Oil & gas insights
Opportunities in Western European
Based on our analysis of the Western European retail marketing landscape, we have
concluded that there are likely to be further divestments in the near future as oil companies
continue to rebalance their portfolios to drive economies of scale.
This generates acquisition opportunities for retail marketers in Western Europe to
consolidate their existing networks and for new entrants to gain access to established
Overview of the European retail marketing industry
The Western European retail marketing industry (fuel retailing, forecourt shop and car
wash) generated total revenues of US$716.6b in 2008, representing a Compound Annual
Growth Rate (CAGR) of 7.5% from 2004 to 2008.
Fuel retailing generated total revenues of US$590.9b in 2008, representing a CAGR of
8.7% over the same period, and equivalent to 82.5% of the retail industry total value. This
was primarily driven by higher pump prices as fuel volumes only grew by a CAGR of 5.8%
from 2004 to 2008 to a total of 369.2b liters.
Fuel volume is expected to grow by a CAGR of 2.4% from 2008 to 2013.
Western European retail
marketing — a US$700b industry
US$bEurope non-fuel retailing
Europe fuel retailing
For the purposes of this chart, Europe comprises Belgium, the Czech Republic, Denmark, France, Germany, Hungary, Italy, Netherlands,
Norway, Poland, Romania, Russia, Spain, Sweden, Ukraine and the United Kingdom.
European retail marketing industry revenues
Oil & gas insights Opportunities in Western European retail marketing
Given the maturity of much of the European retail marketing industry (as indicated by the
low volume growth), economies of scale and control of operating expenditure are crucial in
generating pro table throughputs and hence return on capital employed.
In recent years, there has been signi cant transaction activit