The UK has seen petrol prices hit an all-time high with the average price of a litre reaching 120p and overtaking the July 2008 peak of 119.7p, according to the RAC. This comes just days after the Government raised fuel duty by 1p a litre. As a result the BrandIndex scores for oil giants Shell and BP have plummeted, with measures 'value for money', 'satisfaction' and 'likelihood to recommend' in particular decline. The scores for Shell dropped the same date that it made two major announcements regarding job cuts and executive pay packages. On the 16th March, Shell's chief executive Peter Voser announced that the company would be cutting 2,000 jobs by the end next year, making it 7,000 job losses in total since Voser took over the post last year. It was also revealed that a former executive of the company received a pension of almost $25 million, even after receiving a “golden goodbye” of $7.6 million.
'Buzz' and 'Index' scores for Shell have taken a hit over the past month, falling 7 and 6 percentage points respectively. Measures driving the decline in the overall Index are 'value for money', 'satisfaction' and 'likelihood to recommend'.
BP achieved a peak 'Buzz' score of 6 points on 16th October 2009 and was consistently in positive figures until mid-March 2010. It has now significantly decreased to the lowest levels seen for the brand - 11pts (12th April 2010). Similarly their 'Index' score has also declined to the lowest level BrandIndex has recorded of 6 pts.
With the price of fuel likely to increase further, it could be that oil brands will take further hits in the coming months.