Kuwait Review

Strong partnership

Shell’s lubricants partnership with Al-Hafez Trading in Kuwait is one of the strongest in the Gulf

THE 40-plus-year-old relationship between Shell and its Kuwaiti lubricants distributor, Al-Hafez Trading, is one of Shell's strongest partnerships in the Gulf.

Currently, Al-Hafez Trading distributes a full range of industrial lubricants and greases, assists Shell Marine Products in supplying marine lubricants to vessels calling at Kuwait's port, and distributes the popular Shell Super Plus range of high performance automotive engine oils.
With the growth in Kuwait's economy, the lubricants business has grown substantially and Al-Hafez Trading has moved into a 40,000 square foot warehouse and office complex, from which it now manages its business activities in Kuwait.
The office complex is also home to two Shell's sales managers, who are working in Kuwait alongside Al-Hafez staff to increase Shell's share of the lubricants market in Kuwait.
Habib Bahbahani, proprietor of Al-Hafez Trading, says, "I began my relationship with Shell in 1963, when I sold Shell Chemicals products here in Kuwait. Following this, I was appointed as distributor for Shell Lubricants in Kuwait.
"Al-Hafez Trading has its own sales force for Shell products, which is led by my son, Anwar. The company distributes the full range of Shell lubricants for both the automotive and industrial markets, including lubricants, greases, turbine and gear oils and hydraulic fluids.
"We also assist Shell Marine Products in the supply of marine lubricants to vessels calling at Kuwait's port.
"We supply Shell lubricants in one and four litre containers, as well as 200 litre drums for our industrial customers and fleet operators.
"The best selling automotive 40 40 lubricant is SSPMO (Shell Super Plus Motor Oil), and we also distribute Shell Helix to the top end of the motor trade for luxury cars such as Ferrari and Maserati.
"The majority of our sales are made to smaller sales outlets, such as puncture shops, car service centres and the many cooperative societies in Kuwait."
Bahbahani goes on to say, "Now that we have the Shell sales managers -- Jagadish Babu and Annaji Rao -- working here with us, we have been able to improve our training, sales and promotional activities in Kuwait. Jagadish and Annaji have also provided us with technical support and HSE (Health, Safety and Environment) training.
"Recently, we held a major promotion of Shell Rimula, Rotella and SSPMO for our customers in the transport business. This delivered a substantial increase in sales, of some 78 per cent, during the two months of the promotion. This success was, in fact, recognized by Shell's Oil Products business as an outstanding achievement."
A branding campaign was carried out in 2004 to improve Shell's brand visibility and awareness of Shell products in Kuwait. This involved the installation of large signs at shops and cooperatives selling Shell products and the provision of more visible product display units inside customers' premises.
Leaflets and brochures were distributed to automotive dealers and car centres to further promote the Shell brand among original equipment manufacturers, such as Mercedes, Mann Trucks and Volvo.
Bahbahani says, "We have constructed a custom-designed building of 40,000 square feet, which consists of both warehouse and office space. Here we are able to store as much as 1.2 million litres of Shell Lubricants in packs of all sizes. The office space has been designed to accommodate our staff and company representatives."
Rao says, "It was a strategically significant decision on the part of Shell Markets (Middle East) to focus on the industrial lubes market in Kuwait, and as a result of that focus, business grew by more than 50 per cent in 2004."
"This growth was due to the active support of Al-Hafez Trading and a tactical increase in the overall customer base for industrial products.
"A well-planned, focused approach has been a major factor in this development, which I hope will continue over the next few years," Rao adds.
Karen Hedley, general service manager at Al Zayani says, "Shell Helix is the lubricant which is used in most production of Ferrari when they leave the Ferrari factory at Maranello in Italy."
"Shell Helix is the lubricant we use here at Al Zayani in Kuwait when we service a Ferrari - and Helix is the lubricant we recommend that all our Ferrari owners use in their cars," he adds. "Indeed, Ferrari feel so strongly about using the right lubricant that the use of Shell Helix is actually written into part of the car's warranty requirements."
In addition to Ferrari, Al Zayani also sells other prestigious automobiles, such as Maserati, Bentley and Jaguar. Hedley says, "We buy Shell Lubricants through Al-Hafez Trading and we are very happy with the services that they provide. In 2004, our purchases of Shell Helix doubled as a result of an increase in sales in Kuwait - so I can safely say that everyone is happy," she concludes.
Martin Foster, Aggreko Sales Manager for Kuwait, says "Aggreko provides a full range of power generation equipment, including diesel generators from 15 kva units up to 1,250 kva units, high and low voltage transformers and various accessories such as fuel tanks and cable. The generators can be used individually or run together as part of a synchronised temporary diesel power station, and when we use several units together we can provide enough power for a small city. In Kuwait we are providing power for many customers."
The Kuwait office also supports Aggreko operations in southern Iraq, including the power supply for key installations such as airports and refineries.