3 mins
Navigating Africa; the story of Goodyear lubes
Goodyear Lubricants is the lubricant brand of the Goodyear Tire & Rubber Company based in Ohio, USA. To expand its footprint, Goodyear has been investing and distributing its product range through Alonsa Electric Gulf FZCO. Sunil Khanchandani , CEO, Alonsa Electric Group gives us insight into Goodyear lubricants business in Africa.
1. When did Goodyear Lubricants start supplying lubricants in Africa, and which was the first country?
Goodyear Lubricants are distributed exclusively by ALONSA ELECTRIC GROUP (A member of Al Tara Group since 1978) since 2020. Goodyear (and Winged Foot Design) and Blimp Design are trademarks of The Goodyear Tire & Rubber Company used under license by Alonsa Electric Gulf FZCO. Copyright 2023 The Goodyear Tire & Rubber Company. The first country in Africa where Goodyear Lubricants were sold was Burkina Faso. Later, the Lubricants were introduced in Ghana, Libya and Egypt. In 2022, they were introduced in South Africa and in the second quarter of 2023 they were launched in Cameroon.
2. How many countries in Africa are Goodyear Lubricants being sold currently?
Goodyear lubricants are being sold in over 15 countries in Africa. Africa is a huge market for Goodyear Lubricants and a very promising window of opportunity. Some of the African countries where Goodyear Lubricants are actively available are: Benin, Burkina Faso, Cameroon, Democratic Republic of Congo, Ghana, Ivory Coast, Mali, Nigeria, Senegal, and South Africa.
3. Which lubricant ranges are available in Africa, and which market segments do you target with these products?
Goodyear Vigor and Vigor Plus which are API grade CI-415W-40 for high performance Diesel engines are available. Goodyear Thread Hydraulic lubricants, Goodyear motorcycle oil 20W-50 SL, Goodyear Dominor, Goodyear Cruizer and Cruizer plus are available for the petrol gasoline engine range for medium and new advanced engines. The range caters for the automotive industry, covering diesel and petrol engines and motorcycles.
4. Does Goodyear blend the lubricants sold in Africa locally, or are the lubricants imported as finished products?
Goodyear lubricants are only imported into Africa. The essence is to maintain its consistency and durability. The specifications of API are applied to products where applicable. Goodyear VIGOR 15W40 CI4 is a high-performance diesel lubricant with Volvo & Mercedes Benz OEM certification. GOODYEAR CRUIZER PLUS 5W40 API SN is Mercedes Benz certified. Goodyear Lubricants blending plants are in Europe, Malaysia, UAE & USA. The products are tested under ISO 17025 laboratories primarily.
5. Which distribution strategies has Goodyear adopted in Africa? Is it through exclusive distributors, joint ventures or subsidiaries?
Distribution is the primary strategy for Goodyear Lubricants and ALONSA Group is the exclusive distributor in Africa. ALONSA has already set up distribution partners in over 26 countries for Goodyear lubricants since 2020 under its distribution program. In the early start up years, the sales funnel was based on exclusive distribution models in many zones around Africa. ALONSA Group CEO, Sunil Khanchandani outlined the 2024-2025 development plan: Egypt, Nigeria, Saudi Arabia and South Africa are critical focal points for the company’s increased footprint. It plans to establish additional distribution points across these zones.
6. What are some of the challenges Goodyear has faced in the African market so far, and what opportunities have you identified?
The biggest challenge we see is the currency fluctuations in local economies, which make consistent importation volatile. Other than that, there are several opportunities. Africa is the second-largest continent. It has a young and growing population. Goodyear sees an advantage in the fully synthetic segment. If Goodyear connects to the right distributors, it hopes to enter the synthetic engine oil business for the automotive sector and the industries within Africa to provide consistent virgin blended engine oil.
7. What does the future look like for Goodyear lubricants in Africa?
ALONSA’s product development team is set to launch a comprehensive range of lubricants, fluids, and additives tailored for electric vehicles. Additionally, products from its USA production facility, featuring fully synthetic gasoline engine oil adhering to SP API standards, are set to hit the market. Alonsa & Goodyear are also in the final stages of developing a high-performance lubricant for racing engines, formulated with Ester and metal treatment, additives & synthetic (MAS) treatment for enhanced horsepower and torque.