Long before eateries became a familiar feature of filling stations across Nigeria, the idea of combining fuel retailing with food service was a relatively unfamiliar concept.
Interestingly, according to Adetunji Oyebanji, former Managing Director of 11 Plc, formerly Mobil Oil Nigeria Plc, one of the early moves that helped change that landscape was the decision to bring a quick service restaurant into a filling station.
Oyebanji, reflecting on some of the milestones of his 45 year career, recalled how 11 Plc forged a pioneering relationship with UAC Foods to introduce a Mr Bigg’s outlet within a filling station.
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He described the initiative as one of the achievements from his tenure that he remains particularly proud of, largely because it created a model that has since become common across Nigeria’s downstream petroleum sector.
At the time, filling stations were primarily designed around one core purpose: selling petroleum products. The conventional model centred on fuel pumps, forecourts and basic customer services, with little consideration for turning the location into a broader consumer destination.
With that, the partnership with UAC Foods, however, began to challenge that approach. Under the arrangement, space within a filling station was leased to UAC Foods to operate a Mr Bigg’s outlet. This brought together two different businesses in one location and created an entirely different proposition for motorists.
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He noted that, instead of stopping only to buy fuel, customers could also eat and access additional convenience while making the same trip. For Oyebanji, the significance of the idea was not simply that a restaurant had opened beside a petrol station.
Rather, it demonstrated that a filling station could accommodate other consumer services while creating additional commercial value for its operator. He recalled the initiative as “the first arrangement of its kind in the industry”, adding that what was pioneered through the relationship with UAC Foods has since become increasingly commonplace.
The model gradually gained traction as filling station operators began to recognise the commercial possibilities of using their locations for more than fuel sales.
Eateries, convenience stores and other consumer focused services subsequently began appearing around filling station forecourts, changing the way motorists interacted with fuel retail outlets.
Incidently, he explained that the shift also coincided with broader changes in Nigeria’s downstream petroleum market.
“As competition intensified, fuel availability alone became less effective as a differentiator. Operators increasingly needed to provide better customer experiences and create additional reasons for consumers to choose their locations”.
Oyebanji believes that this evolution is becoming even more relevant today as Nigeria’s downstream sector enters a more competitive phase. With domestic refining improving product availability, motorists now have greater opportunity to choose where they buy fuel. Consequently, operators must compete on more than the availability of petrol.
Service delivery, convenience, trust, brand reputation and the overall customer experience are becoming increasingly important. In that emerging environment, the filling station is no longer simply a place to refuel.
It is increasingly becoming a one stop consumer destination, where motorists can fill their tanks, grab a meal, shop for essentials and access other services without making separate trips.
Proudly, that transformation can be traced, in part, to early experiments such as the 11 Plc and UAC Foods partnership. So, what began as an innovative decision to lease filling station space to a quick service restaurant operator eventually helped demonstrate the commercial potential of combining fuel retailing with food and convenience services.
For the visioner, the story is also a reminder that innovation does not always require a completely new industry. Sometimes, he suggested, it involves looking at an existing business model differently and finding new ways to create value for customers.
Today, the sight of an eatery operating within or alongside a Nigerian filling station may appear ordinary. In conclusion, the former 11 Plc chief executive’s recollection offers a glimpse into how that once unconventional idea began finding its place in Nigeria’s downstream petroleum landscape.
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