Liqui Moly in the black dur­ing the Corona cri­sis

Lubricant World - - CONTENTS -

T he Ger­man lu­bri­cant com­pany Liqui Moly also is not be­ing spared by the global pan­demic. Thanks to an ag­gres­sive strat­egy to over­come the cri­sis, sales had nev­er­the­less grown by the half­way point of the year – al­most three per­cent com­pared to the pre­vi­ous year. Earn­ings de­clined, how­ever. For Manag­ing Di­rec­tor Ernst Prost, this is no cause for con­cern: “Through our de­ter­mined ac­tions and our ex­cel­lent prod­ucts, we have as­serted our­selves on the mar­ket and con­tinue to be in the black.”

Liqui Moly's sales at mid-year rose by 2.9 per­cent com­pared to the same pe­riod last year. Con­sid­er­ing the global eco­nomic cri­sis and the mas­sive de­cline in fuel con­sump­tion world­wide due to the lock­down, this is a re­mark­able suc­cess in the highly com­pet­i­tive oil busi­ness. “Our prod­ucts are sys­tem­i­cally rel­e­vant. Lo­gis­tics, agri­cul­ture, work­shops, emer­gency ser­vices and in­dus­try are de­pen­dent upon lu­bri­cants,” Manag­ing Di­rec­tor Ernst Prost em­pha­sizes. The great­est ef­fect for the ex­tra­or­di­nary suc­cess of the com­pany was pro­vided by Liqui Moly's proactive strat­egy. For ex­am­ple, 18 mil­lion Euro were in­vested in clas­sic ad­ver­tis­ing mea­sures, print, TV and ra­dio, over and above the es­ti­mated an­nual bud­get. In ad­di­tion, over 4 mil­lion Euro were do­nated in the form of prod­ucts for res­cue and mo­bile care ser­vices.

In Ger­many, Liqui Moly's sales in­creased by over 5 per­cent. In the in­ter­na­tional mar­ket (ap­prox. 150 coun­tries), the over­all growth was more than one per­cent. Some coun­tries, in­clud­ing China and Rus­sia, have been hit par­tic­u­larly hard by the cri­sis, and the lu­bri­cant spe­cial­ist is also feel­ing the ef­fects. But Liqui Moly is broadly po­si­tioned both with its prod­uct range – around 4000 dif­fer­ent ar­ti­cles (B2B and B2C) – and in the in­ter­na­tional con­sumer mar­ket. “We thus achieve a wide spread­ing of risk, which makes us a re­silient com­pany,” ex­plains Gün­ter Hier­maier, the sec­ond Manag­ing Di­rec­tor of Liqui Moly.

Strong growth in the oil, mo­tor­cy­cle and bicycle seg­ments

Liqui Moly was able to achieve high growth rates in the mo­tor oil sec­tor. In Ger­many, the in­crease in sales here was 17.8 per­cent. Trans­mis­sion flu­ids in­creased by 16 per­cent. “Oils are our core com­pe­tence. Our cus­tomers and part­ners ap­pre­ci­ate the pre­mium qual­ity and our ex­cel­lent ser­vice. Made in Ger­many and our so­cial com­mit­ment are very well re­ceived. This con­firms the cor­rect­ness of our ap­proach,” ex­plains Prost.

How­ever, other seg­ments, such as Mo­tor­bike, Marine and Bike, also dis­played a sig­nif­i­cant in­crease in sales in the first half of 2020. Ernst Prost says that in this re­gard the lock­down is show­ing the other side of the coin: “Peo­ple now have time to pur­sue their hob­bies. With all the hard­ships caused by the pan­demic, this is a pos­i­tive as­pect. When peo­ple com­bine their hob­bies such as mo­tor­cy­cling with Liqui Moly, I am par­tic­u­larly pleased. They don't want just any oil – they want qual­ity, and they choose Liqui Moly."

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