Shoprite, Pick n Pay and Woolworths fighting for South Africa’s petrol station forecourts

This has resulted in intensified competition between some of the country’s biggest retail chains to grow in this space and capture an increasing share of the sales at petrol station forecourts. 

Coupled with this has been a push from petrol station owners to grow their business beyond the pump, towards convenience retail and partnerships that drive loyalty and spending. 

This is feedback from Trade Intelligence, which outlined the increased competition in this sector from retailers such as Shoprite, through OK Express, Pick n Pay, Woolworths, and SPAR in its latest Forecourt Retail Report. 

The sector is currently dominated by Freshstop, owned by Food Lover’s Market, through its partnership with Caltex/Astron Energy, which has over 330 stores and 126 Seattle Coffee outlets. 

Trade Intelligence’s data indicates that the competition is only going to increase in future as fuel volumes decline further and convenience retail sales soar. 

Forecourts are increasingly evolving into dynamic convenience hubs, embracing partnerships and diversified services to preserve margins and unlock new growth, the researchers said. 

The fuel that once defined the forecourt is no longer enough to sustain it. As a result, business owners have to look beyond the pump for growth. 

While fuel volumes have declined by 6.3% over the past year, the number of South African forecourts has grown by 12% over five years. 

This increased competition, coupled with the increasing dependency on alternate revenue streams, creates an environment where the battle for shopper footfall has become the defining challenge for fuel retailers, Trade Intelligence said. 

As a result, retailer partnerships are now a hallmark of the forecourt experience. From Woolworths Foodstops at Engen to Pick n Pay Express at bp and FreshStop at Astron Energy, 849 forecourts now host supermarket-branded stores, a 26% increase over five years.

Trade Intelligence research shows that forecourt shoppers clearly prefer supermarket-branded stores over fuel-branded ones, seeking the familiarity and quality offered by established retail brands.

This has also been increasingly tied in with the loyalty programmes offered by retailers, with Pick n Pay’s Smart Shopper being prevalent at bp stations and Clicks ClubCard points at Engen. 

The impact of loyalty programmes is measurable, with the Standard Bank UCount partnership with Astron/Caltex resulting in an 83% increase in customer traffic to Astron Energy versus competitors. 

A revolution in retail

The intense focus on convenience retail is part of the broader trend of petrol station forecourts looking to generate revenue beyond the pump. 

This extends from quick-service restaurants (QSRs) to mini-supermarkets and parcel collection points, with forecourts looking to expand their role in everyday convenience. 

The integration of diverse offerings is creating one-stop destinations for convenience retail and commercial enterprises.

Some notable examples include Seattle and Vida e Caffè counters inside Astron Energy forecourts and KFC and Pedro’s drive-throughs at Shell and bp stations. 

Increasingly, pick-up points for couriers and eCommerce players are popping up at petrol station forecourts. Examples include Pargo pick-up points and Pudo lockers.  

bpSA’s planned rollout of 40 new sites featuring services like licence disk renewals and battery rentals is new to the market as fuel stations fight for consumer spending. 

The numbers point to this trend continuing. While fuel sales still account for most forecourt revenue in South Africathey fell by 4.2% in 2024. Convenience store sales, meanwhile, increased by 4%.

In the US, although non-fuel categories contribute only 30–40% of forecourt sales, they deliver 60% of gross profit, emphasising the growing importance of non-fuel revenues.

The South African consumer’s relationship with forecourts is shifting from a pure fuel stop to a desire for convenient, on-the-go solutions, Trade Intelligence said. 

A remarkable 75% of forecourt shoppers surveyed by Trade Intelligence in June 2025 said that they intend to maintain or increase their visits, highlighting the rising relevance of forecourt convenience. 

Traditionally seen as more expensive, forecourt stores are starting to shift away from ‘convenience surcharges’ toward value promotions and regular deals. 

Getting this right requires tight collaboration between suppliers and retailers – at both national and store level – to ensure the right range, price points, and promotions are in place to meet shopper expectations.

This makes retail partnerships increasingly important, with petrol stations looking to tap into the existing logistics network of established retailers. 

Issued on Daily Investor by Shaun Jacobs | https://dailyinvestor.com/retail/94375/shoprite-pick-n-pay-and-woolworths-fighting-for-south-africas-petrol-station-forecourts/