This is the webinar presentation material of Wilfredo Rances of Green and Natural Lube Philippines Company who deals with entrepreneurs wanting to get into this business. The next webinar session will be on June 14. Sign-up at http://www.gnlpc.com/webinar.html

1. Start
Your
Own
Private
Brand
Lubricant
Distribu7on
Business

2. Introduc7on
• Good
morning
everyone.
I
am
Wilfredo
Rances,
Jr.
or
you
can
call
me
Jun
for
short.
I
am
here
to
show
you
that
there’s
money
in
selling
your
own
line
of
lubricants.
Before
forming
my
own
company,
Green
and
Natural
Lubes
Philippines
Company,
I
was
formerly
the
Managing
Director
of
Valvoline
Philippines.
I
was
the
one
who
set
up
the
Philippine
subsidiary
in
2002.

3. Lubricant
101
• What
is
a
lubricant?
o Lubricant
is
a
substance,
oOen
in
liquid
form,
that
is
introduced
between
two
moving
surfaces
to
reduce
the
fric7on
between
them,
thereby
improving
efficiency
and
reducing
wear.
o Lubricants
or
lubes
are
composed
of
90%
base
oil
and
the
remaining
10%,
addi7ves.

4. Lubricant
101
• What
are
the
criteria
of
a
good
lubricant?
o Lubricity
-­‐
A
lubricant's
ability
to
lubricate
moving
parts
and
reduce
fric7on.
o Viscosity
-­‐
Measure
of
a
fluid's
resistance
to
flow
and
is
the
most
important
controlling
property
of
lubricants.

5. Lubricant
Products
• Diesel
engine
oil
• Gasoline
engine
oil
• 2-­‐Stroke
motorcycle
oil
• 4-­‐Stroke
motorcycle
oil
• Hydraulic
oil
• Marine
oil

6. Market
Opportuni7es
• The
local
monthly
consump7on
is
15
million
liters
or
P12
billion
a
year
and
growing.
• It
is
overpriced.

7. Market
Opportuni7es

8. Market
Opportuni7es

9. Market
Opportuni7es
• With
an
established
product
standard
(API,
SAE),
an
entrepreneur
with
a
good
marke7ng
plan,
distribu7on
network
and
sufficient
start-­‐
up
capital
can
compete
in
this
business.

10. Why
private
label?
• Be`er
margins
by
10-­‐15%
• Borderless
and
limitless
territorial
coverage.
• Total
control
of
the
business.
• No
repercussions
from
policy
changes
arising
from
changes
in
ownership
and
management.

11. Why
private
label?
• When
you
develop
your
own
brand,
you
have
perpetual
exclusivity
to
market
your
brand.

12. Crea7ng
a
compe77ve
advantage
• Products
conform
to
interna7onal
industry
standards
• 10-­‐15%
cheaper
than
the
na7onal
brands
• Lower
overhead
• GNLPC
has
access
to
base
oil
supplies
that
are
compe77vely
priced.

13. Quali7es
of
an
ideal
lubricant
business
entrepreneur
• Good
marke7ng
plan
• Has
a
distribu7on
network
• Sufficient
start
up
capital
(ranging
from
P2
million
to
P5
million)

14. GT
Oil,
Raimol
and
Phoenix
Lubricants
• GT
Oil
o Started
their
private
brand
of
lubes
only
last
year
o 100,000
liters/month
o Regions
2
and
3

15. GT
Oil,
Raimol
and
Phoenix
Lubricants
• Raimol
Energized
Lubricants
o High
Street
–
100,000
liters/month
o Industrial
–
300,000
liters/month
o Luzon
• Phoenix
Lubricants
o 350,000
liters/month
o Visayas
and
Mindanao

16. Investment
Proposi7on
• Amount
of
Investment:
P2
Million
• Target
Volume:
20,000
liters/month
• Number
of
customers
required:
170
customers
or
auto
supply
that
will
buy
10
cartons
or
120
liters/month
• Product:
DEO
SAE
40
API
CD
o Cost:
P95/liter
at
current
market
price
of
P115-­‐120/
liter
o Suggested
selling
price:
P109/liter
o Gross
Margin:
P280,000/month
o Overhead:
30%
of
GM
o ROI:
10
months
to
1
year

17. Investment
Proposi7on
• This
business
model
can
be
replicated
to
the
distribu7on
of
allied
products
like
7res,
ba`eries,
and
other
automo7ve
accessories
as
the
network
is
prac7cally
the
same.

18. About
us
• Green
and
Natural
Lubes
Philippines
Company
(GNLPC)
was
established
by
Wilfredo
Rances,
Jr.,
formerly
the
Managing
Director
of
Valvoline
Philippines.
• GNLPC
is
engaged
in
the
importa7on
and
wholesale
trading
petroleum-­‐based
lubricants,
base
oils
and
fer7lizers.
• GNLPC
also
provides
step
by
step
assistance
in
launching
their
own
brand
of
lubricants.

19. Moving
forward
• What
you
need
to
do
–
if
interested
in
this
business,
you
can
get
in
touch
with
us
and
we
can
meet
to
discuss
it
in
detail.
• What
we
need
to
do
–
o Will
help
you
in
the
sejng
up
your
OWN
line
of
lubricants
with
product
selec7on
and
quality
standards
o assistance
in
ini7al
product
launch
o 24/7
consulta7on.

20. Contact
us
• Contact
Person:
Wilfredo
Rances,
Jr.
• Email:
info@gnlpc.com
• Telephone
Nos.:
02-­‐7882025/02-­‐2151305
• Mobile
Nos.:
0917-­‐8432318/0920-­‐9326193
• Website:
www.gnlpc.com