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Retailing: convenience service station forecourts have become a notable shopping channel. Partnerships include Woolworths and engen (which Continuous opened their 50th joint store at the end marketing and of last year), Pick n Pay with BP, and advertising eforts freshstop (fruit & veg City) with Caltex. even spar climbed onto the bandwagon are vital when it announced last year that it was opening its frst spar express store in conjunction with shell. There are the reality is that the petroleum she says, puts forecourts in a position now over 160 FreshStops industry is highly regulated, often where they can signifcantly increase situated across regarded as a commodity by consumers, market share. the country. This and cannot compete on price. so a “But they have to keep in mind that is the Airport City outlet in combination of fuel quality, facilities and there is no such thing as a loyal shopper Cape Town customer service is typically used to anymore. the consumer goes where drive growth. as a result, the business his or her mood takes them and, with a model has evolved to the point where proliferation of retailers to choose from, popular in soweto, wraps in sandton and while the concept was effective in the nearly all service station forecourts of consumers shop around. Forecourts are burgers on the east rand. If forecourts 90s, a better retail experience was any signifcance are now classifed as just another option,” she notes. cater for their audience, the potential being called for by consumers in the Spar announced last year that it was opening its frst Spar Express store convenience stores. the variables are time, money and results are huge,” randall observes. second decade of the new millenium. in conjunction with Shell. This is a Spar Express forecourt outlet in Ireland emotional energy. randall explains “In order to stay relevant, we needed Challenges and opportunities that while forecourts may be open Fresh produce to enhance the overall consumer this has led to new challenges for 24/7, they are constrained by the same one high profle partnership is fruit & veg experience at our retail stores fuel-retail partnerships, but also great factors as other competing retailers. City and Caltex, with the former operating by responding to the demand for opportunities. the former include the therefore, continuous marketing and freshstop retail outlets at Caltex service convenience shopping. the partnership need for new supply chains, integration advertising efforts are vital to bring stations. Last July the Freshstop close with fruit & veg City, through the of different systems and processes, people into the on-site stores. “they to Cape town international airport was Freshstop brand, enabled us to achieve greater tracking and accounting cannot rely just on people who are flling the winner of the 2013 insight naCs this,” says rochna Kaul, general requirements for fuel and dry stock, and up their vehicles with fuel to shop at their international Convenience retailer of the manager for products at Chevron south more complex management and control forecourt,” she points out. year award for its performance over a africa, which owns the Caltex brand. of cash – as well as the need to contend according to randall, no profle of short period of time. For her, the service at the forecourt with tight margins in what is a very a forecourt consumer exists; instead It attracted more than 160 000 retail outlet is no different to what the competitive marketplace. the profle changes according to the customers and had sales of over r4- petrol attendant does. “It is all part of this evolution has also changed the geographic location. “take, for example, million in its frst quarter of operation. the overall experience. the Caltex brand profle of the service station owner or a forecourt in sandton in northern this double-storey fagship store has name draws in the customers, but the manager, who needs to be an astute Johannesburg and springs on the far a full kitchen and bakery, a steers experience keeps them coming back.” business person who understands east rand – they are very different fast-food outlet, supa-Quick vehicle according to Kaul, Chevron has a marketing, management, fnance, retailing locations with very different customers. ftment centre, car wash, sit-down area strong focus on supporting entrepreneurs (including fMCG) and have a broader there are no specifc demographics with free Wi-Fi, parking and conference and Black economic empowerment understanding of business in general. except for the local geography and facilities. (Bee). “We work closely with the retailers Forecourts have evolved from the forecourt retailer shares the there are now more than 160 who run the independently owned service mere fuel-sellers into sophisticated demographics with other retailers in the Freshstops situated across the country, stations to enhance their overall product micro-retailers says gill randall, joint PHOTOS: Graffiti MeDia, MovinG taCtiCs, supplieD area. therefore, to be successful they more than double that of its nearest and service offering. therefore, we are managing director of the Newspaper have to understand the people who live competitor. However, while the Caltex integrally involved in assisting them to advertising Bureau (NaB). Its roots in that locality.” brand was compelling even before grow their business.” research, which is conducted every three so each forecourt retailer must the partnership, its forecourt offering she says the company is continuously years by independent research company provide the products their specifc area was not. Like most fuel brands it had seeking to innovate in an effort to In a world where convenience is everything to consumers, forecourts have tNs, found that consumers place a high demands. “While coffee and fast foods created its own convenience forecourt enhance customer experience and become a signifcant shopping channel (photo courtesy Graffti Media) premium on convenience. this trend, sell everywhere, chicken might be more brand – in this case, star mart. However to grow the Caltex brand. to this >> 22 strategicmarketing August–September 2014 August–September strategicmarketing 23