INDEPENDENT FORECOURTS PROVIDE EXCEPTIONAL SERVICE TO DIESEL FLEETS

Published 16/04/2015 00:00:00 in Press Releases

“More than 70% of the specialist hi-speed offset diesel refuelling facilities are provided by the independent retailing sector (Experian Catalist), so ensuring that our fleets of buses, trucks, vans and cars are well catered for across the UK”, commented Brian Madderson, Chairman of the Petrol Retailers Association (PRA).

“However the diesel fleet market is dominated by the use of agency, bunker and oil company fuel cards which has driven margins to as low as 0.70ppl.  Thus an HGV filling with 300 litres of diesel at around £350 sales value can provide the owner with little more than £2 to help pay for the costs of running and maintaining a complex technical installation.  This would not be financially sustainable without realising higher margins from other fuel trades.

“In some cases, discounted diesel can be as much as 60% of the entire business of an independent retailer and we don’t have the benefit like big supermarkets of being able to cross-subsidise our fuel sales with high margin grocery sales

“In fact, nearly 900 independent petrol retailers closed for business in the five years up to 2014 (Experian Catalist) which just confirms how close to the edge many are operating.

“We reach out to the motoring organisations to better understand the structure of the UK fuels market and help the smaller retailers survive in an increasingly competitive market otherwise the spectre of ‘rural fuel deserts’ becomes an ever closer reality.”

 

ENDS

NOTES TO EDITORS:

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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