Gas stations are good places to buy gas

January 9th, 2009 | by mbhunter |

They’re not good places for buying much of anything else, though.

I stopped in a Sheetz on the way home tonight.  (Somehow I managed to need exactly 8.000 gallons in my car, but that’s another story.)  Their subs are good; I’ll take their subs or Subway’s equally.  Made-to-order food is the one exception: this is a fair deal at some gas stations.

Beyond that, the stuff they is incredibly marked-up.  That’s where they make their money.  They have to.  They don’t make their money on the gas.  In fact, after credit card fees, they often lose money on the gas.

Made-to-order food doesn’t have much more of a profit margin.  It’s better than the gas, but not great, because of the prep equipment, the labor, more invasive health regulations, etc.

Where they really make their money is selling a giant Kit-Kat for $1.59.  This is almost double the price you can get it for in Wal-Mart.  A pack of gum for $1.29.  Or high-priced phone cards.  (Some cards cost $25 but you only get $15 in credit.  The other $10 goes to the gas station.)  Or lottery tickets.  There was a vending machine for lottery tickets.  I don’t even want to know what the psy structure is on that.

So, do your grocery shopping at a grocery store instead of the gas station.  Get your phone cards at Costco (or use an IP phone) instead of buying them at the gas station.  And stay away from the lottery tickets at the gas station, or anywhere else for that matter. ;)

But I encourage you, wholeheartedly, to continue purchasing gas at your local gas station.

Questions tagged credit-card at Cash Commons:

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  1. 4 Responses to “Gas stations are good places to buy gas”

  2. By Yow Chuan on Jan 9, 2009 | Reply

    Just like why we should only go to the cinemas for the movies.

    Pop corns and soft drinks are absolutely overpriced there!

  3. By thomas on Jan 10, 2009 | Reply

    man, I love sheetz. Allowing pumps to accept credit cards has really hurt the gas station industry even more so than the (still kind of) high gas prices.

  4. By Manshu on Jan 10, 2009 | Reply

    I have found Costco to be the best place to fill gas. It is the cheapest and in my case quite convenient as well.

  5. By David on Jan 14, 2009 | Reply

    I’ve found that the ONLY thing that is competitively priced at a gas station is alcohol. Other than that, I won’t buy anything there. And even when I do, it’s normally just a matter of convenience, as the nearest gas station is much closer than the nearest store.

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