Image enhancement, mature stores fuel growth

Rapid Robert's Inc.

Address: 1840 S. Campbell Ave., Springfield, MO 65807

Top executives: Rob Wilson, president and CEO; Sherry Hurd, operations manager

2003 revenues: $46.4 million

2004 revenues: $57 million

2005 revenues: $74.3 million

3-year growth: 60 percent

Employees: 163

Rapid Robert’s had a long year in 2005, battling the volatile costs of gasoline after hurricanes hit the Gulf Coast and the subsequent backlash from customers who feared for their pocketbooks.

But in the end, the gas retailer was successful, said President and CEO Rob Wilson, qualifying the company for SBJ’s Dynamic Dozen for the second year in a row.

In 2004, Rapid Robert’s was the No. 10 fastest-growing company on the roster.

Gross revenue for 2005 totaled $74.3 million, a 30 percent increase from $57 million in 2004 and a 60 percent increase from $46.4 million in 2003.

Rapid Robert’s added two stores in Springfield – one on East Kearney and one on East Sunshine – last year and closed one in Hollister because the rural site lost access. The company operates 23 area gas stations and convenience stores.

A handful of employees were added to the 163-member staff, though Wilson said that number changes from day to day.

“We saw substantial growth throughout the company,” he said.

“We’re in a controlled growth mode – we want to grow the locations that we already have. We’re looking for long-term reliability and not just rapid growth,” Wilson added.

To improve existing locations, Rapid Robert’s in 2005 continued its effort to enhance its image, a project that began about four years ago.

Outside lighting was increased by about 30 percent, Wilson said, and outdoor music has been added to some stores. Gasoline pumps were made more user-friendly with the addition of credit card acceptors.

The overall look of stores has been revamped. Black and red have become Rapid Robert’s signature colors, with hints of stainless steel and a bold façade.

“A lot of things we’ve done probably seem subtle to a lot of the customers, but the entire image seems to leave the customer with a real positive experience,” Wilson said.

Also contributing to the company’s 2005 success were the mature locations – stores opened in the last few years that reached their full potential. Wilson cited locations in Ridgedale and in Springfield at Fremont and Republic roads and on West Battlefield as examples.

Though Wilson reflects on the year as a positive one for Rapid Robert’s, he can’t help but vent some concerns about the toll that hurricanes Katrina and Rita took on the company last fall.

The oil strain left gasoline retailers struggling to keep prices low and competitive, and customer satisfaction took a hit as well, Wilson said.

“I could sense the true frustration,” he said.

“It was really hard to determine your pricing philosophy from day to day.”

Monthly financials were impossible to predict, and store performance was inconsistent, as one store might do well while others sank.

“The profitability was extremely volatile during that time because prices were all over the board,” Wilson said.

“We had all this bouncing around,” he added.

Still, the company did not post a loss, and Wilson says both prices and customer relationships seem to have returned to normal.

“We did get a bad rap, and it’s been a frustrating time for everybody in the retail industry,” he said.

“We made a lot of attempts to repair damage.”[[In-content Ad]]