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Forecourts represent an exciting new retail battleground

| Ivana | Partner Content

Author: Keith Pienaar, CEO of Vector Logistics

With a network of nearly 3000 sites across the country, forecourts represent one of the most exciting market segments for both Fast Moving Consumable Goods (FMCG) operators as well as entrepreneurs.

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It’s a dynamic sector where fuel stations are evolving into retail hubs, offering convenience stores, Quick-Service Restaurants(QSR), and value-added services like banking and parcel collection.

Forecourts are no longer just about fuel; they’re mini-shopping destinations with FMCG products, fresh food and essential services. For FMCG brands, forecourts are becoming an increasingly important channel to reach consumers.

The rapid growth and development in this market means that there are certain key trends that we see emerging in 2025.

Demand for faster turnaround times

Firstly, forecourts require frequent, just-in-time deliveries to keep shelves stocked with high-demand products including snacks, beverages and cigarettes. Stockouts can result in significant revenue loss, making reliability a top priority.

At the same time forecourt operations are constrained by physical challenges meaning that they cannot have large trucks taking up much of their operational real-estate for long periods of time.

Our recent launch of Vector Express has brought a small, nimble fleet of vehicles to tackle this challenge.

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Smarter distribution models

Traditional wholesale supply chains are giving way to direct-to-store (DTS) models, where FMCG suppliers bypass intermediaries to improve efficiency. Hub-and-spoke models are also emerging, allowing centralised warehouses or distribution points to replenish multiple forecourts quickly.

With increased order volumes, logistics partners will need to become increasingly more sophisticated in terms of forecasting, scheduling and the management of debtors and creditors

On top of this, increased volumes mean that logistics providers will need to place greater focus on sustainability and environmental impact. We took a major step toward net zero earlier this year with the deployment of our first two fully electric trucks in March 2025.

Challenges with route optimisation

Many forecourts are located in high-traffic urban areas or remote highway locations, requiring advanced route planning and dynamic scheduling. Forecourts are integrating Radio Frequency Identification (RFID) tracking to automatically monitor stock movement,

Internet of Things (IoT) sensors to collect real-time data on inventory levels and equipment performance, and data analytics to analyse this information and predict demand more accurately. Artificial Intelligence (AI) driven logistics solutions are gaining traction to optimise deliveries and reduce fuel costs.

A key feature here is agility – are you able to support a network of approximately 3000 forecourts with 48 hour lead times on small volumes? Logistics providers who have developed extensive muscle-memory in management of their networks will enjoy a competitive advantage over less tech-enabled peers.

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Growth of “Dark Stores” and specialised logistics

It is not only the roads which are now awash with hundreds of scooters and e-bikes.

Some forecourts are doubling as mini “Dark Stores”, fulfilling online orders for delivery services like Checkers Sixty60 or Uber Eats. This trend is increasing demand for micro-warehousing and real-time inventory management solutions.

With the rise of fresh food offerings — such as ready-made meals, bakery items, and dairy products — cold chain logistics has become essential. Consumers are demanding higher standards from store owners, and as health and safety regulations continue to tighten, temperature-controlled transport and storage solutions are now a key differentiator for retailers and logistics providers looking to maintain quality and compliance.

Security and shrinkage risks

Higher volumes, quick turnarounds and potentially less controlled or secure hand-overs are likely to be a feature of these more agile delivery models.

Logistics providers need to factor in theft risks, particularly in high-crime areas or during night-time deliveries.

Security solutions like GPS tracking, tamper-proof packaging, and secure unloading zones are increasingly essential.

The evolution of forecourts into full-fledged retail hubs presents both challenges and opportunities for FMCG brands, logistics providers and entrepreneurs. To stay competitive, businesses must invest in smarter distribution models, sustainable transport solutions, and cutting-edge technologies that enhance efficiency and security.

As consumer expectations rise and operational complexities grow, the ability to deliver speed, agility and reliability will determine who thrives in this space. Forecourts are no longer just a convenience, they are a critical touchpoint in South Africa’s retail ecosystem, and those who innovate will lead the charge in shaping the future of this dynamic sector.

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