Petroleum Trends International and The TAK Group Partner to Bring Benchmarks for Success to Lubricant Distributors

PORTLAND, OR, JULY 26, 2002 – The TAKGroup - Petroleum Trends International Alliance announced today that it is now offering a comprehensive report designed specifically to assist lubricant distributors improve their bottom line. The report, Benchmarks for Success in Lubricant Distribution – United States 2002, provides lubricant distributors with the information and insights required to objectively assess their cost position and identifying areas where financial and operational performance gaps exist and where improvements can be made.

According to Thomas F. Glenn, president of Petroleum Trends International, “there are a number of major changes taking place within the lubricant supply chain that make this a critical period for distributors; and knowing one’s cost position is an absolute necessity in this increasingly competitive environment.”  These changes include consolidation among the majors and distributors, an increase in buy-back business, distributor tiering, dilution of brand equity, commoditization of products, and others. Many of these changes, along with the soft economy, are compressing margins and significantly heating up the competitive landscape.

More than simply knowing the cost structure in these challenging times, Glenn notes, “it is vital to understand how the distributorship compares with their peers in the industry.” At the end of the day, “how your costs compare with the competition could be the decisive factor in determine your fate in the industry.”  And some in the industry believe that the fate of an estimated 25% of the existing distributors will likely be exists from the market over the next 5 years.

In the words of Jamie O’Rourke, president of The TAKGroup, and a former CFO with extensive experience in the lubricants business, “Benchmarks for Success in Lubricant Distribution – United States 2002 provides lubricant distributors with the level of detail required to pragmatically examine their financial and operational benchmarks, and to compare and contrast their accounting practices and principles with other lubricant distributors with similar business activity.” These benchmarks can then be used to identify where the soft spots are in the organization, and most importantly, provide targets for high impact improvement.”   O’Rourke also notes that the $875 price tag on the report is  “only a fraction of what a single client report of this quality would cost and is an excellent investment for virtually any lubricant distributor.”

For more information on Benchmarks for Success in Lubricant Distribution – United States 2002, or to subscribe to the report, contact Thomas F. Glenn at 732-494-0405, or via e-mail at tom_glenn@petroleumtrends.com.

The TAK Group (TAK), is a leading eBusiness consulting and Internet technology software company and Petroleum Trends International, Inc. (PetroTrends) is a recognized thought-leader and business consultancy in the petroleum industry.