Dr Gabriel Ogbechie, Group Executive Chairman, Rainoil Ltd., has urged petroleum marketers to prioritise customer service, accurate fuel measurement and automation to remain competitive in Nigeria’s evolving downstream market.
Ogbechie made the call on Wednesday during a presentation at the 20th OTL Africa Downstream Energy Week in Lagos with the theme, “Secure Energy, Shared Prosperity”.
In his presentation titled “Winning the Customer in Nigeria’s Evolving Downstream Petroleum Market”, he said marketers must compete through reliability, convenience and operational efficiency rather than product availability alone.
He said that Nigeria’s downstream market had shifted towards domestic refining after years of dependence on imported petroleum products.
Ogbechie said that the country’s four state-owned refineries, with a combined capacity of 445,000 barrels per day, operated at an average utilisation rate of seven per cent in 2020.
He said that the removal of petrol subsidy in May 2023 and the commencement of operations by the Dangote Petroleum Refinery in 2024 had transformed the market’s supply dynamics.
According to figures in his presentation, refined petroleum product exports reached about 55 million litres daily in the second quarter of 2026, while imports fell below 20 million litres.
He said that refined-product export earnings stood at 3.94 billion dollars, representing a 148 per cent year-on-year increase.
Ogbechie said that affordability and customer preferences had become increasingly important, putting pressure on marketers to deliver value beyond competitive pricing.
He said that petrol accounted for 72 per cent of combined tracked fuel consumption, while daily consumption declined from 60.2 million litres in January to 41.5 million litres in August 2026.
He said that customers might choose a filling station because of its price but would return because of reliability, convenience and trust.
According to him, customer service must go beyond courtesy at the pump to encompass transparent pricing, functional dispensing equipment, reliable opening hours, cashless payment options and prompt responses to complaints.
He said that consistent service standards across retail outlets would strengthen customer confidence and encourage repeat patronage.
On accurate measurement, Ogbechie said that marketers must ensure customers receive the quantities they paid for.
“Every litre must be right for the customer, the marketer and the integrity of the market,” he said.
He cited a 2025 report by the United States-based National Association of Convenience Stores, which indicated that 59 per cent of surveyed downstream industry respondents reported fuel variance exceeding one per cent of sales.
He urged operators to maintain calibrated dispensing equipment, reconcile sales with stock levels and document product transfers to identify and minimise losses.
Ogbechie also urged regulators to establish clear standards, conduct risk-based inspections and enforce requirements consistently.
He described automation as a tool for improving customer service, monitoring stock and reducing losses during transportation and distribution.
He recommended digital inventory systems, electronic delivery records, vehicle tracking and data-driven demand forecasting.
According to him, technology should enable marketers to redesign their operations rather than merely transfer manual processes to digital platforms.
He urged operators to assess the economics of individual locations and ensure technology investments delivered measurable returns.
Ogbechie said that customer service should become a management priority, while measurement controls and automation should have clear targets and accountable personnel.
He said that the future of downstream marketing was not merely about moving more litres but creating greater value from every litre.
He added that marketers with disciplined operations, a clear understanding of customer needs and efficient cost management would be better positioned to compete in Nigeria’s changing petroleum market.
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