Shell: beyond gas stations

20 Aug, 2015

"We want to build refreshment centers instead of just gas stations" said managing director of Shell Pakistan, Omar Sheikh as he proudly unveiled the company's latest offering; the "new-generation lube bays", on Wednesday.

Talking to BR Research at the event, he informed that the company is also beefing up investments in Select stories; retail outlets on Shell station premises. Besides, the company has entered into a deal with McDonalds, whereby more food outlets will be established at its fuel stations. Company officials contend that the provision of holistic services; from oil changes, tyre shops; to retail outlets and food joints, has helped Shell Pakistan to win over more customers than competition.

Lower fuel prices and record automotive sales in the country have driven up demand for motor gasoline and diesel, in recent months. While all oil marketing company have enjoyed the bonanza; Shell Pakistan is maneuvering to maximize the benefits.

"All OMCs have seen a growth in sales of gasoline and diesel but we have grown our market share", stated Sheikh. Shell's motor gasoline share is up by 1.6 percent, to 21.3 percent, since last year. Likewise, the company's share in diesel sales has also climbed marginally to 16 percent, over the same period.

Company officials contend they are also investing into improvements in the supply chain to "ensure energy consumer's demands across Pakistan are met". The newly unveiled lube bays work on Alemite technology which ensures consumers only get exact amounts of oil, based on their cars' requirements. The bays are also equipped with fans, hand sanitizers and soda vending machines.

For customers, this means added convenience and a better overall experience at Shell locations. For the company, it could spell greater gains, besides proceeds from the regulated sales of gasoline and diesel.

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