National Petroleum News (NPN) has been the independent voice of the petroleum industry since 1909 as the opposition to Rockefeller’s Standard Oil. So, motor fuels marketing and retail is not just a sideline for us, it’s our core competency.
Issue link: https://read.dmtmag.com/i/193494
that they supplied heating oil and 67% offered their customers lubricants. Do you own/lease/operate any of the following types of trucks? Commercial Fueling Light duty trucks/vans for repair and maintenance 83% Some 43% of the respondents did not offer any form of card lock operation, but 21% operated 1-5 locations and 36% 6-10 locations. Some 27% of respondents offered mobile fueling. Bobtails/10-wheelers for mobile fueling, etc. 75% Semi-trailer tanker trucks 67% Use a common carrier for at least some of our supply function 33% Margins Use a common carrier for all of our supply function 25% The average fuel wholesale gross margin among respondents came in at an average of $0.15. The average wholesale net margin was an average of $0.13. Alternative Fuels With the buzz over alternative fuels in recent years, including natural gas, 33% of respondents had no non-traditional offerings. Some 58% provided some form of biodiesel blend that could also include biodiesel-based heating oil. Roughly 8% supplied E-85, and another 8% an ethanol blend other than E10 and 16% a natural gas fuel. Diesel Exhaust Fluid semi-trailer tanker trucks; roughly 33% used a common carrier for at least some of their product distribution; and only 25% of current respondents used a common carrier for all of their supply distribution. Where deliveries are concerned, 50% take advantage of a specialized dispatching/ routing/driver communications system. Some 75% offer their customers with a "keep it full" program. Some 75% of respondents operated their own bulk plants and a notable 17% operated terminals. Fuel Purchasing The penetration of "clean" diesel engines onto the roads has started to accelerate and the primary emission reduction technology involves diesel exhaust fluid. A total of 67% of respondents were looking to supply their commercial diesel customers with DEF, and 60% of respondents were looking at a bulk solution to facilitate their sales. Some 20% percent were supplying jugs and another 20% an unspecified solution. Although the impact of the futures market is being regularly cited as having some impact on current crude prices, where the hedging of refined products is concerned, relatively few in the industry (55%) take advantage of this risk management tool. However, 33% use some form of online pricing and purchasing technology showing that the industry has moved some extent beyond the telephone, fax machine, pencil and note cards that used to define finding the best cost at the rack in a given day. Fuel Storage and Delivery Critical Issues A key component of any marketer operation involves storing and delivering fuel to the customers. Roughly 75% of respondents operated their own bobtails/10-wheelers for mobile fueling, etc.; a similar 67% operated their own Numerous areas were regarded as being highly important in regard to the industry. The economy, access to credit, fuel prices and supply, health care regulation, finding quality drivers – follow the table to see how they played out between Marketer Concerns Most important Very important 8% 58% 32% 1% 1% 16% 50% 16% 1% 17% 63% Current economy Access to credit Somewhat important Less important Not an issue Concerned with providing ethanol blends above E1O 2% 9% 2% 24% Fuel Prices 8% 57% 33% 1% 1% Potential labor regulations 17% 32% 31% 2% 18% Healthcare legislation 30% 34% 17% 2% 17% Availability/reliability of supply 17% 65% 8% 8% 2% Finding and keeping quality drivers Reduced fuel demand 9% 64% 17% 8% 2% 15% 10% 58% 8% 9% 0% 23% 27% 28% 22% Supporting alternative fuels (natural gas, etc.) www.npnweb.com n NPN Magazine OCTOBER 2013 17