Metcash will be adding about 230 Mobil Quix and other convenience and petrol outlets to its client based over the next 12 to 15 months, expanding its Campbells C-Store Distribution business.
The arrangement follows 7-Eleven’s acquisition of Mobil in October, whose 400 convenience stores across the country are already supplied by C-Store Distribution. As part of the acquisition, all Mobil commission agent sites will be converted to the 7-Eleven brand during 2011.
7-Eleven CEO Warren Wilmont said over the last four years that 7-Eleven has been using C-Store Distribution it has been an effective total supply solution for the company.
“We will use Metcash’s distribution systems to improve the support of Mobil stores through improved pricing, more efficient deliveries, better fulfilment rates, as well significantly reducing delivery and administrative costs.
Expected to generate an extra $140 million in annualised sales revenue, C-Store Distribution will supply grocery, tobacco, soft drinks, confectionery and oil lubricants to the strongly performing chain of outlets across capital cities and major regional centres.
“We are delighted that the independents have gained the opportunity to grow their share of the convenience sector under the proven and very successful 7-Eleven franchise model,” Peter Dubbelman, Campbells Wholsale CEO, said.