IOC retail push: rail tickets, insurance and utensils over LPG chain
Indian Oil Corporation is pushing ahead with a plan to sell kitchen items through its LPG distributors, reports Suman Layak.business Updated: Apr 11, 2007 22:19 IST
Indian Oil Corporation is pushing ahead with a plan to sell kitchen items through its LPG distributors and ultimately sell railway tickets and insurance through these outlets too.
The company is expanding its network and will have 66 new distributors soon. It is connected to 4.8 crore households through 5,000 distributors across the country.
This is part of a larger plan to increase non-fuel revenues for the company and it has already engaged KSA Technopak to do a study on 16,000 petrol pumps on how to use them better to increase the non-fuel revenues of the company.
For the gas distributors, however, the company is going along charting its own path. It has already introduced gas stoves and gas pipes. It is looking at all kitchen related items for this channel.
Mrinal Roy, the executive director for LPG, told Hindustan Times: "We will move on to kitchen related items like utensils and then can move outside the kitchen too. It can also be other domestic goods."
Roy added: "Then we will be looking at railway tickets and insurance. The distributorship will become agents for Indian Railways."
IOC is pushing hard on the non-fuel retail pedal now, even as competitors like HPCL and BPCL have moved faster though they have smaller networks.
Indian Oil Director Marketing GC Daga earlier announced at a press conference on Tuesday that the company is entering into a tie-up with Pantaloons to set up Servo Xpress points at Orchid Mall in Mumbai which will provide service to shoppers who come in their cars.
Daga said that the company does not want to walk the exact route that HPCL and BPCL are taking but wants to explore the options for increasing its non-fuel revenue all the same.