The UnBEEReivable Journey: An Interview with James Gatlabayan
by: Ivan Andrew Combalicer, Thames Undergraduate Student
“The real world pushes you hard. But having business strategies and theories at your disposal gives higher chances of success.” — James Gatlabayan, CEO of Santiago Brewery and Malthouse
Before becoming the man behind the success of Santiago Brewery and Malthouse, James Gatlabayan was a student at Thames International Business School (then known as Entrepreneurs School of Asia) and received the Novus Ordus award, the highest award given by the institution. It is awarded to a graduate who best exemplifies the school’s vision for its students, and he was chosen for his remarkable achievements during his time in Thames International.
Despite being already an alumnus, he hasn’t forgotten his alma mater. He remains actively involved in helping with various student initiatives and activities. Here, he shares his experiences about how he became the person he is today.
How was your journey at Thames International as a student?
I took up BS Entrepreneurship when I transferred to Thames International in 2004. Entrepreneurship has always been in my blood, having various small businesses since high school.
As I approached my venture series of subjects, I entered into Charcoal Briquetting under the mentorship of Dean Pax Lapid. Unfortunately in 2009, Typhoon Ondoy destroyed my equipment and factory as I was just about to start operation. I had a hard time recovering from it and eventually stopped schooling temporarily in 2010.
Already in business and having enough work experience, I decided to go back to Thames in 2017 and resume what I left. I mainly went back as a promise to my mother. I was the only child left that had not graduated, and my mother refused to put my siblings’ graduation plaques without me.
Under the mentorship of Mr. Oscar Halaguena, I presented and submitted my business plan for Santiago Brewery & Malthouse, my venture into the Craft Beer Brewing Industry after years of homebrewing beer. There I received valuable insights and strategies regarding my business which greatly helped me pursue my business.
Then finally in 2019, I was able to graduate with the honor of being the Novus Ordus awardee.
How would you describe Thames International as an educational institution?
Thames is a school full of street-smart and collaborative individuals who mainly learn by doing. I was part of a generation of students who worked together in business, supporting each other’s ventures. The mentorship and strategies I learned in major venture subjects proved useful in its application in real-world business.
Thames also provides holistic learning. I learned that in the real world of entrepreneurship, academic excellence falls second to practical skills like public speaking, collaboration, technical ability, leadership, charisma, and street smarts– characteristics and skills that I developed during my time in Thames.
What are the unforgettable memories you have during your time at Thames International?
I loved the camaraderie molded in events like Dragon Camp and EO. I also was able to apply my streetsmarts in events like EO where I was able to turn two packs of 50-peso Candy bags, into more than PHP 1,000 of sales.
What were the major lessons you learned in Thames International that you are still applying today?
Thames has been pivotal in helping me get the academic tools needed in operating my business. The real world pushes you hard. But having business strategies and theories at your disposal gives higher chances of success.
The business plan format that I used in Thames is still the format I use whenever I start or do a feasibility study of a new Venture.
Let’s talk business! How did your business start? What pushed or inspired you to pursue it?
Santiago Brewery & Malthouse started as a hobby. I am a DIY person by nature and the idea of brewing your own beer sparked interest in me.
In 2014, I started home brewing by producing my first batch of malt in my bathtub, a process where I converted barley into malt. To test the malts, I then built my own DIY brewing equipment using parts sourced from hardware and kitchen stores. Luckily, my first beer tasted great and exceeded expectations. I slowly started joining private bazaars and fairs. Then in 2017, I became a beneficiary of the DOST setup program where they gave me a 0% interest loan of PHP 3 million which enabled me to purchase and upgrade to professional scale brewery equipment. My father, a retired engineer, helped me lower my installation costs by installing the equipment for me.
How does your business cope with the pandemic?
The start of the Covid-19 Pandemic was very hard for the Craft Beer industry in general because of the imposed liquor ban and ban on public gatherings. A number of breweries and taprooms closed. We were able to survive with the support of the local expat community in our area which became our loyal patrons.
Having a low operating overhead also enabled us to keep our costs down and still support our workers. Using unsold beer, we delved into distilling it into rubbing alcohol during the shortage early on the Enhanced Community Quarantine period. We supported our distributors by holding and not depositing their post dated cheque payments. This gesture led to a hugely positive development where one of my distributors helped me open a taproom in Tagaytay to showcase our event packages and products, thus increasing and normalizing sales and product movement in the area. I also opened production to contract brewing where we recently landed a contract for 50,000 bottles for a custom beer.
Times have been rough, but being flexible and persistent has the power to get you through any obstacle.
As a Novus Ordus Awardee, what is your advice to the current students of Thames International or to those people planning to have a business in the future?
First is PERSISTENCE. Challenges are to be expected when you own a business. It is not a question of “If”, but a question of “When”. Passion will only get you so far. The key to moving forward is Persistence.
With every challenge, there is a solution. Challenges will always keep coming, so should you. Be ready for it. Be flexible. Educate yourself. Plan ahead and pivot if needed. Persist and Thrive.
Next is OPPORTUNITY, Do not start a business simply because you have a passion for it. What an entrepreneur should be looking for is an opportunity. It is easy to lose passion if the business does not have an opportunity to work with.
Beer brewing was only one out of many hobbies that I enjoyed. In this regard, I was fortunate to find a business that I am deeply passionate about. But I only pursued it because I found an opportunity where I became one of the pioneers in the small, but growing industry of Craft Beer Brewing in the Philippines. The only brewery that makes and uses our own malts in Southeast Asia. A pioneer of craft beer mobile bars in the events industry. I saw an opportunity, and I grabbed it.
Third, THINK OUTSIDE THE BOX. When looking for an opportunity, critical thinking is needed to find holes in the industry that you can fill. An industry full of competition may look stiff to get into, but maybe there is a forgotten market that is not currently served yet.
Fourth is COMPETITIVE ADVANTAGE & BUSINESS FIT. Aside from finding an opportunity, assess yourself and your resources if you have the right fit to grab an opportunity. Yes, there might be a huge opportunity in the production of face masks, but you need to assess if you have the knowledge, right background, the right contacts, and distribution channel that will give you a competitive edge over existing manufacturers.
Lastly, START SMALL, DREAM BIG. Having big capital can be a disadvantage sometimes. It can prevent you from thinking creatively and experience the grassroots of the business. If you start small and learn everything there is to know from scratch, it becomes easier to be flexible and adjust when problems occur. Homebrewing techniques have saved us plenty of times when my professional equipment broke down.
James has been featured in the Philippine Daily Inquirer! Read more about him at https://business.inquirer.net/256187/p2fb-beermaker-from-antipolo-turns-hobby-into-business or visit Santiago Brewery and Malthouse.
Thames International is committed to building a new order for the world by giving talented students and entrepreneurs the tools to thrive and lead the way in a world beset by rapid change. If you’re interested in augmenting your skills and making connections with some of the brightest minds in business education today, please take a look at our future-proof undergraduate and postgraduate programs.