PETROMIN: Lubricants Leader Targets Complete Automotive Services Ecosystem

Petromin’s origins date back to 1968, when the company first began to construct today’s peerless reputation for producing the highest quality lubricants in the region. Its specialisms span the four key areas of oil lubricants, fuel retailing and car dealerships and, most recently, car servicing, through its Petromin Express arm.

“Petromin began life predominantly as a lubricant manufacturing company,” explains Vice President Tariq Javed, “and as of today we have three plants: in Riyadh and Jeddah, which serve the Middle East and local Saudi markets, as well as a third unit in Dubai, which is primarily used for the export of our range of Petromin lubricant products to around 50 countries across the globe including Gulf Cooperation Council (GCC) countries, the Middle East, Africa and Asia.

“We hold in excess of 40% of the market share in terms purely of lubricants, but in 2008, following a change of ownership, the company took the strategic decision to broaden and diversify its business portfolio into the sphere of automotive services. This proved to be the start of a journey that has transformed the business into the foremost company that it is today.”

At the heart of this success is an unwavering commitment to maintaining the highest level of service quality and customer convenience. “Excellence and continuous improvement is Petromin’s motto,” adds Javed. “As we strive to exceed expectations we aim to undertake new professional challenges and ventures, with a sustainable accountability as a framework.”

EXPRESS EXPANSION

Petromin’s unbending vision to become the first choice for the automotive services customer has resulted in a significant expansion of its operations, exemplified in the introduction of its own chain of quick lube service centre facilities under the Petromin Express brand. “The establishment of Petromin was in direct response to the huge demand for genuine parts and various automotive products in Saudi Arabia,” details Javed.

“Petromin Express now successfully bridges the gap as our after-service arm by offering products and services that are tailored to the specific needs of customers, underpinned by its ability to offer quality solutions in a timely fashion whilst placing enhanced focus on customer comfort. All Petromin Express outlets have experienced technicians trained to service vehicles with great care, and a range of service packages to suit customers’ specific needs.” The Petromin Express network has rapidly gone from strength to strength, standing today at nearly 700 outlets – equating to on average one new service centre opening per week.

“The aggressive expansion plan is in keeping with our philosophy of offering hassle-free vehicle servicing facility in the Kingdom,” Javed says. “Petromin Express is actually the largest segment of the Petromin organisation currently, both with regard its footprint and its renown in the sector. Alongside our service centres all across Saudi Arabia we are operational in the Middle East, and the UAE in particular, with stations in Egypt and many other locations which we are looking to occupy.”

A multi-brand, multi-service outlet, the business provides a comprehensive range of car care solutions, from routine check-ups to providing major oil brands and maintenance solutions bundled under a range of packages. “Petromin Express’s quality and range of services, together with our local expertise, make us unrivalled, and lend us the ability to offer the best vehicle serving facility in the Kingdom,” Javed details. “We are meticulous and determined in caring for the best interests of our customers, which means that all of our service stations conform to the highest standards of comfort and hospitality.

“We have also subscribed to a major sustainability initiative regarding water preservation, in the introduction of a steam car wash service, which entails only 10% of the water compared to the consumption of the conventional service.” With Javed describing four million invoices arising at the business every year and on average 10,000 customers populating its outlets each day, this is clearly of paramount concern and a response entirely in keeping with the responsibility at the heart of the corporation.

FOCUS ON FOOTPRINT

“We have amassed an extensive and established footprint, and one which is alike any other similar player in the region,” Javed assesses, which he attributes in a big way to Petromin’s attention to detail on the degree to which clients feel satisfied and compelled to return. “We recently won two gold awards at the GCXA’22 Gulf Customer Experience Awards, as well as being crowned the overall winner, and we are honoured to be the first Saudi firm to achieve this feat in the same year.

“As the market leader in the automotive care industry, we take pride in having been recognised for constantly pushing boundaries to better engage with customers, redefining our parameters of innovation and identifying new ways to connect with today’s digitally empowered consumers, particularly amid the pandemic.” Awards International recognises companies that demonstrate expertise in embedding customer experience into their organisational culture and ethos, and celebrates the absolute top business initiatives implemented by companies around the world. “With so many companies in a race to compete on customer experience, it takes a lot to pull ahead of the pack,” commented Petromin CEO Kalyana Sivagnanam. “Petromin understands the importance of a customer-centric approach and how critical it is to understand the modern consumer’s journey. Our vision is to build customer loyalty with meaningful experiences and turn our customers into advocates with a humanised brand.”

The multiple awards are testament to Petromin’s capabilities and passion for inspiring customers and providing them with an exceptional experience at every step of their journey, massively aided by the company’s fundamental approach, Javed expands. “At present, within Saudi Arabia all of our locations are company-owned, company-operated – what we call COCO sites – and this really sets us apart in the country. This has really worked for us locally as it has allowed us to standardise the customer experience and journey across the entirety of our sites.

“In contrast to other sectors, automotive services are rarely linked to moments of delight or luxury, and it is therefore crucial that we are taking every available opportunity to ameliorate that customer experience, which this operating model uniquely allows us to do.”

When it comes to broadening its worldwide presence, Javed continues, a shift in method will be required in order to secure the desired growth and success. “While we have another round of local expansions due imminently, with the next year” Javed outlines, “we are focussing a large part of our efforts to targeting international expansion right now. When we look towards a global footprint, however, clearly we do not have an office setup in every single country, and therefore we are looking for partners and to pursue the franchise model in order to unlock these new territories.”

In line with its overarching vision to become the number one automotive solutions corporation, Petromin recently entered into a partnership agreement with Nissan to become an authorised distribution agent in the Kingdom, a partnership designed to reflect a new chapter in automotive sales and after-sales services. “What we are aiming to do, ultimately, with Petromin, is to create a complete ecosystem of automotive services and solutions,” Javed explains. “From the beginning of the customer journey at the purchase of the vehicle up until its resale and repurchase, we will cover the whole 360-degree cycle.

“Entering into a dealership affords us our very own vehicle branch, from which we can sell directly, and then the likes of Petromin Express comes in to cater for the customer through every stage, and we are also developing a used car platform to ensure that every base is covered. We have an extensive network expansion plan that Petromin Nissan will be executing over the next few months, and will continue our mission to afford the customer an exceptional experience and place their satisfaction at the heart of everything.

“We remain committed to delivering best-in-class services while ensuring accessibility for all customers across KSA, and this is something that will never change.”