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A weekly podcast on the impacts of digital technologies on the oil and gas sector

May 22, 2024

The world of consumer loyalty for fuel brands is undergoing tremendous change because of data. With the huge penetration rate of mobile phones, the rise of app stores, and always-on websites, fuel retailers have a new opportunity to create a tighter link to their customers for fuel and other services. 

Even in the Middle East, where fuel prices are historically very low relative to other countries, consumers are becoming much more price sensitive. To attract them to a fuel pump means more than having the lowest price. It means crafting an ecosystem of in-demand services, and offering the consumer deals for those goods and services in exchange for loyalty points that can be redeemed for value. 

Consumers are not just individuals but also fleet operators, such as Careem (an Uber-like service), taxis, and delivery services. Effective service programs for fleet operators drive a 90% penetration rate for loyalty programs. Better data allows for deeper segmentation of the consumer behaviour and drives more impactful insights into relevant partners for the eco system (such as hotels, travel, tourism, shopping experiences, and more). 

Even in the future, if traditional fuel is not the anchor reason to visit the fuel station, the consumer may still visit for vehicle servicing, getting morning coffee, picking up groceries, and holding meetings. Which services they covet is revealed in the data collected by the ecosystem and co-brand information, which in turn drives the decisions for investing in new partners and other relevant services. 

Tourists may even be courted via such loyalty programs by becoming the must-have app on the phone when visiting the UAE, which is a tourism hub for the region. 

This is all revealed in this podcast conversation with Suryaveer Singh, the Head of Loyalty, CRM, and  Data Analytics for the YES Rewards program. 

YES Rewards has digitized the fuel purchase loyalty card allowing for instant earn and burn capabilities, cross promotion across Fuel and Non-fuel brands, subscriptions for coffee, carwash, oil change, Digital receipts, and many other features. 

Key to YES’s success is a unified customer experience using a highly capable technology platform. 

The UAE, with its relatively small geography, wealthy citizens, high technology usage, and strong telecom networks, create a unique place to actualize a new relationship with the energy consumer. Nimble economies are best positioned to prepare the way for the electrification of transportation, the hydrogen highway, the sustainable fuel revolution, and the next generation energy consumer.

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The views expressed in this video are my own and do not constitute professional advice.