What’s more valuable – coffee or fuel?

z coffee

Does that sound like an odd question?

It is a question, however, that has been considered recently in the New Zealand online press.

The only nationally owned big fuel company has decided that coffee is certainly a profitable part of its business and has decided to promote sales of takeaway coffee to boost profits.

Stuff.co.nz has reported in detail on the matter recently.

The company, previously part of Shell New Zealand, has been taken over by the New Zealand Superfund and Wellington Investor Infratil in 2011 and renamed Z Energy.

The company has made an effort with its public image and has an astonishing 86,000 ‘likes’ on its Facebook site – unusual for an oil company.

It is also thinking outside the box in terms of boosting revenue.

The company made the strategic decision to boost revenues by having a supplemental food, drink and grocery arm to their outlets.

The average profits of 2.1c per litre for fuel and petrol alone, was not adequate.

However, in making this decision to branch out, the company had to do their homework.

The brand and quality of coffee is important if you want to introduce it so strategically.

It seems from reports that the strategy is working well so far.

About an eighth of the service stations now have a store business and coffee sales have increased ‘dramatically.’

Pie sales were also singled out as being very popular.

Comments ( 0 )

    Leave a Reply