Maxol investing €50m to expand and rebrand
Maxol, the family-owned oil business, has unveiled plans to upgrade and expand its Irish service stations. The group will invest €50 million in the expansion of its retail network and rebranding programme which began in 2012.
Last year the company spent €15 million improving its retail business, purchasing five new service stations and rolling out a new forecourt identity.
The business acquired two stations in Co Cork, as well as new stations in Waterford, Galway and Down. The company opened two unmanned service stations and three new “super-stations” last year.
Maxol said it intended to buy 15 more sites over the next five years. It said unmanned stations would be a key area of competition as the industry moved forward and it aimed to open more of these stations.
The company also upgraded 50 sites that now display the new brand image of the business. Maxol said it planned to rebrand most of its additional stations in the coming year following an investment of €7.5 million.
Maxol expects this new strategy to generate new revenues of around €100 million.
Maxol chief executive Tom Noonan said the company took the decision to change the brand identity as it felt the existing one had become “tired looking” compared to the relatively newer brands such as Topaz and Apple Green. “We took a holistic approach and spoke with our customers and staff members. We wanted something that would represent our traditional values, and our simply and straight way of doing business.”
Established in 1920 by the McMullan family, Maxol had an annual turnover of €657 million in 2011, according to financial statements. The company also had a cash balance of €29 million for the year ending December 2011.
Having remained profitable throughout the recession, Mr Noonan believes Maxol stayed “somewhat ahead” in terms of its financial performance in 2012. “We performed modestly well in 2012 despite the challenge of high oil prices and vigorous competition.