PMG to Bring Circle K Brand to New Jersey
ISELIN, N.J. -- New Jerseyans will see Circle K-branded convenience stores popping up in the state thanks to a recent deal between Circle K Stores Inc. and PMG New Jersey LLC II, a locally based fuel distributor and franchise developer.
The move comes a year after PMG New Jersey, a subsidiary of Woodbridge, Va.-based PMG Marketing Group, tripled its presence in the Garden State when it signed a deal to purchase 117 retail sites and supplier agreements from ExxonMobil Corp.
PMG New Jersey Vice President James Deakin said the opportunity for Circle K branding will be offered to all of its New Jersey sites, as well as to other non-PMG sites.
"We are excited to be aligned with Circle K and so are our dealers," Deakin told CSNews Online. "Circle K is an excellent brand that will benefit store operators and New Jersey consumers alike. We feel bringing the Circle K franchise to our dealers gives them a competitive advantage in a very challenging market."
PMG and Circle K have a long-term, confidential arrangement, he added. “We look forward to growing the Circle K brand for many years to come.”
The deal, which was signed on April 25, is a "smart move" according to Kenneth Shriber, managing director of Petroleum Equity Group Ltd., an advisory firm that delivers consulting and financial expertise to the wholesale and retail fuels industry. He pointed to the fact that Circle K bought the Mobil On the Run franchise from ExxonMobil several years ago, with six of those sites located in New Jersey.
However, those sites have not been able to rebrand to Circle K until now.
"I think it's a smart move for Circle K because up until this point, they've not been able to sustain a foothold in the metro New York, New Jersey and Connecticut area," explained Shriber. "This gives them a platform to build the brand in New Jersey by aligning with a strong distributor."
PMG Marketing Group is a distributor and jobber of petroleum products, including such brands as Shell, Exxon, Mobil, BP, Sunoco, CITGO, Gulf and Crown. PMG delivers more than 700 million gallons to more than 800 locations, from Tidewater, Va. to northern New Jersey.