A study of gaps in services at petrol pump outlets and strategies for non-fuel revenue
Student name: Mr Arun Sharma
Guide: Dr Sanpa Narula
Year of completion: 2012
Host Organisation: TERI University
Supervisor (Host Organisation): Dr Kaushik Ranjan Bandyopadhyay
Abstract: Huge under recoveries in the petroleum industry have forced OMCs to identify ways to increase
their share of wallet of the customers by choosing to provide services of value to customers. Hence
the companies are diversifying into related as well as unrelated areas. IOC has made a foray in the
retail area and has forged various alliances with Hindustan Unilever Ltd, Dabur, ICICI Bank, Ferns
& Petals, MTR Foods, PVR Cinema, UAE Exchange, Reliance Capital and DHL to tap the 195
million sq. ft. of retail space through its dealer network. IndianOil is focusing on enhancing its nonfuel
revenues by offering services of value to retail customers at its outlets. Similarly, BPCL has
come up with In&Out chain of convenience stores, which are constantly increasing in number.
BPCL also hopes to increase the revenue share from the present 10%.
The study focuses on identifying areas of value to customers at petrol pump outlets, identifying the
ways of developing a sustained interaction with customers at petrol pump outlets and how OMCs
can intensify its service stewardship.The findings of the survey highlight the needs of different
segments of customers ranging from the car maintenance hassles to the demands of the new age
customers at a petrol pump outlet, concerns while refueling to various service dis-satisfiers among
others.Finally, based on the survey findings various recommendations have been made keeping in
mind how to make each visit to a petrol pump outlet a pleasant experience thereby increasing the
brand appeal and brand recall.
