Thread: Interesting Observation

Tweet

same going on here. bp is the most expensive but no one is going there.

The vast majority of the fuel stations all over the country are run by independent operators who control their own pricing, it is not, in fact cannot, be mandated by the supplier. In fact it's entirely possible there aren't any company run stations anywhere in the country. The supplier charges them for the fuel delivered, the operator marks it up. I suppose in the scenario you laid out that BP is charging more at the wholesale level, and the operators are trying to maintain a fixed margin, but that's not effective marketing. One way to perhaps verify if BP is the "culprit" is to see what's going on at AM/PM or Arco stations if you have them, they're also BP.

As for "most avoiding their stations" that's not really very effective either. Again, if folks are mad at BP they're taking it out on the local dealer, not the company, especially if they haven't changed their buying habits. If the total market buys, let's say 1 million gallons a day, and they cut the BP stations out of the selling loop, the area still needs a million gallons a day. The other suppliers aren't set up to take up as much "slack" for what had been going through the BP stations, so how do they get the extra fuel requirement? Yup, they go to the BP rack and buy the fuel from BP to sell through their stations. Not a very effective boycott I'm afraid. But it does hurt the local business guy.

I went into a BP station the other day and the guys working there were friendlier than I have ever seen. I almost thought they were going to wash my windows, check the oil, and give me a free glass with my gas purchase. I think they are trying (at least at that station) to counter the bad press and ill feelings since the oil mess.

Don

i do not personally boycott bp. i just go where the gas is the cheapest. every dollar counts these days.

All I can say is your doing better than us, gas is around $3.19 a gallon on average for regular unleaded. Our local BP is now a 76 so can't say that their prices are higher or lower. We mainly shop Chevron, mostly because the gas credit card is in their name, but also because of Techroline(spelling?) in the gas. That stuff did a miracle on the old Jeep cj7 emission control devices!

You guys have it easy fuel here in England is currently $10 per gallon

Originally Posted by roadster32

You guys have it easy fuel here in England is currently $10 per gallon

I dont think we are too far behind you guys...We are $1.82/litre[95octane] $1.77 for 91. So,$8.19/gal[imp],and $7.96/gal for 91..[$NZ]...At the current exchange rate with USA$,...$1.39 NZ buys $1.00 USA...I pay $1.05/litre for LPG..

Youch! Makes those Prius's look better!