Financial Adviser: 5 Business Lessons Everyone Can Learn from 'Cochinillo King' Marvin Agustin, Founder of Cochi Restaurant
Marvin Agustin's journey from a 16-year-old facing family hardships to a successful entrepreneur and prominent figure in showbiz is a testament to resilience and entrepreneurial vision. His story unfolds as a compelling narrative of overcoming adversity, making bold choices, and achieving remarkable success.
At the tender age of 16, Agustin faced a challenging period when his father lost his job. In response to the family's financial struggles, he dropped out of school and joined his mother in selling tocino. It was a difficult time, but Agustin's determination and commitment to his family's well-being pushed him forward.
Agustin's journey took an unexpected turn when he found a part-time job as a mascot for Dunkin' Donuts. Little did he know that this job would catch the attention of ABS-CBN, which marked the beginning of his illustrious showbiz career. His talent and charisma shone through, and he soon became a prominent figure in the entertainment industry.
However, Agustin’s entrepreneurial spirit never waned. He made a bold and unconventional decision when he negotiated his talent fee with Mister Donut. Instead of accepting cash payment, he chose to receive two franchise outlets. This marked the beginning of his entrepreneurial journey. Alongside managing the franchise, he ventured further by establishing his own food cart called Ricecapades, which grew to 20 outlets.
In 2005, Agustin, along with two friends, ventured into the restaurant industry by co-founding the Japanese restaurant named SumoSam. The establishment flourished, reaching a total of 15 outlets, showcasing Agustin's ability to successfully expand his ventures.
The real turning point in Agustin's entrepreneurial journey came during the unprecedented challenges of the 2020 pandemic. Instead of succumbing to the difficulties faced by the food industry, Agustin conceived the idea of roasting suckling pigs or cochinillo using his industrial oven machine.
The experiment, initiated in December 2020, proved to be immensely successful, with over 50 pieces sold during the holidays that year. Encouraged by this triumph, Agustin expanded his cochinillo venture in 2021, managing 12 oven machines and selling hundreds of these delicacies monthly. The success story garnered attention, leading to the opening of Secret Kitchen, a fast-food stall featuring his cochinillo dish, with rapid expansion to five outlets.
Agustin's entrepreneurial journey continued into 2023 with the establishment of his restaurant, Cochi Bistro in BGC. The success of this venture has prompted plans for further expansion, with another Cochi restaurant on the horizon.
Despite his busy schedule in the business world, Agustin remains committed to his roots in showbiz. He ensures his visibility by taking on at least one project per year, either a TV series or movie. This dual commitment highlights Agustin's ability to balance his thriving business ventures with his enduring presence in the entertainment industry.
How did Agustin's early life challenges contribute to shaping his entrepreneurial journey? How did he pivot his business strategies during the 2020 pandemic, and how did it contribute to his success?
Here are the five business lessons every entrepreneur can learn from serial entrepreneur, Marvin Agustin, founder and CEO of Cochi restaurant:
ALSO READ
1| Know how to persist in your entrepreneurial calling
Pursuing your calling in business is essential because it aligns your work with your passion and purpose. When you engage in activities that resonate with your true calling, you are more likely to find fulfillment and satisfaction in your work.
This sense of purpose can serve as a powerful motivator, driving you to overcome challenges and persevere through obstacles. Additionally, being aligned with your calling can enhance your creativity, innovation, and overall performance, contributing to the success and sustainability of your business.
Agustin's journey serves as a compelling illustration of the importance of recognizing and adhering to one's authentic calling, even in the face alternative career paths.
Agustin acknowledged that his true passion lies in the food business, despite achieving success in showbiz, underscoring the pivotal role of self-awareness in entrepreneurship. This recognition highlights the importance of aligning one's career with personal interests and passions for a more fulfilling entrepreneurial journey.
The persistence exhibited by Agustin in wanting to pursue a career in the food business, despite his success in showbiz, demonstrates the resilience needed to follow one's true calling. This persistence is a valuable trait in entrepreneurship, where the journey may involve challenges and uncertainties.
“When I was 14 years old, I was already helping my mom and the family,” he says. “Taga-tinda kami ng mga tocino, tapa, dressed chicken in the neighborhood. That's how I got exposed to business. Small time mommy ko and then parang ako yung pinakamalakas ang loob sa family. I would go to Tutuban and buy clothes there, T-shirts, pants and sell it in our small village in Muntinlupa. Doon ko first na-experience ang mag trading.
“But of course it wasn't enough and naiinggit ako lagi dun sa dalawa kong kapatid because they were both working in the food business, which was Dunkin' Donuts and Shakeys kaya naging mascot ako ng Shakeys, and then I got into Tia Maria's to work as a waiter.
“Naging local store marketing staff ako. I was 16 then and I became the youngest regular staff. One of my duties noon was to go to TV stations because we would do bar hosting, yung set up ng buffet and then we would promote our brand.
“So doon lagi ako tinatanong If I wanted to be in showbiz, but knowing na wala akong kilala at alam sa showbiz. I was offered to be part of the dance group, but if you're travelling from the South, from Muntinlupa to Quezon City, P500 wouldn't be enough, kasi may rehearsal pa, so ang kapal ng mukha ko, I declined.
“One time, si Enrico Santos from ABS-CBN, who became my very good friend and mentor, asked me if I wanted to audition, so I auditioned and I got in, then yun na, tuloy-tuloy na, naging showbiz personality na ako.
“And even when I was already in the showbiz industry, deep in my heart alam ko pang food ako eh. I enjoyed the service. I know it's hard working in the restaurant, standing for long hours, but I didn't see it as something na hard work. I saw it as something fun to do because I guess I was young and discovering and exploring life, so kahit nag-artista na ako, nasa utak ko gusto ko mag food business.
“So when Mister Donut got me as an endorser, I saw that as an opportunity to have a brick-and-mortar store. Sabi ko, ‘Don't pay me anymore. Just give me two stores because I wanted to learn the food business.’ So ayun parang tinuring nila ako as a franchisee. Nagtulungan kami maghanap ng location sa Dela Costa in Makati and the other one in Fairview.”
2| Know how to invest in continuous learning and foster effective collaboration
Learning is not only about professional skills but also personal growth. Entrepreneurs who prioritize continuous learning develop resilience and a growth mindset. This mindset helps them navigate setbacks, learn from failures, and approach challenges with a positive and adaptive outlook.
Agustin embraced the value of education and committed to continuous learning in the culinary arts. Pursuing culinary studies equipped him with the essential skills and knowledge needed for success in the competitive restaurant industry.
Taking advantage of his investment in Oyster Boy, Agustin transformed it into a practical learning ground. Actively participating in the kitchen alongside chefs and cooks, he gained valuable hands-on experience in efficiently running a professional kitchen.
Agustin's culinary skills and experience paved the way for his entry into the food business through a collaboration with Ricky Laudico and Raymond Magdaluyo, leading to the establishment of SumoSam. This partnership serves as a prime example of how strategic collaborations can substantially contribute to the success and growth of a culinary enterprise.
“At that time, yung kalakasan ng mga rice in a box, my sister and I created a brand called Ricecapades,” he says. “We were doing it kasabay nung Mister Donut. We had more than 10 branches, hanggang sa humina. Alam ko umabot din ng mga three years and a half. Those were my initial ‘tuition fees’ sa negosyo.
“Then a friend of mine from Iloilo, si Dennis Gan, invited me to invest in his restaurant, yung Oyster Boy in Metrowalk, pero parang wala pa akong lakas loob noon na mag invest in restaurants. But when he expanded in Araneta Center in Cubao, he invited me again. That’s when I said yes. That became my first restaurant investment.
“At that time, I also I studied culinary. My partner allowed me to make Oyster Boy as my playground. I would work in the kitchen with all the chefs and cooks. That's how I learned working in a professional kitchen.
“So after Oyster Boy, yun na nga, there was an itch of creating my own concept. I told my friend, Ricky Laudico, sabi ko mag food business tayo, so we consulted Raymond Magdaluyo, who was owner of Red Crab, and sabi nya, ‘Naku, wag nyo na akong gawing consultant, mag partner na lang tayong tatlo. That’s how we became partners in SumoSam. We launched SumoSam in Shangri-La Plaza in 2005.
“During that time, we kept expanding SumoSam. The peak of SumoSam, I think, was 15 branches nationwide. We had outlets in Baguio, Davao, Cebu.
“After SumoSam, I got busy with acting. I was helping on the side sa SumoSam but I was very busy with acting, parang nagkaroon ng second wind yung acting career ko nun sa movies and TV shows. That's the time also that I moved to GMA 7 from ABS.”
3| Know how to identify market opportunities during challenging times
Crises often pave the way for innovation. Recognizing opportunities enables businesses to innovate, introducing new products, services, or approaches that can lead to growth even amid adverse conditions.
Businesses that can spot and seize opportunities during crises gain a competitive edge. Proactive adaptation and strategic moves can position a company ahead of its competitors when conditions improve.
Faced with lockdowns and restrictions during the onset of COVID-19 pandemic, Agustin challenged himself to learn a new skill—baking. This diversification into baking allowed him to tap into a market with increased demand for homemade baked goods as people turned to home-based activities during the pandemic.
The success of his baked goods prompted Agustin to explore roasting suckling pig using his ovens. Encouraged by the positive response from friends and neighbors, he identified a niche market and decided to scale up his cochinillo business.
Agustin’s dedication to baking and roasting cochinillo showcased resilience and a commitment to business even in challenging times.
“At the time, parang I had a good run na with restaurants. I was actually thinking of not doing restaurants anymore, because it's very tiring. Sabi ko I’ll just go into property business. I put up an art exhibition space called Kondwi, which aims to host different art disciplines and art performances. I actually wanted to do just that but when we opened in November in 2019, COVID happened in 2020.
“So wala, change plans na naman on how to deal with the situation kasi locked-in lahat sa bahay. During COVID, I challenged myself to learn something new, like baking. I enjoy cooking, but baking is a different discipline.
“I tried to learn some bread recipes from Google and YouTube. I took a video of myself and posted it. At first, I was hesitant, so I tested it with my friends, who are also my neighbors in White Plains. They loved it and started ordering, so sabi ko mukhang may potential yung banana breads and then carrot cakes. And then I learned to make other cakes like ensaymada and chocolate cakes. That's when I realized the power of social media, because I was getting orders already.
“From initially challenging myself to learn a new skill, it eventually turned into a small home-based business. I spent two to four hours a day baking using my small kitchen oven, dealing with, you know, the bulk orders. I had to ask my sister to move in with me to help me bake.
“Because it was a small oven, we had to really bake more than eight hours a day just to fulfill orders. We were baking almost every day and it was really tiring so I contacted a supplier of big ovens I met before the pandemic. It was an industrial oven and kind of pricey. So I talked to him and he gave me eight gives for the oven.
“From a small oven, I moved my baking to my garage. From almost every day baking, naging three to four times a week, so there's like two to three days na vacant yung oven. During those times, I found myself craving roast pork. I remembered my experience in Madrid of this cochinillo.
“I got to talk to my supplier and he taught me how to butterfly the pig. I like creating rubs for my steaks, so I created a rub for the suckling pig and baked it. Good thing I also took a video. My driver took a video of me doing all those butterfly rub and putting it in the oven. The first trial turned out to be good.
“At that time, I started selling during October 2020 towards the holidays. Doon ko talaga narealize yung power nung social media. I had a lot of orders. From only two ovens, nagdagdag ako ng ovens, parang yung buo kong garage puro ovens for the Christmas season. Nagbukas pa ako ng satellite sa Alabang kasi nga medyo mabilis ako kumilos. I needed a roasting and pickup location because cochinillo is something that you need to roast on site.
“After Christmas, nasa bahay lang naman ako nun and every weekend nun, malakas pa rin kasi January, New Year's so malakas yun January 1,2,3, tapos papasok naman yung Chinese New Year and Valentine's sa February. Sa end of March or April, papasok naman ang Easter. So may season lagi. May Mother's Day, may Father's Day. Eh walang makalabas, and cochinillo is a perfect size for home parties because you're not allowed to have big parties, so hindi ka maka-order ng big lechon. Sabi ko while everyone was able to rest during pandemic, I did not. I was busy baking breads and roasting cochinillo at that time.
“It’s crazy how Filipinos still find time to celebrate. That’s when I realized na pag malungkot tayo, we eat. When we're happy and celebrating, we eat. So we're in season all the time.”
4| Know how to focus on consistency and quality
Consistent and high-quality products contribute to customer satisfaction. Meeting or exceeding customer expectations builds trust, loyalty, and positive brand perception. Satisfied customers are more likely to return, reducing the need for continuous customer acquisition efforts.
Agustin ensured the consistency and quality of his cochinillo through a meticulous approach, blending traditional techniques and innovative methods. He evaluated the cochinillo's key elements—crispy skin and tender meat. This attention to detail allowed him to maintain a delicate balance and ensure a high-quality product.
Acknowledging the complexity of consistency in the food business, Agustin simplified kitchen processes. This approach involved creating clear systems that allowed quick identification and correction of errors, emphasizing the value of streamlined operations.
Agustin's hands-on involvement in conceptualizing the cochinillo brand and consulting with friends demonstrated the importance of aligning the product with the market. Positioning the brand as a unique Filipino experience contributed to its distinct identity.
“Nagkakaroon na rin ako ng challenge, kasi nga parang dumami rin yung orders nung cochinillo, pero tinitignan ko lagi yung consistency on the skin, tenderness of the meat,” he says. “Yun yung balance eh, malambot na laman pero crsipy yung skin.
“I called my oven supplier, sabi niya sa akin, ‘Marvin actually we're learning from you, because nobody has baked pork in their ovens’. Hanggang ngayon, may mga nago-offer ng brand sa akin for the roast suckling pig, but I don't want to change it anymore kasi I think we have already found the good consistency already with the oven.”
“I like creating rubs for steaks. I like grilling steaks, kasi sa Wolfgangs, the steaks that we use are flown in weekly, from the farm to butchery to purveyor, nasa Manila na yan in less than 24 hours. It’s always chilled, never frozen, so that kind of steak we only use salt, nothing else. But of course the other steaks that we have here in the Philippines from US Australia or Canada, it's frozen so flavor-wise, medyo bagsak na.
“Pag frozen, habang tumatagal na na-freeze ang karne, bumababa na yung lasa ng totoong karne. I know that for a fact, even before, that’s why I created a rub that would somehow elevate the flavor and experience of steak. I like mixing spices. Twelve herbs and spices ang tawag namin dun. I applied the same techniques to cochinillo.
“In Spain, yung cochinillo, sa pugon talaga siya, brick oven but a little bit of the flavor, smokiness. But there’s a big difference with the Spanish and Filipino markets Sa Spain, they go for cochinillo kasi tender yung meat, masarap, malambot. Eh tayo gusto natin crunchy, of course, tender pa rin, pero gusto natin crunchy yung balat. Sa Spain, kahit hindi ka crunchy okay ka, kaya pwede siya sa pugon kasi they celebrate cochinillo with the tenderness of the meat, because it's baby pig diba? Dito sa atin, hindi, gusto namin malutong kaya kailangan industrial yung gamitin para maging consistent.
“Mahal ang suckling pig. Kada lumiliit ang pig, mas mahal. That’s the art sa Chinese: pag paliit ng paliit, mas mahal per kilo. Pag Chinese new year, naku mas mahal ang pigs hino-hoard na yan. Pinakamahirap kumuha nung pigs pag Chinese New Year.
“We source our pigs from Spain. I first discovered pigs from Marinduque, Mindoro, which was excellent but ASF (African Swine Fever) happened. Nag-ban, hindi kami makakuha, and good thing at that time, merong mga importers ng Spanish pigs na dumami.
“That's when I was introduced to Spanish pigs, which are halos kapareho ng Marinduque pigs, but in all fairness, if I would be given the choice between Marinduque and Spanish, I would choose Marinduque pigs, but the supply is not that not that big yet.
“Consistency is the hardest to achieve in the food business because kitchens rely on people, not machines. Machines are used by the cooks and chefs, so we simplify the process as much as possible for them to assemble the food. This ensures that the outcome is consistent, which is the most challenging aspect to maintain in a restaurant.
“But once you create a good system, it becomes easier. Kunyari, if something goes wrong in the kitchen, but if you know the process of each dish, pag may nagkamali, alam mo agad i-back track. That's how simple it is for us.
“Every failure in the kitchen needs documentation; it's a learning curve for us. Every mistake should be documented, para syang science. Ngayon nga, because of smartphones, everything is photographed.
“I created the menu; it's my concept, the cochinillo concept. Of course, I got consultants, but at the end of the day, that's my concept. I picked my friends' brains: Paano ko ba ipo-position ito for these price points because it’s a special Filipino brand? This is not your typical Filipino restaurant where you come in, eat out, and leave. This is a Filipino brand where I want people to stay, have wines, cocktails, and enjoy their time.
“In this business, you know, its important you offer quality and consistent food and they will not forget you.”
5| Know how to establish a strong business foundation and achieve fulfillment
Building a strong business foundation is crucial for long-term success and sustainability. A solid foundation provides stability, resilience, and a framework for growth. It encompasses various aspects, including a clear business strategy, effective operational processes, financial stability, and a robust organizational structure.
Agustin emphasized the importance of understanding one's skill set and offering a product with a unique value proposition. This involves assessing personal strengths and identifying how to stand out in the market. As competition increased, he understood the importance of being sure about the skills, product, or brand he wanted to offer to remain competitive.
Agustin demonstrated a practical approach to financial management. He highlighted the importance of saving, investing in properties, and viewing spending as an investment. This approach contributed to financial stability and long-term growth.
He emphasized the significance of being guided by numbers in business decisions and the need for emotional attachment to be balanced with data-driven insights, especially when assessing the performance of products and services.
Agustin’s fulfillment stemmed from a genuine passion for the food industry, which guided his strategic choices and business endeavors.
“Thinking and starting a business is fun, yan yung exciting part eh,” he says. “But at the same time, ang unang-una mo lang naman aalamin, ano yung skills set mo na meron ka? Ano yung product na tingin mong you can offer that is somehow, new in the market or meron kang value added dun sa product na yun, kasi if you would just be like anyone else, baka dapat ka mag-franchise ka na lang ng sikat na brand.
“When we started SumoSam, ang luwag pa ng market, 18 years ago kaya akala namin, ang dali lang pala mag-restaurant pero nung dumami nang dumami na yung players, the space become competitive. So, at this point, you have to be very sure of the skill set, the product, or the brand that you want for the market you want to tap because it could be a very, very expensive lesson. This is not 10 years, 15, 18 years ago when it was easier to create a concept.
“Ako noon, as an employee and a small-time entrepreneur, I helped my mom sell clothes, sourcing them from Tutuban and selling them in our neighborhood. It's not just about how much you earn but also about how much you save. Others might be earning more than me, but what about their savings? How do they manage their finances? Some tend to splurge, and good thing, I don’t have that. I lead a very practical way of living.
“For me, spending is actually an investment. I open concepts or businesses, invest in properties because they appreciate over time, and halos walang lugi, di ba? So real estate is always a good investment.
“My stocks are my restaurants. Yan na yung mga stocks ko kasi everything is a gamble. Everything entails risk. What I don’t like about stocks is I'm not the one playing the game. I prefer playing in my own field, creating brands in the market. I find fulfillment in this. While I do make money, it's not just about the earnings; it's about doing something I love. So, with our limited time each day, I choose to spend it on the things that bring me joy.
“Siguro in my 20-plus years in the food business, sabi ko nga in six months, you would already know if a restaurant is going to make money or not. That's when we make crucial decisions. Dati parang mas emotional kasi, ‘Baby ko ‘to,’ ganyan, pero numbers don’t lie at the end of the day. You should be guided by numbers and that’s how I train our people now, especially our managers.
“Of course, we have emotions for our customers, for the kind of service, for the hospitality. But when we check and meet for numbers, it's numbers that we have to follow. Kunyare, something as simple as a menu—ano yung moving and ano yung hindi moving. If you say favorite ito ng mga tao, ilang orders today? Tatlo? Hindi yun favorite. Pwede yun tanggalin, so alam mo yan ang magiging basis.
“I always make it a point that I have a good finance manager. It is something na hindi mo pwedeng takasan. Skillset yan. If you call yourself a businessman or entrepreneur, you have to know your numbers.
“To create a brand, first of all, you need to identify the market you want to tap. That's always my first consideration. Consider your product and then the market—how you want your product to be experienced, the price points, and then you decide. ‘Okay, I think this market would complement and be a good match.’ That's when a brand becomes a brand—when you create a good relationship between your product or what you specialize in and the market you chose.
“So it's the same with Secret Kitchen. They offer somewhat the same product but at different price points and for different markets. With Secret Kitchen, we try to reach office people around areas like Uptown, Podium, and Glorietta.
“As for Cochi, I want it to be the top-of-mind choice for Filipino cuisine with a hint of Spanish dishes. It's meant to be a celebratory place. When I was creating Cochi as a brand, parang iniisip ko where do we go when there’s like really special occasions that they want to celebrate.
“Sabi ko nga, ‘this is more than a cuisine; this is celebrating Filipino talents.’ I have excellent bartenders who create exceptional cocktails to be experienced with very good Filipino food. That's what Cochi is. I went for a market that wants to celebrate and splurge because of Cochinillo. So that's the position of Cochinillo Cochi as a brand.
“I really felt like I belong to the food industry; it's where my heart and life align. This isn't just a workplace for me; it has evolved into a continuous learning experience. From assisting my mom in selling Longanisa, tocino, and dressed chicken to becoming a franchisee for Mr. Donut, creating Rice Capades, investing in my friends' businesses, and establishing SumoSam—there were moments of nearly giving up. Then the pandemic hit, and it brought me back to the food business.
“Engaging in the food industry is undeniably risky, but if you have a genuine love for it, the risk somehow diminishes in comparison to the fulfillment you gain. So far, I am experiencing that fulfillment.”
Henry Ong, RFP, is an entrepreneur, financial planning advocate and business advisor. Email Henry for business advice hong@financialadviser.ph or follow him on Twitter @henryong888
