Does price indicate oil quality or group?

[Da Game]

So I went to the local WalMart store and I see Mobil oil 5W-30 for $7.07 a Qt. At Pepboys & O'Reillys the same oil goes for $8.49 a Qt, can someone explain to me how the price is different?

Also I see the term "Full Sybthetic oil" at prices under $8 as I mention above. I s this a Grp III oil or what? Does the FTC have anything to do with a Grp III being "Full Synthetic Oil"?

 

[Hokiefyd]

Originally Posted By: Da Game
So I went to the local WalMart store and I see Mobil oil 5W-30 for $7.07 a Qt. At Pepboys & O'Reillys the same oil goes for $8.49 a Qt, can someone explain to me how the price is different?


Economy of scale and/or profit margins. Walmart has a contract to buy 10 billion quarts. Smaller chains have smaller contracts, and usually pay more for the same product. It's also possible that the profit margin of oil at Walmart is different from the margin on oil at Pep Boys or O'Reillys.

 

[dparm]

Price is somewhat of a predictor of the quality of oil, but there are plenty of exceptions.

 

[NateDN10]

One might say that price is positively correlated with quality.

 

[Bill in Utah]

Price could be but you also are paying for marketing, dealers, shipping and such.

Personally the best quality oil is the one that does the job as well as any for the lowest price.

Like Chevron (no advertising), Motorcraft (close to none) and oils like those. Also major oil company's little advertised oils like Mobil 5000. That is why those oils are always priced lower than the others but performance is as good as any.

Don't get caught up in group this or some marketing junk. Get caught up in performance for the buck.

Bill

 

[Cristobal]

It is about what the market will bear, and sometimes it relies on people not willing to wait a short time for a better deal.

 

[bullwinkle]

Or not having a MASSIVE STASH like we do here @ BITOG!