Poll: Will consumers pay more for premium at the ‘servo’?
In 2019, convenience is king, with the industry in Australia now worth $4.7 billion according to market research company IbisWorld.
Australian department store David Jones is the latest to try cash in on this opportunity, announcing a partnership with fuel giant BP on Tuesday, which will see selected BP sites offer exclusive, high-quality products under the David Jones Food banner.
The offer will add a further 350 products, including food-for-now and food-for-later options, as well as fresh items such as sandwiches, sushi, rotisserie-chicken, and long-life groceries.
On the other end of the convenience market is Coles Express, offering lower prices in-store but at the same time unable to control fuel prices at the pumps. Last week, the retailer reported its Express network suffered a decline of almost 70 per cent in earnings before interest and tax.
Today we’re asking, are consumers willing to pay a bit extra for a premium convenience offering at the service station? Or is cheap and cheerful the way to go?