by John Keller | Jul 4, 2014 | Fuel Price Management, Fuel Pricing Strategy, Industry News, Retail Fuel Margins
The OPIS report today revealed a restoration of retail fuel margins back to levels last seen June 13. The average retail fuel margin rose $0.038 per gallon this week to $0.195 per gallon. That’s still a far cry from this same time last year where the average retail fuel margin was over ten cents higher at $0.302 per gallon.
The year to date and last six week retail fuel margin averages were both up $0.001 per gallon, at $0.165 and $0.174 per gallon respectively.
This week last year the retail fuel margin average took a $0.13 nose dive to $0.171 per gallon. If we can hold our retail fuel margin average steady this week, we’ll be back over the number last year, which would be the first time since June 13.
by John Keller | Jun 27, 2014 | Fuel Price Management, Industry News, Retail Fuel Margins
The latest OPIS report revealed that retail fuel margins last year at this time were $0.117 per gallon higher than this year.
The current retail fuel margin average stands at $0.157 per gallon, $0.003 below last week. Last year at this time the average retail fuel margin was a robust $0.274 per gallon.
The year to date retail fuel margin average remains unchanged at $0.164 per gallon while the Q2 average dipped to $0.169. The six week average took the biggest hit in four weeks, dropping $0.015 per gallon to $0.173 per gallon.
Overall, June was a tough month, with the retail fuel margin averaging only $0.171 per gallon. In 2013 the June average was $0.210 per gallon. In 2013 the Q2 average was $0.191 per gallon, $0.022 above this year.
After the rough first half of the year we can only hope wholesale costs will give us a reprieve so we can allow margins to catch up. Unfortunately, with all the unrest in Iraq and the rest of the Middle East, there is no certainty in our wholesale cost trends, and we’ll be forced to make the most of anything we can, squeezing every penny out of every hour.
by John Keller | Jun 20, 2014 | Fuel Price Management Solutions, Industry News, Retail Fuel Margins
The OPIS report today revealed that the average US retail fuel margin dipped below this equivalent week last year. The average retail fuel margin now stands at $0.160, which is a $0.036 per gallon drop from last week. Last year at this time the average retail fuel margin across the US was $0.199 per gallon.
With the unrest in Iraq, this comparison to last year is likely to remain gloomy, as last year the subsequent week saw an increase to the retail fuel margin of $0.075, when it finished the second quarter at a whopping $0.274 per gallon.
Last year the average retail fuel margin across Q2 was $0.210. So far this year the average Q2 retail fuel margin is $0.170, meaning we’ll likely see an average for the 2014 quarter in the $0.17 range, or four cents less than last year.
Year to date, the average retail fuel margins for 2014 are standing at $0.164 compared to $0.171 at this time last year.
From a fuel price management perspective, unquestionably these numbers indicate just how competitive a market it is this year. It really is a penny up, penny down game, and only the most sophisticated fuel price management software like PriceAdvantage can help you determine the best price for each location and deliver those prices quickly to the street.
by John Keller | Jun 13, 2014 | Fuel Price Optimization, Fuel Software, Industry News, Retail Fuel Margins
Today’s OPIS report reveals that the average US retail fuel margin increased for the second consecutive week, this time rising $0.025 per gallon to an average of $0.196 per gallon. That raised the year to date retail fuel margin average to $0.164 and the Q2 average to $0.171 per gallon.
For the seventh consecutive week, the six week average increased, this time up $0.007 to hit $0.197 per gallon.
Last year at this time, the average retail fuel margin across the US was $0.152 per gallon. That means after being below last year for two weeks, this year’s average retail fuel margin is back above last year, a position we’ve held this year four times over the past six weeks.
Last year at this time, the average retail fuel margin had three consecutive weeks of increases, capping at a whopping $0.302 per gallon reported on July 5. With the political unrest in Iraq having an impact on the Brent Crude and WTI levels, where they are now trading at the highest levels of the year, it may prove difficult to reach the margin heights we attained last year.
by John Keller | Jun 6, 2014 | Industry News, Retail Fuel Margins
The OPIS report today revealed that the average retail fuel margin across the US ticked up $0.006 per gallon this week to $0.171 per gallon. That moves the year to date average to $0.163 per gallon and the Q2 average to $0.169 per gallon. The six week average climbed for the sixth consecutive week to $0.190 per gallon.
This same day in 2013 the average retail fuel margin was $0.216 per gallon. But last year at this time, the average retail fuel margin dropped $0.06 per gallon the subsequent week to $0.152. If we can hold our retail fuel margins steady next week, we’ll be above last year for the first time in three weeks.
by John Keller | May 30, 2014 | Fuel Price Management Solutions, Fuel Pricing Software, Industry News, Retail Fuel Margins
May finished with a whimper as retail fuel margins dropped $0.023 per gallon according to the OPIS report released today. The average retail fuel margin across the US is now $0.165 per gallon, returning to the level last seen four weeks ago.
The year to date average is $0.162 while the Q2 average is $0.168 and the six week average is $0.185.
This equivalent week last year, retail fuel margins jumped $0.09 per gallon. With the drop this year and the increase last year, the current retail fuel margin now stands $0.053 per gallon below this time last year. That marks the first time since May 2 that retail fuel margins this year are below last year.
Now that the Memorial Day holiday is behind us, we settle into the strong and steady summer driving volumes. From a fuel price management perspective, that means careful monitoring of margins and using every trick of the trade to maximize and optimize so we can get the most of what this season has to offer. Often times that means making multiple price changes in a single day, especially when the store manager at the competitor across the street has gone home for the day and there is no one there to respond to your price changes. Thanks to the patented technology licensed exclusively to PriceAdvantage, rapid and frequent price changes are as easy as clicking a mouse and watching the magic happen.
