A powerful shift for the fuel retail market
October 30, 2020
October 30, 2020
The fuel and convenience retail industry is facing disruptive threats, spurring a powerful shift for the industry.
What elements are contributing to this shift?
The supply-side shock stemming from OPEC+ and engulfing North America.
Peaking per capita energy consumption indicating that we will need less energy to meet tomorrow’s consumer needs.
An abundance of energy supply sources creating a lower-cost supply curve, dramatically slashing enterprise value.
No clear path to limit rising temperatures to mitigate the effects of climate change without a drastic change in behavior.
Consumers, employees and investors seeking a lower carbon footprint, greater business integrity and higher returns.
Serious attempts to solve climate change will require coordinated policymaking.
North American fuel demand could shrink by as much as 26% (40 billion gallons) within the next 15 years.
Disruption can be more acute among developed economies—across the dimensions of technology, society, policy and business models.
While individual changes can go unnoticed, they add up to create industry disruption, which in turn, can accelerate how business model archetypes evolve.