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BPCL:PETROL PUMP REVOLUTION

Introduction
BPCL -a leading player in the Indian petroleum

industry. In April 2002 Indian players realized they need to become more customer focused. Shell launched the first convenience store (C-store) stocking over 1000 different items. It offers eatables, soft drinks, stationery, newspaper, magazines , frozen foods, audio cassetes and cds

Background
In 1951 the government entered into an agreement

with the UK based Burmah oil company In 1952 this agreement led to the incorporation of Burmah shell oil refineries limited In 1976 the government acquired 100% share in the company In 1977 the company name was changed to Bharat Petroleum corporation limited. In 1993 BPCL tied up with partner shell to form Bharat shell Ltd.

Background
In April 1994 the government decided to divest its

26% share of its stake. The government Identified as one of the nine Navratnas BPCL refinery consistently operated at over 120% of its 6.9 million metric tones per annum installed capacity BPCL also acquired 19% stake in Numaligarh refineries limted

Retail Initiative :Phase I


Petroleum business broadly divided into three parts :

the production of crude, the refining of crude oil into sealable products and retailing In 1992 BPCL began its customer service improvement efforts with a market survey Market survey identified the need of the customer BPCL tied up with Apollo tyres BPCL also tied up soft drink giant Pepsi co. to provide customer service at retail outlets

Retail Initiative :Phase I


BPCL was the first oil company in India to issue a co-

branded credit card in a tie up with Bob card limited The vehicle owner could even authorize their drivers to purchase fuel using this card. BPCL took special attention to avoid the problems an average petrol pump owner associated with the usage of such Petrocards. BPCL give cardholder Pre-embossed slip so that pump attendant do not have to run the card through the embossing machines.

Change in organization structure


The company was split into six strategic business

units Increase in interaction between senior manager and customer Six SBU were retail outlets, commercial user, lubricants, LPG, aviation and refinery. Classification helped the managers focus on specific customer and speeding up decision making process BPCL also set up cross business council that functioned across six.

Change in organization structure


The restructuring gave special emphasis to

marketing. BPCL initiated a series of steps for taking the company closer interaction with customer 22 divisional offices were replaced by 61 branches in smaller territories. This helps in closer interaction with the customer BPCL started modernizing individual petrol pump throughout the country.

BAZAAR
BY July 1999 , 35 of BPCL retail outlet across the

country had the Bazaar stores running successfully. BPCL came up with another revolutionary idea by launching Mc Donald fast food outlet at petrol pump near Mathura on Delhi Agra highway Mc Donald paid a fixed rent, besides the percentage of its sales to BPCL The outlet was expected to pull in foreign and domestic tourist headed to and from Agra

Retail Initiative Phase -II


The company also used feedback system to renovate

in the area BPCL modified certain thing on the basis of feedback. It decided to keep the stores open till at least 11 pm Lot of product being stocked like chocolates and essential item like milk It also opened In and out stores around 40 outlets It firstly focused in north India.

Enhanced Service
BPCL tied up with different companies for a no of

different industries Fast food , photography, music, financial service ATM, courier service ,greeting card The companies involved were Mc Donald ,Tata internet, Pepsi,HMV, Sony, ITC,UTI bank standard chartered bank and Kotak securities These companies were given counter within the stores for selling their services The stores were open till mid night.

BPCL: a distribution center


It was not always easy getting them to their houses to

deliver product BPCL proposed a solution by US base company Peapod It used local petrol pump as a delivery point The products were delivered to a BPCL outlet The petrol pump acted as a convenient channel between the companies and the customers BPCL innovative plans concerned with distibution of LPG

Conclusion
BPCL revolutionize the retailing sector in India

BPCL used innovative techniques for greater

customer satisfaction. It gave more emphasis on customer services to make a revolutionary change in petroleum retail sector. It work on the tag line "each pump has a story to tella story of care and commitment. It was well supported by marketing and retailing strategy.

THANK YOU.

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