Four trends shaping the fuel retail sector in SA

Ronél Fester With over 4 600 fuel forecourts currently in operation and more expected in the future, this industry is rapidly growing as a key driver of revenue for fuel stations in South Africa. Ronél Fester, FNB Franchise Industry Specialist, says the success and profitability of fuel forecourts lies in their ability to understand and meet the ever changing needs of consumers, while conveniently providing them with exceptional service at any time of the day. Even in the toughest economic conditions this business model has proven to be successful for service stations. For instance, convenience shopping currently allows consumers to fill their petrol tanks, buy coffee, muffins or even fresh fruits while on their way to work. This gives fuel retailers a competitive edge and the opportunity to penetrate a growing market. “As more retail brands invest in this concept, competition has increased, leading to a battle for market share. Therefore, fuel retailers should constantl...