Woman Entrepreneur Carves Niche in Milk Tea Business with Frotea Expansion

Ana Margarita Lustre-Malijan, a civil engineer and Palawan native, ventured into the F&B industry 12 years ago with Frotea, initially a frozen yogurt (froyo) establishment in Puerto Princesa. Witnessing the decline in the froyo trend, Malijan astutely pivoted to include milk tea in Frotea’s offerings, eventually making it the flagship product.

Balancing her entrepreneurial endeavor with her civil engineering career, Malijan was pleased to witness the steady growth of the lone Frotea store in Puerto Princesa, prompting the establishment of a second branch five years later. Deciding to explore expansion, Malijan’s “a-ha” moment occurred in 2018 when Frotea experienced remarkable success, selling 300 to 400 cups of milk tea daily during a school fair.

Encouraged by the positive response and numerous franchise inquiries, Malijan opened five additional stores in Puerto Princesa. In 2019, she officially launched Frotea for franchise but faced challenges due to the pandemic. Collaborating with Francorp, Malijan fortified Frotea’s franchising efforts with essential back-office and legal support.

Presently, Frotea boasts 12 company-owned stores and seven franchise stores. Despite the pandemic, the company is set to expand further in Palawan and Southern Luzon this year. Malijan emphasizes a deliberate strategy, choosing to grow in provinces where Frotea’s concept is proven, particularly targeting price-conscious customers.

Frotea has made strides toward Metro Manila with a branch in Bacoor, Cavite. Featuring prices ranging from P60 to P100, Frotea’s offerings include the popular Panda, a classic milk tea. The brand distinguishes itself by introducing milk tea-based ice cream and bingsu-inspired shaved ice, showcasing a unique concept that Malijan believes is challenging to replicate.

Operating various formats, including kiosks in malls, inline stores, and standalone outlets near schools, Frotea has experienced significant growth, expanding from two employees in 2012 to a workforce of 40 people. Malijan attributes Frotea’s success to her commitment to extensive research, sourcing the best raw materials, and continuous improvement even in challenging times. Frotea’s tea, syrups, and tapiocas are all imported, with commissaries in Makati City and Puerto Princesa ensuring quality across locations.

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