PDB to raise non-fuel contribution to 30%

  • Business
  • Thursday, 16 Aug 2018

KUALA LUMPUR: Petronas Dagangan Bhd (PDB) is looking to increase its non-fuel revenue to 30% in the next two to three years from the existing 10% by reinventing customer experience at all its stations while collaborating with potential retailers.

Managing director and chief executive officer Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir said the move was to ensure that PDB would be able to sustain its revenue stream and shareholder return, as well as attracting younger patrons.

He said PDB's revenue was mainly from the fuel segment, which contributed up to 90% to its total revenue.

“The future of fuel demand, I think, will slowly diminish, not because the people don't want to buy fuel anymore but (rather) cars and technology have changed.

“Maybe not in Malaysia, but in other parts of the world, things are (moving) a bit more rapid. In Petronas, it is not going to happen tomorrow, but look beyond the horizon, that problem will come to us. We need to be prepared,” he told reporters after the announcement of PDB’s collaboration with co-working space, Common Ground at Petronas station in Ampang here yesterday. Common Ground Co-Founder Juhn Teo was present.

PDB saw the potential in expanding the co-working space and other offerings to six other stations, including in Setiawangsa, Johor Baru and Langkawi.

Syed Zainal said the incorporation of Common Ground into Petronas station in Ampang, marked the cornerstone of PDB’s plan to transform the station into an innovation hub, which is now known as The Place@Ampang.

Coworking space in Ampang is Common Ground’s seventh venue to date. Teo said the company planned to open 15 venues by year-end across Malaysia. — Bernama

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