Gas prices

[marty f]

Originally Posted by TexasDux

The federal government and state tax makes more per gallon than the production companies per gallon. Blame the government for the .40 per gallon tax.

Sent from my SAMSUNG-SM-N900A using Tapatalk

agreed!

I have a buddy that owns a gas station, he makes 5 cents on each gallon, so for every $20 you spend in fuel he makes 1$, to run the business, keep the pumps on, lights and employees. So when I fill up my truck (40 gal) he only makes 2$ off me. When I fill up my 24yr old civic he makes .65 cents (I don't let it get below 1/2 on that car)

The distributor is about the same margin. But the state and feds take as much as 40 cents per gallon.

[specktator]

Originally Posted by marty f

agreed!

I have a buddy that owns a gas station, he makes 5 cents on each gallon, so for every $20 you spend in fuel he makes 1$, to run the business, keep the pumps on, lights and employees. So when I fill up my truck (40 gal) he only makes 2$ off me. When I fill up my 24yr old civic he makes .65 cents (I don't let it get below 1/2 on that car)

The distributor is about the same margin. But the state and feds take as much as 40 cents per gallon.

I am a fuel distributor and I can promise you your buddy is making more than $.05 a gallon. Especially right now with these crazy prices. Unless he owns a Race Trac or Tobacco Plus or something similar. Which they are making more than $.05 a gallon as well. Margins for distributors are very minimal though.

Rack Price on Unleaded today is $1.297 +
.384(taxes) +.003 (fees)=$1.684

The distributor probably makes $.08-.10 a gallon off him so he's getting it for $1.78-$1.80/gallon.

But if he's only adding $.05 to it, he must be moving a whole lot of fuel or getting screwed by his distributor. Tell him to call me!!

[marty f]

Originally Posted by specktator

I am a fuel distributor and I can promise you your buddy is making more than $.05 a gallon. Especially right now with these crazy prices. Unless he owns a Race Trac or Tobacco Plus or something similar. Which they are making more than $.05 a gallon as well. Margins for distributors are very minimal though.

Rack Price on Unleaded today is $1.297 +
.384(taxes) +.003 (fees)=$1.684

The distributor probably makes $.08-.10 a gallon off him so he's getting it for $1.78-$1.80/gallon.

But if he's only adding $.05 to it, he must be moving a whole lot of fuel or getting screwed by his distributor. Tell him to call me!!

This is in AR, as well a few yrs ago when fuel was ALOT more, so maybe not TODAY, he said his biggest competitor was walmart in the little town hes in, and he does what he can to be competitive. Ron has no reason to feed me a line, I believe him. If I can I do not buy fuel from walmart

[specktator]

Originally Posted by marty f

This is in AR, as well a few yrs ago when fuel was ALOT more, so maybe not TODAY, he said his biggest competitor was walmart in the little town hes in, and he does what he can to be competitive. If I can I do not buy fuel from walmart

Yeh if he's competing against Wal Mart, then he probably is only marking it up $.05/gallon. Wal Mart at times will sell it cheaper than I can buy it for. Idiots.

[Goooh]

People don't make money on gas, gas brings people in to buy higher profit items like junk food and $2.00 bottled water, or LSU gear if you live where W lives.


Sent

[specknation]

Originally Posted by specktator

I am a fuel distributor and I can promise you your buddy is making more than $.05 a gallon. Especially right now with these crazy prices. Unless he owns a Race Trac or Tobacco Plus or something similar. Which they are making more than $.05 a gallon as well. Margins for distributors are very minimal though.

Rack Price on Unleaded today is $1.297 +
.384(taxes) +.003 (fees)=$1.684

The distributor probably makes $.08-.10 a gallon off him so he's getting it for $1.78-$1.80/gallon.

But if he's only adding $.05 to it, he must be moving a whole lot of fuel or getting screwed by his distributor. Tell him to call me!!

I have interest in a gas station here locally in the Hammond area, and .04 to .06 is the average profit on a gallon of gas. It's rare to make any more than that, and if you figure keeping gas pump equipment pumps, credit card readers, etc... that figure is more like .03 per gallon, its just a reason to get people in to buy other things.

[specknation]

Originally Posted by specktator

Yeh if he's competing against Wal Mart, then he probably is only marking it up $.05/gallon. Wal Mart at times will sell it cheaper than I can buy it for. Idiots.

If it is not a rural type gas station everyone is competing with discount gas stations such as racetracs, kangaroos there are everywhere no choice you have to price match.

[keakar]

a lot comes down to volume because you get a better wholesale price when you move large volume so the less you sell the more you pay and naturally that means the higher price you must sell it for.

that is why the small stations have higher prices, its not they are making more but they just cant buy the gas as cheap as those other chain stations get it for.

my friend has a station and he pays an average of 10-15 cents more per gallon at wholesale then stations just down the street sell it for retail so he can barely make it and this is from local small business being loyal customers trying to help each other.

[specktator]

Originally Posted by specknation

I have interest in a gas station here locally in the Hammond area, and .04 to .06 is the average profit on a gallon of gas. It's rare to make any more than that, and if you figure keeping gas pump equipment pumps, credit card readers, etc... that figure is more like .03 per gallon, its just a reason to get people in to buy other things.

Well your distributor must be marking you up $.20+ per gallon if you are only able to mark your fuel up less than $.05 per gallon in order to be competitive. Are you able to see what rack price(before taxes and fees) is on the fuel you are getting? What are you selling unleaded for today?

[specktator]

Valero by my house moves 10-15,000 gallons a day and they are at $2.05 today. They are CHEAPEST around. So other stores are making even MORE.
I would pay $1.68 for unbranded gas today. And they probably get a better deal than me.

So that is a $.37 difference where their distributor is prob making less than $.10 a gallon. Which leaves $.30 for them to make today per gallon. Chevron down the road is $2.22 so they are making double that. Just sayin. Don't know what y'all doing with yalls stores but let me know if y'all want some better fuel prices cause it sounds like some of you store owners and yalls buddies are getting the shaft. Long as you pay your bills on time.

[specknation]

Originally Posted by specktator

Well your distributor must be marking you up $.20+ per gallon if you are only able to mark your fuel up less than $.05 per gallon in order to be competitive. Are you able to see what rack price(before taxes and fees) is on the fuel you are getting? What are you selling unleaded for today?

Of course I see the price before taxes and fees, I am assuming you are carrying off brand petro (independent refinery petro). I am with a major brand of gas, and the distributor is not making .20 cent per gallon on me. I have many friends in the business both ends dist. and retail, and retailers making .05 a gallon is average that has been the case for many many years. You can make higher margins with a big dip or big highs in the prices, but when you do this everyday 24/7 365 you figure averages not extremes.

[specktator]

The prices I am discussing currently is off brand petro but I am also a CHEVRON distributor and can get any other brand I want.

Wanna talk branded fuel?
Chevron rack price on unleaded is $1.35 today. So what's that? Another $.06 more than unbranded?? Chevron down the road is $2.22 and I would have paid $1.74 for it after taxes and fees. So he's still making $.30+ per gallon on BRANDED fuel. And that's with a Super One half a mile down the road selling for a lot less than him.

I choose not to sell much fuel to retailers Bc most of them don't pay their bills on time. Or they spend all the money they made selling MY fuel on their inside store products then can't pay their bill. Too much exposure to make $600-700 on $25,000.00 worth of fuel. I sell to oilfield companies and end users with higher mark ups. But I common carry for big distributors and haul fuel to convenience stores/truck stops all over the south for freight. Probably 30-40 different retailers I haul to and I guarantee you they are all making at least $.10/gallon.

Not trying to be a smart a s s, just stating the facts. This is what I do for a living.

[specknation]

Originally Posted by specktator

The prices I am discussing currently is off brand petro but I am also a CHEVRON distributor and can get any other brand I want.

I choose not to sell much fuel to retailers Bc most of them don't pay their bills on time. Or they spend all the money they made selling MY fuel on their inside store products then can't pay their bill. Too much exposure to make $600-700 on $25,000.00 worth of fuel. I sell to oilfield companies and end users with higher mark ups. But I common carry for big distributors and haul fuel to convenience stores/truck stops all over the south for freight. Probably 30-40 different retailers I haul to and I guarantee you they are all making at least $.10/gallon.

Wanna talk branded fuel?
Chevron rack price on unleaded is $1.35 today. So what's that? Another $.06 more than unbranded?? Chevron down the road is $2.22 and I would have paid $1.74 for it after taxes and fees. So he's still making $.30+ per gallon on BRANDED fuel. And that's with a Super One half a mile down the road selling for a lot less than him.

Not trying to be a smart a s s, just stating the facts. This is what I do for a living.

Fact is I have had 3 different distributors over the last 18 years, and like the other guy stated .05 is a average profit on a gallon of gas no matter who is bringing it to you. Not trying to be a smart@@ just stating fact.

["W"]

Dude you can't argue with speck nation

Dude knows everything from fishing rods , reels , helicopters , lawyers and now fuel prices sold at station



But I know this !!! Our gas station in Grand Lake makes .25 off each gallon of gas and that came out of the owners mouth this pass week home !!

He made more when gas was higher !!

[specktator]

Originally Posted by "W"

Dude you can't argue with speck nation

Dude knows everything from fishing rods , reels , helicopters , lawyers and now fuel prices sold at station



But I know this !!! Our gas station in Grand Lake makes .25 off each gallon of gas and that came out of the owners mouth this pass week home !!

He made more when gas was higher !!

LOL I mean if all he wants to make is $.05/gallon, call ME!!! "I'm all about that action BOSS!!" I'll let you make $.06!!

[specknation]

Originally Posted by "W"

Dude you can't argue with speck nation

Dude knows everything from fishing rods , reels , helicopters , lawyers and now fuel prices sold at station



But I know this !!! Our gas station in Grand Lake makes .25 off each gallon of gas and that came out of the owners mouth this pass week home !!

He made more when gas was higher !!

Sounds like you are describing you bulldog, I do know a lot about rods and reels. You are the expert on helicopter and lawyers, go read your gauge and make people mad on the internet you little worm.

["W"]

Spicers makes about .50 to .75 cents on the gallon
Those east side boys are Katrina Rich

Don't have to worry about making money !!

Sippin on gin and juice laid back

[specknation]

Originally Posted by "W"

Spicers makes about .50 to .75 cents on the gallon
Those east side boys are Katrina Rich

Don't have to worry about making money !!

Sippin on gin and juice laid back

LOL , it would be great if you could stay on your side of the state to make your money. Instead you dog out the side of the state that employees your crusty a@@. Don't ever bite the hand that feeds you boy.

["W"]

Originally Posted by specknation

LOL , it would be great if you could stay on your side of the state to make your money. Instead you dog out the side of the state that employees your crusty a@@. Don't ever bite the hand that feeds you boy.

Trying to get off work so I can go set up a booth for my guide service at the sportsman show
I'm March !!

[lil bubba]

Originally Posted by "W"

Spicers makes about .50 to .75 cents on the gallon
Those east side boys are Katrina Rich

Don't have to worry about making money !!

Sippin on gin and juice laid back

East side boy's didn't get "katrina" rich.....There are what we will call people who got "katrina" rich......Real "people" couldn't keep up their business because of curfews and no elictric and water much less sewage and no customers. I couldn't go back to work for a month at least and I didn't take a dime from your precious tax money. And I didn't drink gin n juice I had OLD CROW and JIM BEAM......