7-Eleven location-based fuel savings clever, but not necessarily a winner

Published on the 29/03/2016 | Written by Donovan Jackson


7-Eleven fuel app

Contextual analytics service provider VMob has played a role in the development of a new app from 7-Eleven Australia…

In a move which arguably renders complicated a transaction which was once simple, 7-Eleven Australia’s Fuel App allows customers to identify the lowest price offered for petrol at any one of the five 7-Eleven stores closest to their location, lock in and pay that price at any store location within seven days.

iStart scratched its virtual head.

Be that as it may, in a statement, Scott Bradley VMob CEO described the 7-Eleven Fuel App as a milestone in convenience store marketing specifically, but also location-based marketing in general. “It’s a perfect example of a company finding a balance between utility and value for their customers plus value for the business,” he said. “After 18 months of development and working closely with 7-Eleven’s digital team, we are thrilled to see how positively the market is responding to this innovation.”

If the use of the app is somewhat perplexing, the business case for it seems equally hard to grasp – that is, until it emerges that there is more to it than buying fuel by jumping through what appears to be a challenging set of hoops. For one thing, using the app depends on having a 7-Eleven store card preloaded with cash and only as much petrol can be reserved at the low price as there is cash on the card.

Additionally, VMob’s platform, the company’s press statement said, uses data collected from the app ‘and other sources’ to offer each customer relevant deals on other convenience items they may need. Thanks to this, VMob said the app ‘creates the personalised experience that leads to increased customer satisfaction and retention’, though there is no mention of this feature on the description of the app in the Google Play store. It is, however, hinted at in clause 9 of the lengthy Terms and Conditions (which serve the dual purpose of making clear how difficult the once-simple act of filling up with petrol can become).

Paul Wallace, digital marketing manager at 7-Eleven Australia, commented, “The 7-Eleven Fuel App is a world-first innovation that forms a key part of our strategy to continue to be Australia’s number one convenience store. The launch of this app is about providing customers with digital products that are easy to use and allow them greater choice when purchasing fuel.”

Countering that view, Google user Craig Munday offered this gem: “Why do I have to f@/# around with your App? Just give me lower priced fuel…Why don’t you take the money you spent developing this App and just give me cheaper petrol.”

Too late, she cried.

The 7-Eleven Fuel App launched on 3 March 2016. It can be downloaded from the App Store or Google Play.

Questions or comments...

  1. Alun Bain

    It does seem pretty ridiculous… I don’t mind an app that can show me where the cheapest fuel is, but limited to 7-Eleven (who tend to have the most expensive fuel) it is pointless. The idea of locking in a price is only any good if you feel that prices are going to increase in the coming days – the problem is, it sounds like they debit the amount of pre-payed fuel from your balance, meaning if prices go down, you actually pay more than you should?? Just seems very bizarre!

    Reply

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