12 Feb, 2020 – Kuala Lumpur – Since September last year, there has been rumours that BHP petrol stations will be sold off. This year, news are circulating that there is a private petrol company that has acquired the license to operate petrol stations, starting in March.
This also means that there will be 6 petrol station brands on the market, from the initial 5 (Petronas, Shell, Caltex, Petron and BHP).
There is no news about the name or brand of the 6th addition. Since ProJET left Malaysia in 2007, the market has always been split between 5 players. With the addition of a newcomer, the initially comfortable market can expect fresh competition.
Nevertheless, this is a good news for both petrol station operators and consumers. More competition means more promotions by all companies to attract customers.
A source has shared that the new petrol station company will offer greater perks for operators, who worry for the uncertainties in their current petrol company’s internal operations and future.
He shared that most petrol suppliers impose stringent rules on operators. They have no choice but to accept it, since a deal with any other company is just as unfavourable.
“For example, the smallest petrol station brand on the market, with 400+ outlets around the nation, has ceased all promotional activities since last year, after rumours of a company acquisition broke out.”
He also shared that since the company’s Managing Director retired 2 months ago, there has only been an acting MD in place. Many from upper management has left the company, including at least 3 Territory Managers and a Head of Lubricants.
“In the past, the company rarely invested in brand awareness and promotions. Now that there is another option on the market, we can expect better days for petrol station operators.”