IndianOil Corporation has announced plans to diversify the retail offerings across its petrol station network to cover non-fuel products such as food, music and farm equipment, The Economic Times has revealed.
According to the publication, IndianOil is planning to branch out because it is currently experiencing increasing losses as a result of the fuel subsidies that are offered in India. As a result, in the first stage of the initiative, IndianOil is planning to extend its offerings in 2,000 of its petrol stations, with 100 of these set to be in operation in the coming six months.
The Economic Times cited an IndianOil official as saying: We believe that we can double the number of footfalls every year given the fact that every car comes with two passengers.
In order to cater to the diverse regions in which its petrol stations are situated, IndianOil is reportedly planning to divide its 17,000-strong network into rural, urban and highway categories.
While the urban sites will provide offerings such as food and groceries, the rural stations will provide farming equipment, The Economic Times revealed. Meanwhile, those situated on highways will provide recreational offerings such as books and music.
According to the publication, IndianOil is hoping to establish the more multi-functional petrol stations that are increasingly found abroad and is hoping to use the new retail model to differentiate is business amid increasing competition.