
Lube manufacturer Valvoline has announced new plans for substantial expansion in 2025.
Supplying a wide range of branded products from gear oil and metalworking fluid to cutting-edge coolant, the company aims to open between 160 and 185 new outlets in the coming financial year.
An internationally renowned name, Valvoline’s expansion is being built on the firm foundation of its robust brand presence. It is also driven by its reputation for first-class customer services, which is proven by a 12 per cent rise in store sales across its systems, as well as its increase in adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA).
News of Valvoline’s expansion plans in terms of additional stores underlines the company’s strategy to obtaining sustainable growth. Valvoline’s President for Retail, Lori Flees, has expressed supreme confidence in the likelihood of the tactic achieving success. The lubrication brand is also accelerating in terms of franchise growth – it is now targeting 250 all-new stores yearly by 2027, with support from new partnerships and refranchising transactions.
Furthermore, the fleet enterprise segment has experienced a 14 per cent compound annual growth rate (CAGR) over the last three years, showing a promising pathway for business-to-business (B2B) sales growth.
Market analysts have assessed that Valvoline’s new plans for expansion with an increase in stores and the initiatives it has established for franchise growth now indicate opportunities for a promising future.
However, to keep sustainable performance levels amid economic and competitive pressures, Valvoline must maintain a balance between financial caution and its goals for growth.