To be perfectly honest with you fuel sector is the highest potential business area in Tanzania. It offers immense  opportunities right now and has massive room for growth in Tanzania. If you still doubt, I am going to give you the proven reasons and actual data.
Let’s get started.

 

1.Economic growth. Tanzania continues to report as fastest  economic growth  in 2017 compared  with other  regions in Africa with economic growth rates at 7.1 percent. IMF ranks Tanzania as the only country in EAC with this economic growth
The economic growth trigger increase in motor vehicle ownership. And all of which need fuel and that fuel are diesel, petrol, lubricants which they buy from the petrol stations

2.Population growth. According to the world bank, Tanzania population of 53 million is estimated to grow at 3 percent per year. As population expand in the country the fuel needs such as petrol, diesel kerosene continue to climbs

3.Tanzanians are switching from the use of Charcoal and firewood
It is not like 100+ years ago when Tanzanians rely on firewood and charcoal for their cooking. Since cooking gas is environment-friendly, cook food faster, and best of all is very affordable. Today Most Tanzanians buy cooking gas from the petrol stations to heat food. And those who don’t buy cooking gas they just buy kerosene for their cooking. And all of which are available at the petrol, stations.

All these are signs indicate the future growth of fuel sector in Tanzania an example check of the  demand and Consumption data from the EWURA
Tanzania are the biggest consumers of the fuel, In 2015 a total of 5,163,565,035 liters of fuel (diesel petrol kerosene and jet fuel were imported into the country
In 2016, a total of 5,486,931,146 liters of fuel (kerosene, diesel, petrol and jet fuel ) were imported in the country, This is 6 percent increase compared to the volume imported in 2015.

With trends like this, The fuel continues to be the great business long into the future. The main drivers, being urbanization, population growth, economic growth, and increase of awareness to use clean energy in cooking such as cooking gas that is affordable and does not pollute households
Fuel sector is profitable and offers profitable business opportunities inn Tanzania right now and long into the future. I don’t say this to brag, but to impress upon you this opportunity is real opportunity.

                            How Do You Tap Business Opportunities In Fuel Sector In Tanzania?
Now that you know how is this sector profitable, let’s talk about starting a business in this sector. There is a different avenue to venture into fuel sector in Tanzania.

But the best route is to open your own fuel station in Tanzania. This is because, fuel station help you to sell various products, not only fuel but also beverages such as waters juice etc. This is crucial because it will double or even triple your income.

So what are the requirement to start fuel station in Tanzania? What if you learn i the legal requirement to start fuel station in Tanzania? What  the start up cost and break down for setting up fuel station in Tanzania ? If you want to learn how to start a fuel station in Tanzania without hassles and save your precious time, I have written a book that will help your start petrol station fast and easy any time you ready. Click the link to get the instruction on to get your copy  The Complete Guide To Start Petrol Station Business In Tanzania

 

Are you are businessman looking for ways to invest your money and get high rates return.

If you answer yes to either question, then, why not make money in the oil sector in Tanzania?

The reason you must put your money in the oil business is that oil is fast selling product in Tanzania.

And from the entrepreneurship perspective, a product that sells can make you a more profit.

With the high demand for oil in Tanzania and a little bit of professional knowledge about the oil industry, you can be on your way to profitable oil business In Tanzania.

So, I have gathered a list of FIVE lucrative oil business ideas that can make you a good return from a reasonable time of set up.

But before I explain to you these making money opportunities. Let discuss the two limiting beliefs around oil business, preventing thousands of people from grabbing these opportunities.

The Two Shocking Truth Why Many People  are not making money in oil sector

It doesn’t take rocket science to know that,  oil business has made individual WEALTHY and brought huge profit to companies.

But many  people have limiting beliefs that sabotage from making money in  oil business. Here are non supportive beliefs around oil business preventing people from participating in the oil business.

1. Oil is very risky business: Many people are misguided, they think oil business is a very risky business.

Recently a guy emailed me, claimed about the high risks associated with the oil business.

I totally agreed with his input, but you should be aware that all life is risky, starting a new business is risky, choosing a spouse is a risk, working for someone else is risky.

But avoiding  any risk situations perhaps is a major risk in a life.
So instead of sitting back and whining the risk associated with entering an oil business.

You can minimize those risks by conducting a proper research on any business you want to venture into.

So ask a lot of questions before you join any new business. This will boost your chance of success.

2. Oil Business is  for bigwigs only
Regardless of the high return  oil business generates.

Most people don’t go into this business because they have non-supportive beliefs like oil business is only for Arab and Asian Tanzanians, oil business is only for big boys with huge financial muscle

But the good news is that oil business is for everyone.

And you don’t need your own money to start oil business, but you need to have great oil and gas business idea articulate it on a paper and persuade investors or money entities to invest in your idea.

Read      :Main Areas Of Investment In Upstream Tanzania Oil and Gas

Or you can mobilize your friends and go into partnership. Most oil men started a business with limited money.
This limiting belief In our mind holds us back from achieving great wealth in our life.

Now. we have seen, the limiting beliefs. So here are top five oil business in Tanzania
1:Start a petrol station: This is a worthwhile investment in Tanzania that ensures a solid return. But it’s capital intensive. Look, there is a thousands of car on the road and all of which need fuel

For a petrol station, you need start-up capital ranging from 450millions to 500millions. The profit margin for this business is mouth-watering. A profit is range Tzsh 100 to Tzs 210 per liter. If you sell 5,000 liters a day, you’ll be making a profit of Tzs210×5000liters= 1,050,000.

And that is the lowest profit you can make after all expenses. But if you will be sourcing oil from a wonderful major supplier who sells products at a reasonable price you’ll earn beyond. If you are keen to go in this business and you don’t have 450 to 500 million starts up.

You can start small by open a mini petrol station business with two pumps.

If you need to learn the requirement and detailed information on set up a profitable petrol station business, get your copy of my  (eBook) The Complete Guide To Starting A Petrol Station In Tanzania

 

Read Also : Seven Opportunities in the Uganda-Tanzania Pipeline Project and How to Participate

 

2:Start oil and fuel transportation business. This Another great way to make money in the oil sector. Your job is to get trucks and transport petroleum products such as diesel, petrol kerosene within Tanzania and beyond.

The funny thing about this business is that you don’t need to store or market products. You get products from the oil depots in Kurasini, You supply to customers cash your money and smile to the bank. You will charge your clients based on destination per liter.

In other words, you will make good money if you got a job to transport oil in Rwanda, Congo than someone who will transport oil in Mtwara.

The risk associated with this business is truck fall, that can be resolved by hiring an honest driver who put safety first in his driving.
Another great challenge is fire outbreak.

The truck might catch fire because petroleum products such as petrol diesel are highly flammable in nature. But get your truck registered with reputable insurance company

4.Launch lubrication oil: The market for this business is huge as the vehicle owners and factories are seriously interested in it. To help their equipment and operation run smoothly. The demand for lubricants, engine oil and base oil continue to climb at alarming rates as  economies and population and emergence of wealthier middle class  expand in Tanzania. According to world bank

5:Fuel importation : People are making millions of dollars annually in this business.

You can come in, And make huge cash. To make out ahead, you should have tank farm to store fuel products.

Importation of fuel is a lucrative business in Tanzania. However, a solid infrastructure, fuel depot and permit and licenses from Ewura are necessary.

Since Tanzania use bulk procurement system to import all petroleum products (Diesel, kerosene, Petrol Jet oil) so, you must be a member of Petroleum Importation Coordinator (PIC), which is the company responsible for coordinating petroleum products in the country.

Also, they prepare periodic petroleum tender to get the winner of the tender.So you will bid for the importation of oil.And the lowest bidder will be given a contract to import petroleum products.

Once you got a job to import fuel, you store in tank farm and sale to wholesalers. Petrol stations owners, a large truck will be your potential customers.

Over To You.
Among the listed opportunities mentioned above, pick one business idea you passionate about. And do your research. Gather a lot of information about it. Ask guidance from people who are already in the business you want to  venture into. Read a lot of books and reports regarding such investment before you make investment commitment.

Warning: Never fall into a group of people who takes a lot of time to research about a particular business idea. No matter how good is your research, the only way to learn about the business is being in that business.Thankfully, we can learn from our mistakes and success.

If you have a question or suggestion, reach out to me via. Whats App only +255655376543 or email me at Hussein.boffu@tanzaniapetroleum.com. I read all the emails.

 

The East African Crude Oil Pipeline (EACOP) or Uganda-Tanzania crude oil pipeline project  creates immense opportunities for companies, individuals and Communities

But I have found the lack of  professional knowledge about how the oil pipeline business work might be the number one reason for people to miss out opportunities in the project

If you want to render service  or you want to participate  the proposed Uganda-Tanzania pipeline project, the first thing first you should be aware of the oil and gas value chain.

In this article you will learn the operating components of Uganda-Tanzania crude oil pipeline and who are the participants in the project.

Let’s get started:

The oil and gas is huge, the oil and gas industry value chain divided into three areas, include

1.Upstream.
2..Midstream
3.Downstream

Since we are talking about the pipeline, we will only touch the midstream segment of the industry, Upstream and downstream areas of the oil and gas will be the talk of another day

Read: How To Participate In The Propsed  Uganda-Tanzania Crude Oil Pipeline Project

Midstream is the portion of oil and gas business that involves transportation and storage of crude oil and natural gas from where they found them to where they will be refined and processed into products that can be sold.

Activities in this sector are aimed at moving natural gas or crude oil from the site where it was drawn to where it will be processed into various petroleum products. The mode of transportation involves:
1.pipelines,
2. trucks,
3. Marine vessels tankers, etc
4. Rail

Pipeline is regarded as efficient and safe mode to transport crude oil or natural gas.

So in this regard Uganda-Tanzania crude oil  pipeline is a midstream segment of the oil and gas value chain.
The crude oil produced from Uganda oil fields will be transported to Tanzania through pipeline.

Now, we have understood, that when we talk about the East African Crude Oil pipeline we talk about the midstream oil and gas value chain. Now let see its operating components.

Operating Components of East African Crude Oil Pipeline (EACOP) Project

1. Processing
When the Total E&P and its upstream partners produce oil from the Uganda Oil field, The small proportion of the crude oil will be refined in Uganda for the local consumption such as Electricity in Uganda.
And the most of the rest will be transported to the international market

2. Transportation
So that is where East Crude Oil pipeline come in to pump Crude Oil from production areas in Uganda to the consumers in the world market

3. Storage

Once the oil reaches to Tanga in Tanzania port will be stored in the storage facilities before shipped to the international market. Storage facilities for EACOP project include:
Marine storage terminals and jetty
Holding Storage Tanks

  Participants of the East African Crude Oil Pipeline Project
We have seen the operating components of the proposed crude oil project. Now here are the beneficiary of the Uganda-Tanzania crude Oil pipeline project

The players in the proposed pipeline business include:

pipeline construction companies, pipeline coating companies, civil and mechanical contractors, logistics and transportation companies, fuel companies, operators, bank and insurance companies, health centers and accommodation. IT and telecommunication companies

I hope this help if you find this information valuable, share with friends.

Hussein Boffu

Hussein. Boffu@tanzaniapetroleum.com

+255742856060

 

It doesn’t take rocket science to know that the vast quantities of gas reserves in Tanzania and significant oil find in Uganda has made East Africa the subject of intensive interest.
No doubt organizing your own oil and gas event  can be attraction option in East Africa.
There are various of oil and gas events, So Whether you want to promote exhibition, conference or oil and gas training we all talk the same thing. All are oil and gas events.

But to create successful event that many people will attend, you need to employ marketing strategies that will attract more delegates, visitors or even sponsors.

Understanding how to market your oil and gas event is very critical because there is no point you spend your precious resources (time, energy and money), consequently few people show up or nobody attends

This article won’t only help you how to get people to come in your events but shows you how to get them return in another day when you reorganize the event.
This will help you sell many tickets, increase your brand awareness and reputation at the organization.

If you are event manger, event marker or generally and individual you have deep interest in organizing oil and gas event in East Africa, this guide will help you to get people to your event.  Now, let’s get started.

Identify your key audience

Once you have done a proper research and you are confident there is a potential market for your oil and gas event, the next step is to figure out who is your ideal customers? What are their needs and wants? And how to reach them?

For the  oil and gas conference we call them “delegates” and if you are organizing exhibition we call them “Visitors” but are simply customers

For example, I have found the reasons Tanzanians attend oil and gas conferences are need of information and contacts in the oil and gas sectors.

Also, the reason companies Human resources department in the oil and gas companies buy training for staff because they want to strengthen their team and minimize risks and loss at the organization.
Once you identify your ideal customers and their needs and wants the marketing is the easy part

Who Are The Customers For The Oil and Gas Events
I have found the audience of oil and gas events in East Africa are

• People with high income, senior materials.
• professional jobs such as engineers, accountants, lawyers etc
• And in most cases with people who have higher education
• Also, owners or employees who work with the oil and gas companies other
• Owners and employees firms that can participate in oil and gas supply chain like construction firms, catering, insurances, health centers etc

We have seen, how to find your target customers for your oil and gas events and customer profile who always pay to  attend the oil and in East Africa. Now let start discuss the six effective way to promote your oil and gas event. Let meet them:

 

1.Interviews
It involves the use of Radio, Television, and Newspaper to inform and persuade your target audience about the existence of your oil and gas event. This is an effective way to promote your oil and gas conference in Tanzania and East Africa because your message reaches to many stakeholders, But it’s very expensive because the TV and Radio will charge you high rates the airtime you purchase.

 

2.Word of Mouth
We also call this direct sale, this is when you meet with your target audience in person and inform them about your oil and gas event.

For example, your organizing oil and gas event and one of your key customer s are the construction organizations, so you kick-start visit organization firms and persuade them to attend your event.

This is an ideal marketing strategy for your oil and gas events but you need to have great sales team who will go door to door and speak with potential customers and persuade them to buy a ticket.

This will work well for the oil and gas events such as training. Let me give you an example, if you are organizing the oil and gas events, in this case, let say safety training.

And your target audience are the multinationals oil and gas companies operating in East Africa, so go out and visit the multinational offices and talk to them to attend the event

3.Email and e-newsletter Marketing
If you need to attract a large number of attendees at your oil and gas event, I strongly suggest you employ e-newsletter marketing method. The reason this marketing tool is so effective is that you bypass the third part and you message reach directly to your potential customers.

To employ this marketing strategy, event marketers must buy or build what we call the DATABASE. The database will include the email list of your target audience.

A lot of companies sell database. But finding companies that sell database made up of oil and gas professionals, businessmen and decision maker In the oil and gas can be a little bit frustrating.

Here at (Tanzania petroleum.com) we can offer you a database with a list of more than 1700 individual consumers most of them are oil and gas professionals, decision makers and businessmen
Buying database can effective way to penetrate and attract more people in your oil and gas events in the East Africa.

4.Media Collaboration

This is when you cooperate with the third part to reach out your target customer. Media collaboration is one of ideal approach raising awareness for your oil and gas events.

You can collaborate with local magazines and newspaper can be the effective tools to promote your event in East Africa. Also there a lot of online magazines that accept media collaboration if there is a win-win situation in your collaboration

5.Sales Promotion
Another great marketing strategy for your oil and gas event in East Africa is offering a discount in specific period of time to your customers that expire after the specific time. After that time customers need to pay regular process.

This will motivate your target audience to react faster on your offer so they couldn’t miss the deadline.

 

I hope this help. If you find this informative, kindly share with friend or just leave your comment below.

Hussein Boffu

Hussein. Boffu@tanzaniapetroleum.com

+255742856060

 

 

The oil and gas is a word of mouth industry, to sell more goods and services In the industry you need to have face to face meeting with your client and tell them how you can help with your products and services. Because once you meet with your client in a person there is a greater chance will do business with you

And the best way to get client in oil and gas to speak to you is by booking appointments or sales meeting.
And the more appointment you make, the more client you see and the more goods and services you sell that increase your profit margin

The good news is that the ideal approach to reach out client and get more sales meeting is through email.
Whether you want to get client in the proposed Uganda-Tanzania oil pipeline project or any other oil and gas project, cold emailing can help you a lot

In this post, you will be learning how to get high paying client in Tanzania and East African oil and gas using cold emailing. You will learn how to find client email in the oil and gas without annoying anyone. You will also learn how to write effective cold email that will get you more appointments and more revenue in the oil and gas.
If you are wondering how? read on to find out

Use professional email address
Client don’t take seriously people who reach out to them using emails associated with “Gmail” ‘yahoo” “Hotmail “
. If you use unprofessional email like hussein2005@gmail.com to reach out client in oil and gas. I guarantee your email going unread. Or even if they read, nobody will reply.
You should use professional email that linked to your company like Hussein@quicksource.com
And the only way to have professional emails is by setting up company website because the end part of your email is the domain name that holds a company website.
For example, Hussein@quicksource.com in this email “quicksource.com” is the domain name of the company website
So if you want to get the client in oil and gas in the East Africa, go and create a website. If not, you will lose significant businesses.

Find out the right person to email
You need to email a person who is able to make the decision to hire you. In each oil and gas companies, there is a person in charge of a particular department. For example, if you shot cold emailing to the human resources manager for the services you won’t get any response.

Perhaps he will ignore or delete your email instantly. To stand out, reach out to the right person at the company. Here are two approaches. The first approach is to email managing Directors, CEO and countries managers at oil companies
The second option is to reach out to a logistics manager and procurement manager.

But I have found the best approach send an email to CEOs and Managers. This approach has worked well for me. And here is how I do.
I emailed Manager or CEO at oil and gas company, so the manager will schedule a for meeting appointment. And when they replied to let me the date that is convenient to meet me at their premises, they copy some of his procurement staff. So I sensed I will meet not only the mangers but also with his procurement team.

How To Find Client Emails

The cold emailing is useless if you don’t have contact information for the people you want to email in the oil and gas company. Here are three ways to find client emails
1.Search on Google.
Google is a useful tool to get the email address of many executives in the oil and gas in Tanzania. You should try different phrase until you get the desired result. When I just entered the oil and gas business I had no contact in Tanzania oil and gas.

I wanted email address of the managers at the oil companies to set up appointment because If you go to the oil and gas companies without appointment, client won’t speak to you and most importantly you sound unprofessional because they can regard you as you are not time conscious

So I started to Google and I typed the different phrase and words until I found the link that had all email address and phone numbers for managers of international companies in Tanzania. Afterwards, I emailed all managers to ask for meeting appointment. Because I learned how to write effective cold email I got 7 sales meeting out of the 10 clients I pitched.

2.Leverage LinkedIn
LinkedIn has proven the best social network for professionals since its launch in 2002. Many decision-makers in oil and gas have LinkedIn accounts. So You can find email addresses of decision makers in oil and gas on LinkedIn. The first thing you need to do is to get information about the people in an organization. To achieve this, visit the company website you want to work with, go “Our Team” or a “Staff” page. And you will find names and position of the key personnel in the company. Then you cross-reference all names from website with LinkedIn

3.Use email hunter
This is the best App which to uncover email address of anybody. In order find the email address, you add the website of your prospect, so it searches and then you will track all email addresses available to the people in the company. So you can find an email address of the person you are interested in.
I used this approach and I found email s and phone numbers of all managers on the Google

How To Write Effective Cold emailing
Now, you have an email address, so now is the right time to send an email to your clients. But anybody can pitch clients. But only who write effective pitch will get the response. If you know to write an irresistible cold email that grabs client’s attention, and you write In a polite and persuasive way, you will get more responses and more appointments that will result to more leads and sales. Other ways your client will ignore or delete your email and losing business.
Here is how to write effective cold email:

1.Write Irresistible    headline

The headline is what make people to whether open your cold email. So a good headline will

2.Personalize
Once you have written a headline, the next step is to personalize your cold email with prospect’s first name
Sending people email without personalizing reduces your reply rates. If you send email without addressing them by name, there is a greater chance client will trash your email. The research points out that 48 percent of decision makers do not reply when they receive emails that haven’t address them by their name

The simple truth is oil and gas manages are super busy. They receive tons of email every day and hundreds of phone calls. They have to deal with government officials and attend meetings.
Procurement managers in oil and gas also are busy, they have to send “Request for proposal to other service providers and suppliers, also they have to evaluate them to ensure they choose the right supplier for particular services. So personalize your email with your client’s first name shows you care and increase the response rates

But sending them to email simply saying “Hello” “ Dear sir” won’t give the desired result because it may be misconstrued as spam
For example, how do you feel when you receive emails. The first email, a sender starts with Dear (Your first name)
And the second email, the sender starts with Dear (Sir) without mention your name
I bet you will feel excited the one who has included your name in the mail. The same way when you shot the cold email to the client. The simple truth is that people love to hear their name. So when you approach client personalize will increase your response rates

3.Introduce Your Company

The first line of your email should aim to introduce your company. This help client to know who is dealing with. Also, introducing your business establish trust with client which is the key in making sales
Here is an example.” We are {Rock gas Tanzania Limited} a Tanzania based supply and procurement duly registered”

4. Purpose of the mail
The next stage is to answer a question “why you are emailing me”, you should be specific to explain what you reach out to client
Here is an example “ We are writing officially to apply for registration and do business with your company.”
5.Establish reputation
You have to write anything that will increase credibility for the client. If you have entered a partnership with reputable experience firm in the oil and gas just state it. If you have already served other big oil and gas companies just sate it. If you have accomplished a big project even in the industries that is irrelevant with the oil and gas mention it in your email.
Here is an example “ Rock gas Limited has worked with various oil and companies in Tanzania, include, Statoil and Shell.”
If you haven’t worked with any oil and gas companies in Tanzania, establish credibility by the state any achievement you have accomplished as a company that is relevant to your potential client. In oil and gas experience is critical.So You can establish credibility by telling your client the number of years you have been in the business

5.Outline the services or products you offer
The next step is to tell your client how you can you help them. You should outline all the service and product you think your clients will benefit from

6.Conclude and Encourage your client to take action
The final step is to explain what action you want your client to take? Because the aim for shot a cold email is to get appointment with client so as you can present our goods and services to client
So here is how you can conclude your cold email “We humbly pray to have a good working relationship with (Name of client’s company) for mutual benefit. Kindly Schedule us a face to face meeting to further discuss our services.We know you are busy so we only need few minutes of your time to show you what we have got and you can judge for yourself if is what you are looking for. Will Monday or Thursday work for you?

Why this conclusion works well. The reason it works well is that

They are busy, so telling them you will spend few minutes with them, your client will be happy to meet you because they are confident you won’t take a lot of the time. Also, it makes client say yes because up

3-7-7 Follow Up Formula
Cold email can be frustrated when you send an email to the client and you don’t get a response.
What will you do when this happens? Will you give up? The answer is you send up follow up email.
There are many reasons why your client hasn’t reply your cold pitch. Here are some of the reasons

He hasn’t received your email. Sometimes, email is marked as a spam
So sending follow up email can resolve this challenge. But if you don’t know how to follow up with cold emailing, you will annoy your clients and end up hearing nothing. The purpose of follow up cold email isn’t to harass your client to book appointment with you but to remind them they didn’t receive or overlooked your email.
The good news is that using 3-7-7 follow up formula you will get more replies from the clients, and get more appointment that will result to sell more goods and services in the oil and gas in East Africa.
Stay tuned until the next post when I will reveal the 3-7-7 follow up formula that will get your more sales meeting