The sale of automotive fuels in the UK is a £17 billion industry. Over 4,300 petrol stations are currently providing fuel and convenience services to the general consumer market, employing almost 39,000 workers.
Petrol stations make the majority of their fuel income from the sale of petrol and diesel. However, autogas and other green alternatives are becoming popular offerings for the consumer market.
On top of general fuel sales, many petrol station franchises supplement their income with convenience store essentials such as confectionery, soft drinks, sandwiches and snacks, premium coffee, general groceries, newspapers, and magazines. Many franchises also provide motor-centric services such as car-washing and the sale of car maintenance items, such as lubricants, windscreen wiper blades, coolants, and screen-wash.
32.5 million cars are using the roads in the UK and, in 2019, UK petrol stations sold 46.5 billion litres of fuel - divided between petrol and diesel.
While there is a shift towards greener fuels, the vast majority of vehicles on UK roads still use petrol and diesel. However, with more and more electric cars finding their way onto the road, petrol station franchisees are finding the need to diversify their product offering.
There's tons of potential for petrol station franchises to accommodate the green market, along with incentives and encouragement for consumers to take the greener approach to travel.
Franchising
Franchising offers individual businesses access to the competitive petrol station market, offering the security of a recognisable brand to help draw customers.
Franchising brings with it a series of valuable benefits, including a ready-built business infrastructure, access to the legal and administrative functions of the parent company, and a proven track record of profit and turn-over.
Petrol stations look almost identical from the road, but the instantly recognisable branding helps customers make an informed decision about where to stop and fill up. The UK is still almost wholly reliant on combustible fuels, so it makes sense to ally your new business with a parent company that has the negotiating powers for the most competitive prices to the consumer.
Benefit from the security of long-term profit and a financial and operational model that has demonstrable sustainability.
Associate your new business with a reassuring and trusted brand, and obtain access to an existing client base.
Petrol Station franchises
Most petrol station franchises bolster their income by offering convenience store products, providing groceries and a wide array of home products such as loo roll, household cleaning products, as well as a range of tinned food and ready-meals.
Many town-based petrol stations attract both motorists and nearby residents, operating on a 24-hour basis. This means that local residents can purchase tobacco and convenience products outside of regular business hours which is a valuable and appreciated service.
UK petrol stations are evolving into multi-purpose shopping destinations. In the 1970s, there were almost 37,000 forecourts in the UK; in more recent years, that number is closer to 8000. However, the UK population are driving more than ever.
This decrease in the number of forecourts isn't due to a lack of available profit and turn-over - it's merely down to the fact that cars are almost 50% more energy-efficient, requiring a less densely populated petrol station population.
In fact, filling the tank is actually the fourth in the list of reasons why people visit a petrol station. The principle reasons these days are principally groceries and Food-To-Go (FTG).
Petrol station franchises, as a result, can offer a business owner a wide range of income streams.
Franchising Vs Independent
Banks tend to favour the franchise model - franchise businesses are more durable because they're based on proven, successful financial and administrative frameworks.
Independent companies can struggle to raise start-up funds because the first two years of business are often economically unstable. Almost 50% of all UK independent companies fold within the first two years of trade.
On the other hand, franchising provides a stable basis for a new venture, with support from the parent company and a ready-to-go infrastructure - built through experience and upon a proven economic structure.
Petrol Station Franchises
Explore our list of petrol station franchises today, and get started on your journey towards a fulfilling career in self-employment.
Find your brand new start with Franchise Direct.