References

Shell Deutschland Oil: Full-service Promotions

When Shell Deutschland Oil decided in 2002 to reorganize its non-food promotion program, it quickly found an ideal partner in OTTO International (OI). Together, the companies developed a concept that ensures long-term customer satisfaction and service based on OI's expertise as a service provider.

The first promotion began in May 2003. Close to 1,200 Shell Select stations offered a new range of non-food promotion products every two months, each consisting of 9 to 12 items sold at prices of between 6 and 75 euros. OI put together the ranges, each grouped around a specific topic. OI's extensive pool of suppliers was a crucial competitive advantage in sourcing the many different groups of products.

OI initially furnished the following package of services:

  • create ranges and source them in the various sourcing markets
  • develop a consistent packaging design with individual packaging materials for each item
  • provide quality assurance and quality control
  • handle transportation, customs and delivery to warehouse of all imports
  • ensure compliance with all statutory requirements and create instruction manuals
  • liquidate any unsold surplus items

The cooperation enabled Shell to regularly offer an attractive, varied range of non-food promotion products. A custom packaging design ensured optimized merchandise presentation with a high recognition value. At the same time, the promotion scheme clearly set Shell apart from the competition. Tenants benefited from additional commissions.

In mid-2007, the successful cooperation was extended further. Shell entrusted OI with its entire promotion scheme. For a tighter dovetailing of the businesses, OI adapted its technical interfaces to Shell to allow for establishing efficient automated processes. OI took over all the logistics and optimized the processes for deliveries and returns. Its new tasks also included planning the selling spaces and designing the promotional materials. In addition, a call center was set up to field promotion-related questions from the tenants.

Shell and OI have developed a unique non-food promotion concept for gas & petrol stations which - thanks to its ongoing evolution - bears great potential for the future as well.