Managing LPG Dealership: Do’s and Dont’s

LPG dealership is a very profitable opportunity for all. Requiring precise planning, well-thought-out decision making and strict compliance with prescribed industry protocols, starting an LPG dealership is easier and more lucrative than poking your head into other businesses. 

Due to being the stand-out fuel in all industries, LPG is extensively used: it certainly has the most number of uses out of any other fuel operating in the domestic, commercial and industrial sectors. Thus, as long as you are equipped with a little bit of capital and some storage space, setting up an LPG gas dealership is no big deal. In fact, if set up correctly keeping the complexities of safety and demand in mind, a gas agency dealership in this country is capable of earning profits well above Rs 2 lakhs per month.

However, due to LPG being the most in-demand fuel, the competition in this market is high. Thus, to enhance the sustainability and lucrativeness of your dealership, streamlining logistics and timely deliveries through collaboration with a top-tier gas company is absolutely key. So if you are thinking of trying your hands at this dynamic sector, then do remember that your success hugely depends on building up trust and transparency, and above all, on delivering exceptional service.

This article aims to help you understand the intricacies of managing an LPG gas dealership so that you can end up conducting a business that caters to not just residential but also commercial and industrial segments such as petrochemical, powder coating, hotels, restaurants and many more.

Here are some do’s and don’ts that will help put things in perspective for you:

What Are The Do’s?

• Mandatorily Complying With Regulations: The first thing on your to-do list is to ensure strict compliance with every regulation and protocol that has been prescribed and made mandatory by the government. This is key for dealerships operating in all sectors, but especially for a gas agency because safety standards with regard to storage, handling and distribution of gas cylinders have zero room for complacency or errors. Thus, to start up a dealership, get hold of permits, licenses and certification from the authorities concerned.

• Smooth Customer Service: Stay fully committed to customer satisfaction. If your LPG delivery is on time and manages to address customer concerns promptly, then the chances of you growing through generating trust and reliability are a lot higher. Therefore, staying transparent at all times with your pricing segments is compulsory. You must also make sure that you act as you preach. Customers can read between the lines; and as a business, ethics should always be your number 1 priority.

• Regular Inspections: Accidents in gas dealership businesses happen a lot. Thus, to avoid debacles, conduct regular inspections not just of your storage facilities but also of transportation vehicles and the equipment in hand to stop leaks and other safety hazards from appearing.

• Effective Inventory Management: Continuously keep track of your inventory so that you can refill at the right time, completely eradicate the possibility of stockouts and consistently keep meeting the rising customer demand.

• Persistent Development: Every aspect of your gas agency business must be looked into through the lens of growth. Your staff,  customer service, safety awareness, and branding should all keep on improving with the aim of maximising your business’s effectiveness. 

Know The Don’ts

• Taking Safety Lightly: If an LPG gas dealership starts compromising on safety regulations, then it is the end of it. It really is as simple as this. Storage, transportation and handling of LPG must be done as cautiously as possible to avoid legal liabilities and accidents. A dealership business that attempts to accumulate profits by compromising on safety protocols will not attract customers.

• Not Paying Attention To Customer Feedback: Always remember to address the concerns that the customers have. Be on your toes and stay proactive; ask for customer feedback instead of waiting for it. This is crucial for customer retention and loyalty.

• Ignoring Regulatory Compliances: If regulatory compliances are neglected then you would be not only risking here and there penalties but also complete suspension of dealership operations.

• Lack of Inventory Management: Poor inventory management results in customer disappointment. This might lead to your dealership not meeting the high LPG demands generated by the customers.
• Limited Investment In Technology: Keeping LPG safe while in storage and transportation requires the right amount of investment in terms of both innovation and capital. Thus, leveraging technology is key to staying away from inefficiencies, errors and potential accidents.

How Does Shivgas Solve Your Problem?

Heading the domestic, industrial and commercial segments, for more than 30 years, Shivgas is an established and trustworthy private gas company in front of its competitors, dealers and direct customers. A reputed brand, we are known for our diverse collection of cylinders that range from 12kg to as huge as 425 kg- all specifically designed to ensure that your business or household remains safe and is able to optimise and maximise its operations and profits respectively. Here are some of the most crucial ways in which we can equip your gas agency if choose to partner with us:

• Quality Assurance: Providing the highest quality products and services, your dealership, if you partner with us will be completely assured in terms of not receiving complaints from customers. This not only helps cement your reputation in front of them but also gives you more time and freedom to grow your business forward.
• A Robust Supply Chain Network: Due to being a reputed private gas company for the last thirty years, we have numerous distribution channels spread out all across the country. This assures you of 100% timely deliveries.
• Complete Technical Support & Guidance: Always providing comprehensive training programs, we give you all the guidance needed to conduct your dealership with efficiency and integrity. In case of contingencies, our support has always extended to dealers.
• Recognition: Your dealership can only push forward in the right direction if you are capable of transforming it into a brand. Partnering with us will help you massively in this regard and enable you to stand out amidst all the competition in this marketplace.

Thus, to maintain a successful dealership, strategy, effort and investment are all equally required. Shivgas delivers in all of these three aspects.