Grumbling at franchise gas stations

[Astro14]

My neighbor owns the local SUNOCO station. I know their details. I’ve heard the numbers first hand, and they make most of their money at the attached NAPA Car Care station, doing car repairs.

You have researched, and looked at big franchises, but have you actually talked to a small station owner?

Believe what you want.

 

[SC Maintenance]

My neighbor owns the local SUNOCO station. I know their details. I’ve heard the numbers first hand, and they make most of their money at the attached NAPA Car Care station, doing car repairs.

You have researched, and looked at big franchises, but have you actually talked to a small station owner?

Believe what you want.

So they tell you they buy gasoline at $2.00 and sell it for $2.10?

Perhaps they can offer some input into my points above, ie why is spot at a depot a buck less than they sell, or why do prices flip huge amounts a day?

 

[Astro14]

So they tell you they buy gasoline at $2.00 and sell it for $2.10?

Perhaps they can offer some input into my points above, ie why is spot at a depot a buck less than they sell, or why do prices flip huge amounts a day?

It is far more complicated than you make it out, and they do not buy it at the depot at spot price.

They buy it through a distributor.

Look, I really don’t want to argue with you, you have your set of beliefs based on a bunch of what, Internet searching?

I’ve talked to a small station owner.

The perspective is quite different.

 

[andrew_j]

My neighbor owns the local SUNOCO station. I know their details. I’ve heard the numbers first hand, and they make most of their money at the attached NAPA Car Care station, doing car repairs.

You have researched, and looked at big franchises, but have you actually talked to a small station owner?

Believe what you want.

Agreed , so frustrating especially immigrant and “foreign” owned comments/habits etc. My parents are immigrants and my well to do neighbor owns a local one that is clean, performs repairs and his wife branched her original selling of authentic ethnic food items at station to catering business for high end clients.

 

[SC Maintenance]

It is far more complicated than you make it out, and they do not buy it at the depot at spot price.

They buy it through a distributor.

Look, I really don’t want to argue with you, you have your set of beliefs based on a bunch of what, Internet searching?

I’ve talked to a small station owner.

The perspective is quite different.

Yes, I know or have known personally several people including extended family and a mentor that have owned stations. All but one are very coy.

They mark gas up 40 cents to a buck, they sell other things, to pay the financing on the million dollar lot and taxes and permits and operating capital. And they sell some lottery tickets and soda. But since everyone hates gas prices they of course tell everyone they make no money on that stuff. In some decades all those costs are paid off and they retire quite well, or the corporates become worth billions. Good for them, its the American way.

Just don't gaslight me and tell me they only mark gas up a dime. Now were blaming it on the distributor who likely does make a dime or less.

However for that 40 cents to a buck most people expect a certain standard, or they don't return. Or they can sell at 30 cents less than everyone else then no one will care if the toilet is clean.

 

[nomas]

I'll do whatever necessary to avoid using a gas station / Convenience store restroom .

 

[MaximumMini]

Filled up a 5 Gallon fuel container at WaWa yesterday. It took exactly 5.65 gallons ?

This was after I had the same occurrence last week at the same WaWa (different pump) but thought it was a fluke.

 

[SC Maintenance]

Filled up a 5 Gallon fuel container at WaWa yesterday. It took exactly 5.65 gallons ?

This was after I had the same occurrence last week at the same WaWa (different pump) but thought it was a fluke.

New can?

 

[MaximumMini]

New can?

No. Same old 5 gallon can that has ALWAYS held exactly 5 gallons when filled to the full line.
I believe this station is doing this on purpose because it's multiple pumps.

Can plastic fuel containers stretch that much to hold an extra half gallon over time?
I'm going to take that same can to a different station and see what I get.

What I don't understand is how it can be calibrated and certified by the Florida Dept of Agriculture, and still be off this much?
The other thing I can't understand is how I could be the ONLY person who notices it?

I'm not great at math but isn't that close to a 10% error? (5.53 gallons on the pump display, but only 5 gallons pumped)

Let's just say a gallon is $3.00 even. That would be an additional 30cents free revenue for the station on every gallon !

 

[SC Maintenance]

No. Same old 5 gallon can that has ALWAYS held exactly 5 gallons when filled to the full line.
I believe this station is doing this on purpose because it's multiple pumps.

There should be a weights and measures number to call for your state. That is a lot of skim.

 

[repairman54]

Per gallon profit was 10 cents per gallon back when gas was 50 cents a gallon. The 10 cent myth continues today apparently.
Lower price generates volume sales to offset lower profit range. It baffles me how folks worry about saving a nickel a gallon which equates to a mouthful of gas at todays prices. 30 - 40 cents per is a different story.
Its even worse in NJ where there is no self service. Waiting for Habib to shuffle around the pumps is painful at best.
Veteran of Hess stations in my youth where white coveralls and hustling was the norm. Got a quarter for every quart of oil I sold also.

 

[SammyChevelleTypeS3]

Yes - there was a big "Fortune" study years back - but thats NET margin they make up because most don't know the difference. This is the gaslight number they tell you AFTER they put their entire family on the payroll to do nothing in the case of indys or do special depreciation on a inflated base, and other accounting tricks, or simply make the number up.

Why would the media gaslight this at a high level you ask - simple - so they can blame the price on big oil. (well I admit that part I inferred. Makes sense. The rest I can prove though).

Here is the spot price of wholesale gas. Transport is a couple pennies depending on distance. How much you pay last time?

View attachment 310563

This is one of the biggest lies out there. I have researched this as best I can.

Still don't believe me - ask yourself this:

-- How can buc-ees consistently sell 30 cents below everyone on the interstates here?
-- how can you drive through town and easily see a 50 cent swing, or change 64 cents in a day? https://bobistheoilguy.com/forums/threads/gas-jumped-64-cents-a-gallon-total-rip-off.400808/
-- If there was no money in it why would these smart wealthy families that own QT, and Sheetz and Pilot be putting up these places like rabbits. .They can't build stations fast enough.

Yes, they make margin on soda also.

Believe what you want.

So, I have to ask myself. Since the margin of profit is so very small..... What has changed or how or why? How come when I was pumping gas after high school in the family owned stations , how could those (majority of stations were owned by more families than oil comp across the USA), how could those very families even afford to open and run all the indy fuel stations that dotted the landscape? Especially back then when those stations had virtually nothing for sale but gasoline and diesel compared to all the near Disney like convenient stores of today where one can buy near anything from a sit down meal, to gambling tickets, drug paraphernalia to take a shower and even buy clothes at many? How did the margin of profits shrink so low in this day and age when we hear all the time how much the evil oil companies control the entire US Gov? Well, that is what many lead us to believe. Evil oil runs and controls the world.

 

[4wd]

So, I have to ask myself. Since the margin of profit is so very small..... What has changed or how or why? How come when I was pumping gas after high school in the family owned stations , how could those (majority of stations were owned by more families than oil comp across the USA), how could those very families even afford to open and run all the indy fuel stations that dotted the landscape? Especially back then when those stations had virtually nothing for sale but gasoline and diesel compared to all the near Disney like convenient stores of today where one can buy near anything from a sit down meal, to gambling tickets, drug paraphernalia to take a shower and even buy clothes at many? How did the margin of profits shrink so low in this day and age when we hear all the time how much the evil oil companies control the entire US Gov? Well, that is what many lead us to believe. Evil oil runs and controls the world.

No they actually raise countries/people from poverty …
Americans are just spoiled and are clueless on who makes massive ROCE.

 

[4wd]

It is far more complicated than you make it out, and they do not buy it at the depot at spot price.

They buy it through a distributor.

Look, I really don’t want to argue with you, you have your set of beliefs based on a bunch of what, Internet searching?

Internet searching puts the margin very low and mentions items that make far more ROI. Buc-ee’s does the clean restrooms so you make room for more …

 

[rijndael]

There should be a weights and measures number to call for your state.

Also, pay attention before you pump. It's easy to be on auto pilot with your routine and miss a sticker like this:

 

[MaximumMini]

It baffles me how folks worry about saving a nickel a gallon which equates to a mouthful of gas at todays prices.

^^^ THIS ^^^

Spend $8.00 in gas to save $1

 

[GSCJR]

But are they only trying to attract other immigrant customers, or the locals?

That's one and the same around these parts.

I confirmed that a restroom was available before I purchased fuel yesterday, I won't patronize a fuel station without access to amenities.

 

[SammyChevelleTypeS3]

^^^ THIS ^^^

Spend $8.00 in gas to save $1

I knew folks that would drive 15-20 miles out of their way to save 3-5 cents a gallon on gasoline. I never could get that straight.

 

[CleanSump]

WaaWaa, Royal Farms, and Sheetz if you need a restroom around here. Valero and Citgo are the most run down and dirtiest stations here. Also Valero, Ctigo, and Sunoco pumps rarely have paper for receipts in them.

 

[SammyChevelleTypeS3]

Also, pay attention before you pump. It's easy to be on auto pilot with your routine and miss a sticker like this:

View attachment 310572

Have NEVER seen this sticker on any pumps in my area. Actually never seen this anyplace? YET I do not flatter myself into thinking we are doing ANYTHING better here than ANYPLACE else.