Fuel Retailing in Australia - Industry Research Report

Full tank: Demand for fuel has been recovering from the effects of COVID-19, boosting revenue

Businesses in the Fuel Retailing industry have contended with volatile operating conditions. Fluctuations in global oil prices and travel restrictions throughout the COVID-19 pandemic have severely hit the industry. Global crude oil prices rose strongly over the two years through 2018-19, boosting domestic fuel prices and driving revenue growth. An oversupply in global oil markets, compounded by sharply deteriorating demand due to COVID-19 in 2019-20, reduced oil prices over the second half of that year. This trend filtered downstream through lower retail fuel prices, sharply reducing industry revenue in the same year. Ongoing lockdowns further constrained industry performance in 2020-21, with demand reviving over the two years through 2022-23. The Russia-Ukraine conflict has caused a global supply deficit in crude oil, heightening oil prices and boosting industry revenue. Revenue is expected to rise at an annualised 5.2% per year over the five years through 2022-23, to $51.6 billion. This trend includes a projected jump of 14.4% in the current year due to soaring retail fuel prices.

Industry firms mainly retail automotive fuel or lubricating oils, typically at a service station. Participants also retail convenience store goods and provide services such as car washing as a supplement to fuel sales.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.