In Focus: Shell V-Power™ bolsters Marketing earnings growth

Twenty years ago, Shell V-Power™ changed the belief that all fuels are the same. We established a new category of fuel. Shell V-Power™ has continued to grow in popularity ever since and we plan to grow our premium fuel category further.

V-Power™ penetration: branded sales

% market share

The Shell V-Power™ story begins in the technological melting pot of Formula 1. Demand for greater power and fuel efficiency from Shell’s innovation partner, Scuderia Ferrari, led to the development of a racing fuel that has 99% the same types of compounds as the Shell V-Power™ unleaded fuels customers can buy on Shell forecourts.

We estimate that Shell V-Power™ is now the best-selling premium fuel in the world¹, delivering high performance for our customers and attractive margins. It sets us apart from the competition and has strong impact on our bottom line.

In 2017, about 20% of our branded fuel sales volumes were Shell V-Power™.

Our innovation partnership with Scuderia Ferrari and other world-class brands, including Ducati Motors, also provide the opportunity to create powerful joint marketing and promotional campaigns.

The UK fuel market provides a relevant case study. Despite the launch of differentiated fuels by traditional competitors BP and Esso – and some of the larger hypermarket chains – Shell’s share of the premium fuels market remains at close to 60%.

In key growth markets where we are expanding our Retail networks, Shell V-Power™ is the fuel of choice for a growing number of motorists. In Indonesia, for example, we are already seeing more than 30% penetration of our total fuel sales which exceeds our global average.

Shell V-Power™ is a key driver of our profitability in marketing and intimately links our brand to technology and innovation. We are confident this success story will continue.

¹ Shell estimate based on number of markets selling Shell V Power™ and extrapolated from public data where available