Why you can’t really save on gas with discount cards
- December 22, 2023
- 0
Most major and minor auto fuel dealers use loyalty programs to attract buyers of their fuel. They are based on the promise of benefits from the purchase at
Most major and minor auto fuel dealers use loyalty programs to attract buyers of their fuel. They are based on the promise of benefits from the purchase at the gas station of the organizing company. But in reality this is just an expensive illusion.
The operating principles of the vast majority of rebate programs for private buyers of gasoline and diesel are not particularly diverse. According to some, you can buy each liter of fuel for a few rubles cheaper than without a card.
But this doesn’t always work. Because with such a system it is too easy for the car owner to calculate the final fuel price after deducting the discount. And if it still turns out to be greater or equal to the price tag at a competitor’s gas station “on the next street”, then the potential buyer will not see anything attractive for himself in such a discount program.
Marketers at fuel companies are much more cunning when they come up with all kinds of ‘point’ customer reward systems. Bonus points are awarded on the car owner’s personal discount card for the purchase of fuel. There are options here: either for the amount of gasoline purchased, or in proportion to the amount of money spent at a branded gas station. After you collect points, you can then use them to purchase a certain amount of fuel or other goods at a store at a gas station.
Many motorists become addicted to this “needle” and prefer not to delve deeper into calculating their real benefits, but simply believe the advertising. Also, a significant number of participants in such programs are simply accustomed to refueling their car at one or another gas station network, and a brand card with bonuses is introduced only as a kind of “sweetener” for inevitable expenses.
In fact, it is impossible to achieve tangible profits from using branded fuel cards. As each small network of petrol stations sets ‘personal’ prices for fuel at each of its petrol stations depending on their location and current demand. That is, in order to somehow save with a brand discount card, the car owner must first find the cheapest pump of his favorite fuel brand and refuel exclusively with it. But still he will not receive much benefit. Because the discount is in any case compensated by the markup included in the retail price.
You can only really save at gas stations that do not belong to large chains. They do not have the ability to lure car owners with “card tricks”. Their most important trump card in the battle for customers with network competitors is the actually lower fuel price. They offer it in different ways.
For example, they can offer a discount to holders of a loyalty card from a nearby large sales point. Or on a certain day of the week they organize promotions such as selling AI-95 for the price of AI-92.
For example, the author of these lines now constantly refuels his car with gasoline of quality 95 at 47 rubles per liter. This for an average price in Moscow of 53-55 ₽. I fill it in the tank “below the neck” on Sunday and drive until Saturday. No discount card can offer such savings.
photo globallookpress.com
The operating principles of the vast majority of rebate programs for private buyers of gasoline and diesel are not particularly diverse. According to some, you can buy each liter of fuel for a few rubles cheaper than without a card.
But this doesn’t always work. Because with such a system it is too easy for the car owner to calculate the final fuel price after deducting the discount. And if it still turns out to be greater or equal to the price tag at a competitor’s gas station “on the next street”, then the potential buyer will not see anything attractive for himself in such a discount program.
Marketers at fuel companies are much more cunning when they come up with all kinds of ‘point’ customer reward systems. Bonus points are awarded on the car owner’s personal discount card for the purchase of fuel. There are options here: either for the amount of gasoline purchased, or in proportion to the amount of money spent at a branded gas station. After you collect points, you can then use them to purchase a certain amount of fuel or other goods at a store at a gas station.
Many motorists become addicted to this “needle” and prefer not to delve deeper into calculating their real benefits, but simply believe the advertising. Also, a significant number of participants in such programs are simply accustomed to refueling their car at one or another gas station network, and a brand card with bonuses is introduced only as a kind of “sweetener” for inevitable expenses.
In fact, it is impossible to achieve tangible profits from using branded fuel cards. As each small network of petrol stations sets ‘personal’ prices for fuel at each of its petrol stations depending on their location and current demand. That is, in order to somehow save with a brand discount card, the car owner must first find the cheapest pump of his favorite fuel brand and refuel exclusively with it. But still he will not receive much benefit. Because the discount is in any case compensated by the markup included in the retail price.
You can only really save at gas stations that do not belong to large chains. They do not have the ability to lure car owners with “card tricks”. Their most important trump card in the battle for customers with network competitors is the actually lower fuel price. They offer it in different ways.
For example, they can offer a discount to holders of a loyalty card from a nearby large sales point. Or on a certain day of the week they organize promotions such as selling AI-95 for the price of AI-92.
For example, the author of these lines now constantly refuels his car with gasoline of quality 95 at 47 rubles per liter. This for an average price in Moscow of 53-55 ₽. I fill it in the tank “below the neck” on Sunday and drive until Saturday. No discount card can offer such savings.
Source: Avto Vzglyad
Donald Salinas is an experienced automobile journalist and writer for Div Bracket. He brings his readers the latest news and developments from the world of automobiles, offering a unique and knowledgeable perspective on the latest trends and innovations in the automotive industry.
