Shell resumes growth, plans 30 new stations a year

AFTER HALTING the expansion of new fuel stations in Thailand for almost 10 years, Royal Dutch Shell yesterday announced a growth strategy that will see 30 new sites opening in the Kingdom annually in the next three years.

The company, which operates 45,000 retail sites in 75 countries around the world, will promote Thailand as its critical development hub of the Asean Economic Community (AEC), to be implemented next year, thanks to the country’s strong geographic advantage and comprehensive road network connecting many countries in the region, including Singapore, Malaysia, China, Laos and Myanmar.

The company urged close cooperation of the government, the automotive sector, and oil companies to promote a global trend towards alternative energy sources, said Istvan Kapitany, Shell executive vice president for retail.

He said Shell was working hard on the development of a second-generation biofuel, for which Thailand was in an advantageous position because of its strong agricultural sector.

“We believe Shell is good for Thailand and Thailand is good for Shell. The global and regional demand for premium-quality fuel products is set to remain high, and we expect this will grow exponentially in the coming years. This is set to position Thailand as a critical development hub of the AEC,” Kapitany said.

“Based on the successful application of our global retail model in Thailand, we are in a strong position to continue to drive the growth of our retail business in Thailand to make sure that we reach more customers and continue to deliver the highest-quality products and services to meet their everyday motoring needs.” 

 

SE Asia the key market 

He said Shell had recognised Southeast Asia as a key market. 

“We want to bring the global success of our brand into every market that we work in today and in the future,” he said.

Asada Harinsuit, Shell vice president for retail (east) and country chairman of the Shell Companies in Thailand, said the number of Shell service stations in the Kingdom had declined by half from about 1,000 stations 10 years ago to about 500 now. However, under a renewed growth strategy, the company opened 12 new petrol stations last year. About 22 new Shell stations will be opened this year alone.

“To date, our team in Thailand has dedicated its efforts to expanding and upgrading the existing 500 Shell service stations and their facilities to improve our retail offerings and maintain our competitive edge. The growth of our retail network is a testament to the success of the application of our global retail strategy in Thailand,” Asada said.

He said Shell Thailand was ready for a new era as it looks to advance its position in the market by tripling the growth rate of retail sites as well as upgrading 25 per cent of its existing facilities. It also plans for all of its service stations to offer E20 gasohol (20 per cent ethanol) by November.

He said the Shell brand was synonymous around the world with passion and expertise in developing high-quality and technologically advanced fuels, while providing unparalleled customer service. In Thailand, Shell is a trusted international brand with a long heritage of 123 years.

Shell Thailand holds 12.5 per cent of the fuel retail sector, with 500 sites and more than 2 million transactions per week.