NEW YORK. January 13, 2020 / PRNewswire / – Recon Technology, Ltd. (NASDAQ: RCON) ("Recon" or the "Company") announced the collaboration between its 43% subsidiary Future Gas Station (Peking) Technology, Ltd ("FGS") and Xinglin gas station, a gas station in Jiangsu Province, The cooperation was founded in October 2019 With a term of two years, the operating costs are to be reduced and the total revenue of the Xinglin petrol station increased.
As part of the cooperation, FGS provides the Xinglin petrol station with the Internet marketing service via its mobile DT Refuel application, which is also a data-based intelligent marketing tool. The service includes the construction of a complete customer relationship management system that enables more efficient data management and intelligent data-driven decision-making. FGS also offers a precision marketing service based on consumer behavior to reduce operating costs and facilitates marketing collaboration with third parties to increase gas station revenue. FGS charges 0.5% of the transaction amount as an operating and service fee.
For the 3 months ended December 31, 2019According to Xinglin gas station, 4,387 users had acted approximately $ 0.45 million (3,124,023 RMB) via DT Refuel. The average daily transaction amount was approximately $ 5,510 (RMB 38,568) and the percentage of fuel transactions was 43%.
"FGS’s intelligent platform helps us better understand and serve our customers and improve our competitiveness to track down government gas stations," said Mr. Zhirong Zhang, the owner of the Xinglin gas station, "It enables us to make intelligent marketing decisions while reducing labor intensity. Above all, it has helped us to reduce operating costs and increase total income by more than 10%."
"There are more than 110,000 gas stations in China"About half of them are state owned," said Mr. Yang song, the founder of FGS. "The Xinglin gas station is one of our first attempts outside Zhejiang Province and one of the petrol stations that are not state-owned. We expect to work with 3,000 gas stations in 2020, with an annual transaction volume of more than $ 1.5 billion and a service income of over $ 4.5 million, "
"The upstream sectors of the oil and gas industry were our strategic focus, but we are pleased to see more opportunities from downstream sectors such as gas stations," said Mr. Shenping Yin, Co-founder and CEO of Recon. "We are actively bringing more power to those sectors that offer our shareholders more value."
About Future petrol station (Peking) Technology, Ltd.
Established in January 2016, Future petrol station (Peking) Technology is a service company that focuses on providing new technical applications and data operations for service stations. It also offers solutions for service stations to improve their operation and customer experience. FGS aims to increase the total income of petrol stations through the integration of internet technology and new retail e-commerce platform and to support the conversion of petrol stations into comprehensive service providers.
About Recon Technology, Ltd.
Recon Technology, Ltd. (RCON) is China's first non-state owned oil and gas field service company listed on NASDAQ. Recon provides China's largest petroleum exploration company with advanced automated technologies, efficient collection and transportation facilities, and measures to stimulate deposits to increase oil production, reduce pollution and reduce production costs. Since 2017, the company has expanded its business into other segments of the broader energy industry, including electricity, coal chemicals, renewable energies and environmental protection in the energy and chemical industries. Over the years, Recon has held leading positions in various market segments in the oil and gas field services industry. Recon has also established stable long-term cooperation relationships with its main customers and its products and services are well received by customers. More information is available at: www.recon.cn.
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SOURCE Recon Technology, Ltd.