While browsing for toys at Toys“R”Us Galleria, one can’t help but notice the fun designs featuring some of our favorite Universal Robina products on reusable tote bags. Brought to market last December with whimsical prints of Chiz Curls, Piattos, Nova, Chippy, V-Cut and Calbee Honey Butter, the bags represent creative collaboration within the Gokongwei Group of Companies
It’s not the first time URC products have been featured on the popular toy store’s merchandise, explains Abel S. Tejam, Toys“R”Us Assistant Vice President for Brand Marketing. Not that long ago, URC’s best-selling snacks were featured prominently on a line of plush pillows, which soared in popularity after a few local celebrities posted snaps of the collectibles on their social media accounts. The late founder of JG Summit and Robinsons Retail Holdings, Mr. John Gokongwei, Jr., himself had a Chippy pillow.
The pillows and totes have not only become a strong item of merchandise for Toys“R”Us, but they have also proven to be a novel way to further increase the market visibility of URC’s top brands. Most end consumers might not make the connection, but there’s a deeper synergy at play.
In the Philippines, the Toys“R”Us operates under Robinsons Retail Holdings, Inc. (RRHI); on the other hand, Universal Robina Corporation, or URC, is one of the cornerstones of the JG Summit Holdings conglomerate. Looking at the big picture, RRHI and JG Summit Holdings are part of the Gokongwei Group.
JG Summit Holdings founder John Gokongwei Jr. also had one of these fun URC pillows. IMAGES courtesy of Toys"R"Us, collage composed by Alysse Asilo.
Though Toys“R”Us and URC operate as wholly separate entities, there will always be a link between them—and it’s the same for all companies within the Gokongwei Group—which facilitates partnerships and cooperation among the distinct business units.
For instance, persuading URC to allow their products’ images to be used on Toys“R”Us merchandise was pretty easy, according to Tejam. “The negotiation with URC, convincing them to let us use their brands, went very smoothly since URC is a sister company.
Mian David, URC’s Chief Marketing Officer, concurs. She says, “URC has always welcomed the opportunity to collaborate with sister companies for our promotional efforts. On ground activities and novelty items are only two examples of the many ways that we can leverage on the wide and diverse ecosystem of the Gokongwei Group.”
She adds, “URC is grateful for the partnership with Toys“R”Us as it opened more ways for our brands to reach more people in such a fun and creative manner. These plush pillows and eco bags are also a great tribute to iconic brands such as Chiz Curls, Chippy, Nips and Maxx.”
Thanks to the success of the URC pillows, other companies in RRHI saw the potential for stronger tie-ups when it came to store promotions and other activities. Jane A. Yuzon, Handyman Marketing Services Manager, relates how they had initially ordered giant bags of chips from URC to be given away as promotional sales items in Handyman. “Then when I saw that Toys“R”Us was releasing URC pillows, I thought about combining the items: getting the actual bags of chips from URC and the pillows from Toys“R”Us. And that became our gift with purchase (GWP) promo.”
“We started with V-Cut, and the following month, we had Piattos. The promo was very successful. We don’t usually repeat the same type of freebies, but this one was very nice and the customers really liked it,” says Yuzon.
Asked for their opinions on the prospects of strengthening the promotional partnerships within the Gokongwei Group, Milette Palmario from Robinsons Appliances and Marco Cuenca, True Value Marketing Services Assistant, were equally enthusiastic. “In our existing promo campaigns, we've tied up with other RRHI affiliates like Handyman,” says Palmario. “For example, we procure water bottles and food keepers to match our appliances promos. And with Toys”R”Us, we’ve partnered with them for our CSR efforts, tapping them to produce special raincoats. In the JG Summit group, we’ve also tapped URC for sponsorship of our CSR activities.”
As a conglomerate with many business units engaged in a wide array of industries, there are many opportunities for synergies or mutually beneficial partnerships to take place. Erick Crisologo, RRHI’s Corporate Planning and Sustainability Officer, reveals that “The way we operate, since each brand is an individual company of its own, much of the synergy develops naturally, it's not forced upon the brands to work together. Sometimes we can suggest, if we see clear opportunities."
As the Gokongwei Group’s business units further realize the value of closer links and symbiotic relations, expect more exciting developments in retail, logistics, real estate and land development, banking services, and consumer goods. While those are taking shape, Toys“R”Us already has something up its sleeve: a new line of totes and pillows is being released soon this time based on URC’s confectionery and biscuit products, such as Nips, Maxx, Presto, and Cream-O.
The next time you drop by Toys“R”Us, you might see these items in a different light. Beyond being cute and functional, you know now they tell a bigger story, one of cooperation, collaboration, and teamwork in the Gokongwei Group.
