Neighboring gas stations

On my normal morning drive to daycare, I pass two gas stations caddy-corner to each other in a suburban neighborhood. Today's regular gas prices -- as shown on the gigantic signs at each -- was $2.37 at one and $2.48 at the other.

Tell me, what on earth are the dolts who fill up at the $2.48 place thinking? Are folks that impressively ignorant of their surroundings?

RB

 

loyalty to a certain brand, especially among older drivers

 

Ah, blind loyalty.

I regularly drive by two competing gas stations that are at least a dime per gallon more expensive than the other gas stations that are a mile or so away. And they probably wonder why very they have very few customers.

 

I also think that some of them think that people won't go out of their way if they're heading in the wrong direction, but I know I would (and have!).

Could it be that they're so stupid they aren't realizing that they're being undercut?

 

It has to do with how much they paid for the gas they're selling. Margin on gas is pennies, if not a penny, on the gallon for most stations, and if they get caught buying their supply the day before prices drop, they're screwed.

 

The slushees at the $2.48 place are 11 cents cheaper than the other place. It all balances out in the end.

 

They're thinking, "waiting in line at the cheaper one is not worth the $1.50 I'll save by filling up there."

 

I think people who go out of their way to seek out the cheapest gas are wasting their time. The resulting savings are nominal at best.

 

Is one station a Shell?

Shell always seem higher.

 

When you live in Jersey, and the one that is 10 cents cheaper requires a 10- to 15-minute wait because you can't pump your own, it's better to just pay the extra dollar to save time.

 

There's a cluster of stations within a couple of blocks of each other in my neighborhood, and one is often a couple of cents cheaper, but it's a huge pain in the ass to get to. The entrance is pointed the wrong direction, the exit puts you out going an inconvenient direction ... It's just not worth the 30 cents to deal with it.

 

Both places are on a two-lane road, and are equally easy to get to. But one IS a Shell.

rb