Service Station and Convenience Retailing Joint Ventures in Europe – Market Research Report on Aarkstore Enterprise Introduction In recent years there has been a surge of joint-ventures between fuel and convenience retailers across Europe. Through these collaborations, oil companies have sought the expertise of convenience retailers to improve their shop proposition while convenience retailers have used service stations as an additional growth channel. The maximum potential for new partnerships lies in CEE Europe. Features and benefits * Make informed decisions about convenience retail partnerships by examining the advantages and features of ongoing and former joint-ventures. * Identify partnership opportunities by assessing the forecourt shop numbers, customer footfall and partnership likelihood for various fuel retailers. * Recognize potential convenience retail partners in the growth markets by assessing the store expansion and growth strategies of the major players. * Devise new marketing and branding strategies by examining the case studies of various fuel and convenience retail partnerships across Europe. Highlights Major European grocers have renewed their interest in c-store formats and are looking at expanding their store networks. Given their advantages of location, trading hours and oil company-brand name, service stations present an excellent growth channel for convenience retailers. While Esso’s service stations with On the Run shops are typically located on busy transient routes catering to drive-through motorists, stations with Tesco Express stores are located in dense residential areas. Unlike the BP-M&S joint-venture, the stores and service stations under the partnership are not co-branded. Central and Eastern European countries present the greatest potential for new collaborations as the proportion of service stations with shops is increasing, thereby supporting the development of the shop offer. Moreover, national and international retailers are looking for growth opportunities for the expansion of their footprints in these markets. Your key questions answered * Which fuel and convenience retailers have ongoing partnerships across Europe and what are the key motivations and highlights of such ventures? * Which European markets offer the maximum scope for new partnerships and which fuel retailers operating in these markets can be potential targets?
* Who are the major convenience retailers in the growth markets and why they may be interested in partnering with oil companies? * Who are the top fuel retailers by the number of service station shops across various markets in Europe and what is their partnership likelihood? Service Station and Convenience Retailing Joint Ventures in Europe Service Station related Market Research Report Table of Contents : Executive Summary OVERVIEW About the series Summary STRATEGIC CONTEXT Motivations for convenience retailers to partner with fuel retailers at service stations Smaller formats have a higher growth potential compared to hypermarkets Service stations form an attractive channel for the opening of c-stores Motivations for fuel retailers to partner with convenience retailers Fuel retailers have fragmented shop strategies and need to create a consistent brand image Fuel retailers’ shop brands have a stigma attached with them Fuel retailers can focus on their core business and reduce the number of supplier points of contact A specialist food and grocery retailer can improve the overall service station shop offer STRATEGY IN FOCUS: CURRENT JOINT VENTURES C-stores in the BP-M&S joint venture in the UK are co-branded BP is the UK’s leading player in the service station retailing market M&S is a leading food and grocery retailer in the UK and operates the Simply Food cstore format A partnership was formed to open Simply Food stores at BP-branded service stations in 2005 The stores under the partnership are jointly branded under the M&S and BP brand names The Esso-Tesco alliance follows a classic joint venture model Esso operates two shop brands, On the Run and Snack ‘n’ Shop Tesco is the dominant player in the UK food and grocery retail industry Esso and Tesco have partnered to open Tesco Express stores at Esso-branded stations C-stores at Esso stations are branded under the Tesco brand name only Shell has a supply agreement with Waitrose in the UK Shell ranks second in the UK service station retail market Waitrose has plans to expand its footprint in the UK convenience retailing space Shell service station shops sell Waitrose-branded food and convenience products Shell-branded service stations feature 7-Eleven c-stores in Scandinavia Shell has a network of over 1,000 service stations in Scandinavia Reitan Group is a Norwegian retailer that operates the 7-Eleven c-store chain in Scandinavia A cooperation agreement was signed between Shell and RSH in 2007
Service station and shop branding is managed separately and exclusively by the two partners Kesko operates its K-market stores at Neste- and Teboil-branded service stations in Finland Neste is the market leader in the Finnish service station retailing industry Teboil is the second largest fuel retailer in Finland Kesko is a major food and grocery retailer in Finland Kesko’s K-market stores are located at Neste-branded service stations Kesko formed a partnership with Teboil for the opening of its K-market stores at Teboil fuel outlets Service stations and c-stores under the partnerships are jointly branded Rewe’s Billa c-stores will be opened at all Jet service stations in Austria Jet has a network of over 140 branded service stations in Austria Rewe is the second largest grocery retailer in Germany Rewe has formed a partnership with Jet for the opening of its Billa stores at Jet-branded service stations The stores are branded as Billa, whereas fuel pumps and the station canopy are branded as Jet The Galp and Sonae joint venture in Portugal is over 10 years old Galp is the market leader for Portugal's service station retailing industry Sonae operates various food and non-food store formats in Portugal Galp and Sonae formed a joint venture for the opening of M24 c-stores at Galp-branded service stations Galp is converting all the M24 c-stores into its new shop format, Tangerina, under the joint venture Delhaize’s affiliate c-stores, Shop 'n Go, are located at Q8 service stations in Belgium Q8 is the third largest player in the Belgian service station retail market Delhaize is a major retailing group in Belgium Delhaize’s Shop 'n Go c-stores are located at Q8-branded service stations Migros-owned Migrolino c-stores are located at Shell service stations in Switzerland In Switzerland, Shell has the largest number of service stations with a shop Migros is a Swiss supermarket chain which also has its own branded fuel outlets Shell and Migros have a partnership for the opening of Migrolino c-stores at Shellbranded fuel outlets For some-more information, Great fully visit: http://www.aarkstore.com/reports/Service-Station-and-Convenience-Retailing-JointVentures-in-Europe-32759.html http://www.aarkstore.com/search/viewresults.asp?search=Service%20Station %20&PubId=&pagenum=1