There’s something magical about walking through SM Megamall or Ayala Center and catching that warm, buttery scent of freshly baked pretzels. Nine times out of ten, that irresistible smell is coming from Auntie Anne’s. It’s no wonder the brand has become a staple in malls across the Philippines, with its signature golden-brown pretzels and sweet, salty goodness. If you’ve ever wondered what it would be like to own one of these pretzel powerhouses, you’re not alone. Starting an Auntie Anne’s Franchise in the Philippines can be a rewarding business venture — but like any franchise, it comes with its fair share of challenges and considerations.
As someone who’s been writing about franchises for the past decade, I’ve had the chance to talk to several Auntie Anne’s franchisees, and their stories have given me a solid understanding of the highs and lows of this business. Let me walk you through what it really takes to open your own Auntie Anne’s and, more importantly, make it thrive in the Philippine market.
Why Auntie Anne’s is a Hit in the Philippines
Let’s get one thing straight — Filipinos love snacks. From street food to mall kiosks, we have a soft spot (pun intended) for quick bites. Auntie Anne’s taps into that craving with its warm, chewy pretzels that are both sweet and savory — the perfect combination for the Filipino palate.
The brand’s success in the Philippines isn’t just about taste — it’s about convenience and consistency. Most Auntie Anne’s outlets are located in malls, which are major social hubs in the country. Whether it’s grabbing a quick bite while shopping or treating yourself after a long day, Auntie Anne’s is positioned perfectly to capture foot traffic.
Watch this video to get a glimpse:
How Much Does It Cost to Start an Auntie Anne’s Franchise in the Philippines?
This is where things get serious. The investment to open an Auntie Anne’s Franchise in the Philippines isn’t cheap, but it’s relatively manageable compared to other food franchises. Here’s a rough breakdown based on local data:
- Franchise Fee – ₱1.5 million to ₱2.5 million
- Initial Investment – ₱5 million to ₱10 million, depending on location and size
- Royalty Fee – 7% of gross sales
- Marketing Fee – 1% of gross sales
You’ll also need to factor in costs for mall lease (which can get expensive in major cities like Makati, BGC, and Cebu), staffing, equipment, and store build-out. Mall rents in prime locations like Greenbelt or SM Aura can reach ₱150,000 to ₱250,000 per month, so choosing the right mall and negotiating a favorable lease will make or break your bottom line.
The Franchise Application Process in the Philippines
Starting an Auntie Anne’s Franchise in the Philippines involves a structured process. The brand is selective about its franchisees because they want to protect their reputation and maintain consistent product quality. Here’s how it works:
- Initial Inquiry – Fill out an application through the Auntie Anne’s Philippines website. You’ll need to provide financial statements, business experience, and personal background.
- Franchise Presentation – If your application is shortlisted, you’ll be invited to a franchise presentation where you’ll learn about the business model, expectations, and financial details.
- Approval and Site Selection – If you’re approved, the company will assist you in finding a suitable location. The mall operator will have to approve the site as well.
- Training – All franchisees (and key staff) must complete a training program at Auntie Anne’s headquarters in Manila. This covers dough preparation, customer service, and business management.
- Store Build-Out and Grand Opening – Once training is complete, the company will help with the store setup, equipment installation, and product delivery.
✅ Pros and Cons of Owning an Auntie Anne’s Franchise in the Philippines
✅ Pros
✔️ Established Brand with High Demand – Auntie Anne’s is a household name in the Philippines. You don’t have to spend much on brand awareness — Filipinos already love it.
✔️ Simple Operations – Compared to fast-food chains, the Auntie Anne’s model is relatively simple. No full kitchen required — just dough, toppings, and an oven.
✔️ High Mall Foot Traffic – Filipinos love spending time at malls. If you secure a spot in a high-traffic location, sales can be consistent and reliable.
❌ Cons
❌ High Lease Costs – Prime mall locations are expensive. If your lease terms are unfavorable, even strong sales might not cover operating expenses.
❌ Royalty and Marketing Fees – 7% in royalties and 1% in marketing fees might seem small, but they can take a big chunk out of your profit when combined with high mall rents.
❌ Limited Growth Outside Malls – Auntie Anne’s thrives on mall traffic. Trying to operate outside of a mall setting (like a standalone store) may not work as well in the Philippines.
What Successful Franchisees in the Philippines Say
I’ve talked to several Auntie Anne’s franchise owners in the Philippines, and one thing stands out: location is everything.
A franchisee in SM Mall of Asia told me that their store’s success depends heavily on mall events and foot traffic. “When there’s a concert or a big sale, our sales can double in a single day,” they said. On the flip side, during mall renovations or quiet periods, sales can take a hit.
Another franchisee in Cebu shared that staffing was a challenge initially. “Consistency is key — pretzel quality depends on precise preparation. Once we trained our staff properly, customer satisfaction improved, and sales followed.”
A franchisee in BGC mentioned that the business is profitable, but the high rent and royalty fees make margins tight. “You have to stay on top of costs — even something like wastage can eat into profits quickly.”
Is an Auntie Anne’s Franchise Worth It in the Philippines?
If you’re looking for a franchise with a proven track record, strong brand identity, and simple operations, Auntie Anne’s is a solid choice. The initial investment is manageable compared to larger fast-food chains like Jollibee or McDonald’s, and the high demand for snacks in the Philippines means you’ll rarely struggle to find customers — if your location is right.
However, profit margins can be slim due to high mall rents and royalty fees. To succeed, you need to be hands-on, manage your staff well, and negotiate favorable lease terms.
Watch this video for more:
Tips for Maximizing Your Success
👉 Negotiate Your Lease – Mall operators are sometimes open to offering better lease terms, especially if your store will drive foot traffic.
👉 Keep Wastage Low – Pretzels are made fresh, which means you need to keep track of inventory and adjust production to avoid wastage.
👉 Promote Local Flavors – Filipinos love sweet and savory combinations — flavors like cheese, caramel, and chocolate do exceptionally well.
👉 Leverage Mall Events – Sales tend to spike during mall sales, holiday events, and concerts. Adjust staffing and inventory accordingly.
Final Thoughts
Starting an Auntie Anne’s franchise in the Philippines is like baking the perfect pretzel — you need the right ingredients (prime location, good staff), the right technique (product consistency), and a bit of patience. If you secure a spot in a high-traffic mall and maintain product quality, you’ll likely find success.
The smell of freshly baked pretzels is pretty hard to resist — and if you play your cards right, that aroma could lead to a sweet (and salty) payday.
For more details you can contact Auntie Anne’s Philippines:
AUNTIE ANNE’S PHILIPPINES
Body Place Center 3/L Robinsons Galleria
Contact No: (02) 671-6711 / (02) 671-6712
Website: https://www.auntieannesfranchising.com
I am a content writer who is goal-oriented and passionate in what I do. I use my hard outer shell to guard me against deception and betrayal. The moment I start, I rarely look back. I strive hard to live up to the high expectations that others expect from me.
