance companies in the Philippines, Health Plan Philippines, Inc. (HPPI), securing a full insurance license and 37-year nationwide provider network.

Co-Founders Ms. Ang and Jiawen Tang started Hive Health from a shared discovery that while health insurance is extremely inaccessible in developing countries like the Philippines, there is an opportunity to leverage their unique backgrounds in fintech, data, and public-private partnership to solve this problem.

From their Harvard masters thesis, they learned that out of the 110 million population, less than 10% had access to comprehensive health coverage beyond PhilHealth and over 50% of healthcare costs are still paid out of pocket, resulting in more than 1.5 million Filipinos falling into poverty each year due to health shocks.

Camille and Jiawen set out to change the status quo by questioning: “Why do health plans in the Philippines barely cover critical illnesses or services like mental health and medicine? Why do we need to wait for hours just to get a Letter of Authorization (LOA) to see a doctor? Why is customer service often out of reach?”

Beyond offering innovative, inclusive benefits such as mental health, medicine, and LGBTQIA+ partner coverage, Hive Health has built a digital platform that empowers patients to manage their care easily through its one-of-a-kind vertically integrated telehealth and care coordination model that bridges virtual and in-person care.

Additionally, companies can use Hive Health’s HR dashboard to centrally manage plan enrollments, invoices, and understand employee wellness.

Furthermore, Hive Health has developed its own Electronic Medical Records system and integrated provider portal that facilitates transparent claims management and faster payouts for its partner doctors and clinics.

Change in healthcare is notoriously slow, but we’ve seen promising results from our ‘test fast and fix things’ approach, and the new round of funding will help us accelerate this further,” noted Ms. Tang, also the president of Hive Health. “We have not only iteratively innovated on the traditional aspects of health insurance administration but now are increasingly working towards our ultimate goal of transforming the total patient experience through changing care delivery models.”

Hive Health has built robust foundations from the ground up over the past three years, and it plans to lead the industry in adoption of new technologies such as generative AI and machine learning predictive analytics.

With the growing competition for talent, SMEs have been flocking to this startup to serve their employees, largely from word-of-mouth. From its launch in 2021, Hive Health is now serving hundreds of small and medium businesses and has grown eight times in the past year alone.

Beyond providing more holistic healthcare for employees, one employer shares how critical one’s HMO is for talent acquisition and retention.

“We’re seeing the trend now when people apply for companies. They don’t only look at how much money they’re getting, how big their salary is, but how holistic the package being offered to them is. We make sure that we partner with the right people, with the right benefit partners, and that’s why we chose to partner with Hive Health,” said Sam Tangco, COO of Five Story Group of Companies, who recently renewed their contract with Hive Health.

LRT-1 Cavite extension phases 2, 3 may start construction by 2026

THE SECOND- and third-phase construction of the Light Rail Transit Line 1 (LRT-1) Cavite extension may begin by 2026 amid right-of-way acquisition issues, the Department of Transportation (DoTr) said.

“There are certain utility relocations that need to be done; it is already more than 80% complete, our right-of-way for the [combined] segment two and three. It is just the relocation of utilities and a few lots,” Transportation Undersecretary for Railways Jeremy S. Regino told reporters last week.  

The challenge right now is the pole relocation efforts, Mr. Regino said, adding that it may take a while.  

“Meralco (Manila Electric Co.) is doing its best; they look at themselves as equal stakeholders. They are very cooperative in helping us relocate utilities,” he said.  

With this, the DoTr said it expects to complete the transfer of the right-of-way by the end of next year, paving the way for construction to begin by 2026, Mr. Regino said.

In March, Light Rail Manila Corp. (LRMC), the operator of the LRT-1, said it was on track to launch the first phase of the Cavite extension by the end of the year after reaching 97% completion.  

Last week, LRMC announced that it would temporarily halt LRT-1 operations for three weekends: Aug. 17-18, Aug. 24-25, and Aug. 31 to Sept. 1.

This move aims to expedite the opening of the first phase of the LRT-1 Cavite extension, which is scheduled for completion by the end of 2024.

The LRT-1 Cavite Extension Phase 1 is expected to serve about 600,000 passengers daily.

The first phase will add a total of 6.2 kilometers to the line, connecting Baclaran Station in Pasay City to Dr. Santos Station in Parañaque City, while the Cavite portion, or phases two and three, will cover the Las Piñas, Zapote, and Niog stations.

LRMC is the joint venture of Ayala Corp., Metro Pacific Light Rail Corp., and Macquarie Infrastructure Holdings (Philippines) Pte. Ltd. Metro Pacific Light Rail is a unit of Metro Pacific Investments Corp., which is one of three Philippine subsidiaries of Hong Kong’s First Pacific Co. Ltd., the others being PLDT Inc. and Philex Mining Corp.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., maintains interest in BusinessWorld through the Philippine Star Group, which it controls. — Ashley Erika O. Jose

Paris sets new trend as the product placement Olympics

A ‘VICTORY SELFIE’ taken with a Samsung flip phone by the winners of the men’s artistic gymnastics floor finals at the Paris Olympics — the Philippines’ gold medalist Carlos Yulo (center), along with fellow medalists Artem Dolgopyat of Israel (L), and Jake Jarman of Great Britain (R). — INTERNATIONAL OLYMPIC COMMITTEE

PARIS — Winning athletes in Paris have received their medals on Louis Vuitton trays before being handed a Samsung flip phone to take a “victory selfie,” heralding a new era of product placement at the Olympics that Los Angeles looks set to build upon.

The medalists’ podium photo didn’t happen by chance. Samsung told Reuters it began talks with the International Olympic Committee 18 months ahead of the Games to plot the product placement drive.

The boundary-pushing placement of wares by high-profile sponsors Louis Vuitton Moët Hennessy (LVMH) and Samsung in Paris is illustrative of how sponsors are seeking new commercial opportunities from an event that still has strict rules around advertising inside competition venues.

Samsung said the strategy was “driving awareness of the new Galaxy Z Flip6 globally,” though it did not provide details on sales since the Paris Games opened.

Meanwhile online searches for LVMH grew 43% in the United States during the first week of the Games, according to digital analysis provider Captify.

The opening ceremony saw artists Lady Gaga, Aya Nakamura, and Celine Dion all clad in LVMH brand Dior, whilst the event included a minutes-long video showcasing Louis Vuitton’s design and crafting of the Olympic flame trunks and medal trays.

“Paris has moved things on significantly for all and created something that’s been like a playground for brands — the ultimate playground,” said Steve Martin, founding partner of MSQ Sport and Entertainment, a sports marketing agency.

Paris 2024 has seen sponsors and broadcasters turn to product placement, influencers and celebrity commentators like US rapper Snoop Dogg to reach younger audiences and new markets.

The International Olympic Committee (IOC) this week said it was embracing the trend and facilitating it.

Organizers of Los Angeles 2028 say their Games — with a budget estimated at $6.9 billion — will be privately funded through a combination of sponsorship, ticket revenue, broadcast and merchandise revenues, and not taxpayer money.

LA28 officials told Reuters they had raised more than $1 billion in domestic sponsorship to date, more than Paris had achieved at the same point, and was two thirds of the way toward its goal that exceeds $2 billion.

LA28 anticipates announcing an auto sponsor by the end of the year, LA28 Chief Executive Officer Casey Wasserman told Reuters.

“We’re in the market for the category, we’ve got very active discussions and I imagine that before yearend, we’re likely to announce our partner,” he said.

THE ‘COMEBACK OLYMPICS’
The increased product placement at Paris 2024 is likely to prompt debate over just how far to push it.

Michael Payne, a former IOC marketing director, said the overt display of LVMH wares during the opening ceremony and the “victory selfies” with Samsung’s flip phone threatened to cross a fine line.

“Other sponsors will say, ‘well, why can’t I have something on the medal stand?’” he said. “If you let that genie out of the bottle, you will never put it back,” he told Reuters.

Nonetheless, the IOC appears set on its course.

“This is the path that we are taking, deliberately, and you will see things evolve in that direction in future Games,” Anne-Sophie Voumard, the IOC’s Managing Director of Television and Marketing Services, told reporters this week.

The IOC’s shift was “encouraging,” said Martin Sorrell, the founder and former chief executive of WPP, a leading global advertising group.

Los Angeles’ reputation as a city that oozes celebrity glamor, wealth, and ostentation was a tantalizing prospect for sponsors, said Harry Poole, vice-president of marketing solutions at Excel Sports Management.

“There couldn’t be a better commercial market,” he said. — Reuters

Past, present, future

MG Gallery is located at 1229 Quezon Avenue in Quezon City. — PHOTO FROM MG PHILIPPINES

MG Gallery shows brand’s century-long heritage, current and future models for PHL market

By Dylan Afuang

MG PHILIPPINES recently opened the MG Gallery in Quezon Avenue, Quezon City, and it serves a myriad of purposes for the brand and its customers here. The business also represents Morris Garage’s local expansion with official distributor SAIC Motor Philippines (SMP).

Located at 1229 Quezon Avenue, the Gallery ultimately becomes “the brand’s showcase showroom to potential customers,” the local distributor explained in a release.

The opening of the MG Gallery coincides with the 100th anniversary of its founding in England in 1924. It was then acquired by Chinese SAIC Motor Corp. in the 2000s. The latter company’s local arm, meanwhile, marked one year in business last July.

“Customers can enjoy a look at the full lineup of available (vehicles) from the British-born manufacturer, as well as have any immediate inquiries answered (by MG sales officials),” the statement continued. Customers intending to purchase will then be directed to their preferred MG dealership.

Boasting a showroom floor that can accommodate 10 vehicles, the “MG Gallery aims to build more interest for the British-born global brand as it will showcase both current and upcoming (MG) EV (battery-electric), HEV (hybrid-electric), and ICE (internal combustion) models.”

“We are fueled by our ambition to make MG one of the top automotive brands in the Philippines,” SMP President Felix Jiang announced in his message during the opening of the brand’s showroom.

“The Gallery is the first major step in our ambitious goal,” he continued. “And this will be followed soon by two more flagship showrooms: MG Greenhills (in San Juan City) and MG Alabang (in Muntinlupa City), to officially open in the coming months.”

Lining the Gallery’s walls are a graphic timeline of MG’s history, as well as photos and information about the marque’s classic models. MG Philippines is also searching for an old, but mint-condition, MG to display in the space, SMP Digital Customer Experience Manager Pattice Tenorio told the media at the sidelines of the opening.

Other amenities of the MG Gallery include service bays with an AC EV charger, and a cafe and customer lounge. Soon, the establishment will have a DC charger out in front to accommodate traveling MG drivers, serve as an SMP-led events venue, and become a sales and technical training center for the brand’s sales and service personnel.

Alongside the opening, SMP also previewed the L7 battery-electric sedan made by the car maker’s IM luxury sub-brand. The company aims to introduce IM here, but as of this writing, it has not revealed specific timing about a formal launch.

The L7 features a cabin with a unique two-spoke steering wheel, infotainment and driver display screens that span the whole dashboard, and wood inlays, all wrapped in a sleek exterior.

Powering the EV are two electric motors delivering 571hp and 725Nm of torque, and a 100-kWh battery that enables a manufacturer-claimed range of 615km, per the model’s spec sheet.

For more information, the public can reach MG Philippines via its official hotlines (02) 5318-8429 or 0917-702-0449, and Instagram (mg_philippines).

TRB circular on RFID fines awaiting final steps for September implementation

PHILIPPINE STAR/ MICHAEL VARCAS

By Ashley Erika O. Jose, Reporter

THE TOLL REGULATORY Board (TRB) said the draft circular imposing fines for those passing expressways without radio frequency identification (RFID) tags and those with insufficient funds has already been signed.

“But it still needs publication and registration with UP-ONAR (University of the Philippines-Office of the National Administrative Register) to be effective. Probably [it will be effective] this coming September,” TRB Executive Director Alvin A. Carullo told BusinessWorld in a Viber message on Sunday.

Metro Pacific Tollways Corp. (MPTC) President and Chief Executive Officer Rogelio L. Singson said this would pave the way for the implementation of a cashless collection system.

“Right now, there is no regulation that says I can fine you if you enter without RFID or your load is not sufficient,” Mr. Singson said on the sidelines of a forum last week.

With the signing of the circular, tollway operators can now implement a full cashless system, he said.

“In other words, they can impose the cashless system,” he said, adding that the implementation of interoperability between toll collection systems is still on track for October.

He said the target implementation for electronic toll collection interoperability is still set for October, while the migration of the company’s system is ongoing.

To recall, TRB initially aimed to implement a unified wallet system by July, but it was later postponed to October while MPTC and San Miguel Corp. (SMC) establish an interoperable wallet.

In April, MPTC said it would allocate up to P10 billion for the implementation of a barrierless toll system.

The first stage of the barrierless tollways will be the implementation of cashless transactions, followed by the interoperability or the introduction of the unified RFID wallet system along expressways.

In a separate media release over the weekend, SMC said it has equipped its entry toll plazas along the South Luzon Expressway (SLEx) with automatic license plate readers to reduce the need for barriers.

“The upgrades are likewise in line with the government’s directive to implement contactless toll collection and barrier-less plazas along expressways,” SMC said.

The company is also upgrading its servers to manage and improve their capacity to handle the growing number of vehicles, SMC said.

SMC said the expansion of SLEx is on track to be completed by the fourth quarter.

The expansion of SLEx is being undertaken by SMC’s unit SMC SLEX, Inc., which is aiming to widen the expressway to six lanes on each side from the current four lanes on each side.

It said the upgrades include enhancements to its cashless toll collection system for barrierless toll plazas.

MPTC is the tollways unit of Metro Pacific Investments Corp., one of three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls.

You wanna be on top? The model life

By Joseph L. Garcia, Senior Reporter

FORGET parents and lovers. Who really guides you with how to live your life are the models smiling from your screens, or looming at you from billboards larger than life. They’re not actually telling you anything, but the clothes they wear, and the yogurt they’re not actually eating presents you with a picture of how a life should be lived. What they’re showing isn’t always particularly true, or realistic, but it’s always good to reach for a star.

Models (most of them uniformly sized and quite tall) were all at Dr. Wine in Makati’s Poblacion for a brand and socials night on Aug. 6. Their ringleader, Diego Harmuch, Chief Executive Officer and founder of Luminary Model Management, Inc., was dressed in a suit and told BusinessWorld what it’s like to live that life.

The modeling agency started scouting in 2020 but was officially launched in 2021. Since then, their models’ faces and bodies have graced the pages and covers of international magazines, and store windows of global fast-fashion brands.

GETTING THERE
Mr. Harmuch told us the steps to getting hired as a model.

First you get scouted, or you get referred, or you can apply to a modeling agency, or you can attend an open casting (they’ve just finished one: 86 aspirants came in, only two women got the job). If they like your profile, they schedule an interview. Then, they arrange a photoshoot so they can fill up your comp card: like a calling card for models, but aside from biographical data, it contains the model’s measurements and pictures. These include full-body and half-body shots, close-ups, and snapshots. “What closes the job are the snapshots; clean shots. You need to see how the models really are when they have no makeup, and they are not produced,” said Mr. Harmuch. These comp cards are then shown to clients and casting agents.

But what should a model look like? It still depends on the market.

“I remember modeling in the Philippines 10 years ago. The market was very different,” Mr. Harmuch said. Himself possessing a lean frame, the casting agents and brands back then looked for more muscular builds. “It’s (now) much more open. I believe anyone can become a model, as long as they really want to do it,” he said. “And of course, (if) you have the certain measurements that you need to have.”

He gives some examples: a female model would be around 5’6” to 5’7”, but that’s variable (again, it depends; a phrase Mr. Harmuch used a lot in this interview). The shorter girls can do beauty, skin, and clothing campaigns, but, “We have girls who are taller, who are suitable for fashion shows.”

If the model is doing beauty campaigns, they have to have great skin. For other areas, it’s a lot more nebulous: “You need to fit the clothes very well,” he said. “The clothes have to look good on you. You’ve got to have good proportions.” He added, “We look for different faces, now that the market is very open.”

X-FACTOR
Scouting a model might feel a bit like falling in love (though Mr. Harmuch thinks the feelings are different). “I think it’s like an X-factor,” he said. “You see potential. You see raw potential in that person. You see what a person can possibly become.

“You see a person, and you really believe that that person can be a model. You know what I mean? And then it just happens to them,” he said. “That person was born to be a model. Just guide that person properly… put them in the right place.”

Mr. Harmuch had been a model himself, starting at age 14. He took pictures with his cousin, who sent them to a modeling agency. Asked if this was proof that he had always been good-looking, he said, “I mean… that I don’t know. It just happened.”

While head of a modeling agency, he’s also a photographer. Asked what it’s like on the other side of the lens, he said, “There’s a lot more planning. You really have to plan, and know that you are dealing with people’s lives. It’s a bigger responsibility.”

THE MODEL LIFE
We interviewed some of his models: Hazel Xue was studying public relations in Australia and decided to do something a bit more casual and part-time to make money, and still have fun. “When things started to become a little bit more serious, I saw my potential in this industry,” she said. She stands in front of a mirror sometimes to practice posing, or does research on her favorite international models to see how they do it.

Male model Diego (who asked for his last name to be a simple “M”) said about his discovery, “Classic story. I was walking in a mall.” In SM Cherry, in Mandaluyong, of all places. A designer approached him and asked if he was a model. He said no. The designer asked if he wanted to be a model. He said no. “I really had nothing in my plans to be a model,” he said. The designer posted his picture on Facebook, where it was spotted by Mr. Harmuch and his wife.

“I wanted to be a chef,” said Mr. M. “I’m doing this first before that, because I know modeling doesn’t last very long. My true passion is cooking. Modeling became also like a hobby and passion over time.

“I love it. It’s just a world that I was never exposed to,” he said. Mr. M, 21 years old, tried to explain the politics of the Second World War, ending by saying that his European father turned socialist. “They were anti-capitalism; all this, that’s all in my head. This world is new to me.”

ON DIETS AND TRAVELING
Young, good looking, traveling the world (Mr. M had done a show on Milan Fashion Week), and your only tax to enter this world is your face. Life as a model should be easy, but Mr. Harmuch said in a low voice, “Not really.”

“First thing, it’s a 24-hour job. You always have to (fulfill) measurements. You always have to look a certain way. You have to work hard for that,” he said.

Salads and assorted cheese and charcuterie were served as the first course of that evening, as well as foie gras on different kinds of bread. A server, laughing, aware of the models surrounding the table, said that the bread may be left untouched, because of the models’ diets. One (Mr. M, actually), said, “Kakainin ko iyan (I’ll eat that).”

“It’s not easy for you to be doing a diet every day,” said Mr. Harmuch. “To restrict yourself from eating certain things that you want to eat.

“Or being away from your family,” said Mr. Harmuch who recalled leaving home at 18 to model around the world. “Literally not seeing your parents and you’re a very young teenager. Being away from your family — it’s very lonely, actually. Traveling around… it’s hard. There are a lot of struggles, that a lot of people don’t understand. They think you just have to be pretty. There’s hardship,” he said.

“Not a lot, to be honest,” said Mr. M, when asked about the hardest parts of modeling. “Compared to photographers, and all that. They do all of the work, essentially. You just show up. You don’t really have to prepare. You just prepare yourself.

“I guess the hardest part is keeping your body in shape, and making sure you’re eating healthy, and making sure that everything is as picture-perfect as can be,” he said.

For Ms. Xue, who is “a little bit introverted,” the hardest part was facing people. “Sometimes, when I need to talk to people, I find it to be stressful. But when I open up, and people are so friendly, I find it is easy.”

“Nobody’s job is easy. Everyone is just trying to go through it,” he said. What then, makes it all worth it? “What makes it worth it?” said Mr. Harmuch, repeating our question. “You love it. You have to love it. I think when you really love something, you do it because you love it. It happens to you because it’s supposed to be there, like that. It’s hard to answer this question.”

A BLESSING
Is it worth it when you see your face everywhere, presented larger than life itself? “You have to be very humble when it happens to you. I always tell my models to be very humble. If God blesses you, these things happen to you.”

Former model, photographer, and he who sat on the judges’ panel of America’s Next Top Model Nigel Barker said in the introduction to his book, Models of Influence, “Models have moved us over the years to think and see the world differently. They hold up a mirror to society and show us where we are and where we still have room to grow. What is considered beautiful evolves, but it’s very often through models and fashion that we come to understand beauty in the context of our time, and by extension, within ourselves.”

Mr. Harmuch says, “Modeling is about being your own personality, and becoming more of who you are, so you can be an inspiration for other people.”

Rolling with the facts

Formally introducing ‘Kuya Kim’ Atienza (second from right) as CST Tires Brand Ambassador are (from left) AP Blue Whale Corp. National Sales Manager for Four Wheels Eric Yap, Marketing Manager Christine Roque, and National Sales Manager for Two Wheels Serj Castro. — PHOTO BY KAP MACEDA AGUILA

CST Tires, ‘Kuya Kim’ forge ties for tire info campaign

By Kap Maceda Aguila

AP BLUE WHALE CORP., country distributor of Taiwan-headquartered CST Tires, shared that “road accidents are still the leading cause of death and injuries, especially among younger people, according to the Department of Health.” Even more significant, these numbers are expected to surge as more people own and operate cars and motorcycles.

The hope, it asserted, lies in proper safety education, toward the goal of reducing accidents by “at least 35%” — a figure put forth by the Department of Transportation — by 2028.

Surely an important part of ensuring safety on the road is looking after a vehicle’s tires. “Tires are what connect us to the road, so we have to be very conscious of them, their condition, and even pressure,” declared “Kuya Kim” Atienza, noted “fact-teller” and riding/motoring enthusiast. Mr. Atienza has been conscripted by CST Tires as its brand ambassador — inking a year-long deal to be the face of the brand through its “Know Your Tires” campaign.

The safety awareness effort, which doubles as a marketing push for CST Tires products, will see Mr. Atienza star in a series of short videos aiming to educate motorists and riders alike on the ins and outs of tire safety and ownership.

According to AP Blue Whale Corp. Marketing Manager Christine Roque, Kuya Kim is a perfect fit to achieve this goal because he has long been known as a “credible and relatable” source of information. “Our usual concern is how to explain tire tech to average customers. It might get too technical. Kuya Kim is known to very simply explain even the very technical,” she maintained.

At the recent press conference announcing his appointment as CST Tires brand ambassador, Mr. Atienza shared that the campaign kicks off this month with the release of the first video on the CST Tires Philippines social media platforms. “This campaign will be focused on safety, more than anything. The qualities of CST Tires will come out as we focus on how safe it is to use them,” he said. Mr. Atienza added that, beginning in 2015, he had largely switched to riding his motorcycles or bikes come sun or storm. He stressed the importance of choosing the right tires which enable him to come home to his family safely every day.

“Tires are the most important safety feature in four-wheel and two-wheel vehicles… and they affect safety, braking, handling, steering, and ride quality,” he continued. “Know Your Tire” will delve on “the importance of choosing the right tires, tire maintenance, and tire safety. As we were shooting initially, I saw so many things that ordinary people may not know but can dictate (safety on the road). As much as we could, we tried to explain terms and bits of information to the general public in a very exciting, reachable, and understandable way — and the qualities of CST will come out. My responsibility is to be able to explain in layman’s terms how safe it is to use CST Tires, and explain their quality. Again, the prime concern is safety.”

Replying to a question from “Velocity,” Mr. Atienza said, “You know what I see, especially among motorcycle riders? Lots of them have worn-out tires. They might say they’re too expensive to replace, or that they can’t afford to buy new ones. But the important thing is to invest in quality tires which have the right tread. It’s actually easy to read tires if you know how — like, what do the numbers on the sidewall mean?”

In true Kuya Kim fashion, he bared the origin of the “kamote rider” term — a derisive description of reckless or irresponsible motorcycle riders. It’s not what people usually think; it did not originate as a near homonym of “kamot-ulo” (literally, to scratch one’s head, usually to express ignorance or regret after a traffic incident).

“I used to hear that from my teachers when they admonished students who (didn’t do well or didn’t prepare for class). ‘Go home and plant kamote (sweet potato).’ But this actually originated in American colonial times when our colonizers were the teachers and Filipinos were the students. It was actually a putdown for farmers,” Mr. Atienza narrated.

In an interview with this writer, AP Blue Whale Corp. National Sales Manager for Four Wheels Eric Yap averred that CST Tires promise value for money, as they are priced more affordably than many mainstream competitors. Here in the country, it’s an established tire marque for vans, 4×4 vehicles, and light commercial trucks, he maintained.

Despite its relatively affordable pricing, the company, according to AP Blue Whale Corp. Product and Technical Director Jaybee Atanacio, has its own R&D (research and development) and production facilities that assure its quality and development arc toward innovation. Cheng Shin Rubber Ind. Co. Ltd. (or Cheng Shin Tire) employs more than 20,000 people and is, incidentally, the largest bicycle tire manufacturer in the world. It boasts a daily tire manufacturing capacity of 300,000 units for motorcycles and bikes, 10,500 tires for trucks and buses, and 26,000 for passenger cars — with production facilities in Thailand, Indonesia, Vietnam, Taiwan, India, and China. With a global footprint in 157 countries, CST has tech centers in Changua, Taiwan; Xiamen, China; Noorddammerweg in the Netherlands; and Atlanta, Georgia in the US.

T-bill, bond rates may go up before BSP meeting

RJ JOQUICO-UNSPLASH

RATES of Treasury bills (T-bills) and Treasury bonds (T-bonds) to be auctioned off this week may climb as investors await the Bangko Sentral ng Pilipinas’ (BSP) policy meeting.

The Bureau of the Treasury (BTr) will auction off P20 billion in T-bills on Monday, or P6.5 billion each in 91- and 182-day papers and P7 billion in 364-day debt.

On Tuesday, the government will offer P30 billion in reissued 20-year T-bonds with a remaining life of six years and 11 months.

Yields on the T-bills and T-bonds on offer this week could track the week-on-week increase in secondary market rates, which came on the back of faster July inflation and in anticipation of the BSP’s review, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

A trader said in an e-mail that the T-bonds on offer this week could fetch yields ranging from 6.10% to 6.15% as the market widely expects the Monetary Board to begin its easing cycle on Thursday.

At the secondary market on Friday, the rates of the 91-day, 182- day, and 364-day T-bills went up by 5.58 basis points (bps), 4.13 bps, and 3.46 bps week on week to end at 5.8429%, 6.1056%, and 6.1977%, respectively, based on PHP Bloomberg Valuation Service Reference Rates data published on the Philippine Dealing System’s website.

The 20-year bond’s rate inched up by 0.01 bp week on week to 6.1163%, while the seven-year debt, the tenor closest to the remaining life of the papers on offer this week, increased by 0.67 bp to yield 6.3206%.

Headline inflation accelerated to a nine-month high of 4.4% in July from 3.7% in June, the Philippine Statistics Authority reported last week. This was slower than the 4.7% print in the same month a year ago and was within the BSP’s 4%-4.8% forecast.

However, this was the fastest in nine months or since the 4.9% clip in October 2023 and also marked the first time since November that inflation exceeded the BSP’s 2-4% annual target.

The Monetary Board is now “a little bit less likely” to cut rates at its Aug. 15 policy meeting following the worse-than-expected July inflation print, BSP Governor Eli M. Remolona, Jr. said after the data release.

The Monetary Board has kept its policy rate at an over 17-year high of 6.5% since October 2023 following cumulative hikes worth 450 bps.

A BusinessWorld poll conducted last week showed that nine out of 16 analysts surveyed expect the Monetary Board to deliver a 25-bp rate cut at Thursday’s review.

This would bring the target reverse repurchase rate to 6.25% and would be the first reduction in benchmark borrowing costs since November 2020, or during the coronavirus pandemic.

The BTr wants to raise P220 billion from the domestic market this month, or P80 billion through T-bills and P140 billion via T-bonds.

The government borrows from local and foreign sources to help fund its budget deficit, which is capped at P1.48 trillion or 5.6% of gross domestic product for this year. — A.M.C. Sy