Analyzing Consumer Behavior to Maximize Gas Station Profitability

In the United States, 389.51 million gallons of fuel are sold every day on average. Many Americans make several stops at gas stations every month. If you’re running a gas station and looking to improve profitability, it’s crucial to analyze consumer behavior and factors that influence their decision to pick a particular fuel pump.

In this article, we’ll briefly discuss some critical points regarding the consumer behavior of gas station customers that will allow you to maximize gas station profitability.

Let’s get started!

Analyzing Consumer Behavior

The initial stages of consumer behavior analysis involve segmenting a target audience and identify the benefit to each group. For fuel pumps and c-stores, the customers are virtually undifferentiated. Still, their spending habits can be used to build marketing campaigns and allocate resources to cater to their specific needs and maximize gas station profitability.

For instance, many morning consumers who stop for refueling their vehicles want to grab a quick bite on their way to work. You can offer breakfast boxes and snacks in the morning to lure them at your c-store. Similarly, consumers with busy schedules prefer buying food and essential items on their way back to home from c-stores to avoid making multiple stops.

Again, you can use your sales data and do market research to learn about the hot-selling products. Once they enter the store, they are likely to make additional purchases. You should have an up to date, EMV compliant POS system at your c-store to ensure your customers can pay via credit card as many people don’t like carrying cash.

Now, coming back to the fuel station.

Many consumers check for gas prices online to pick the fuel station that offers the best rates. Hence, you must ensure that your pricing policy is competitive. If you charge higher than your competitor, you can provide additional services and more amenities like a service station and c-store to attract more customers to your gas station.

What’s more?

The perceived experience of consumers at gas stations can play a significant role in influencing their decision on shopping at a particular pump. Customers prefer stopping at a gas station with new dispensers that offer fast pumping and support EMV payments. If you’re still using old technology, consider upgrading your gas station equipment to increase revenue.

READ: EMV DEADLINE DELAYED Until April 2021! But Retailers Advised To Stay On Schedule

In addition to that, convenience stores are often popular targets for a variety of crimes. Therefore, consumers are concerned about their safety, especially at night. A well-lit gas station increases the confidence of customers, so you might want to upgrade the lighting system of your facility to drive more sales.

In a nutshell, focusing on the customer experience at your gas station will help keep customers returning to your location. Good employee interaction is an essential element of positive customer service, but it needs to be supplemented by routine maintenance and timely upgrades at your gas station to maximize profitability.

About John W. Kennedy Company

John W. Kennedy Company is a leading supplier for petroleum equipment, supplies and integrated solutions, including underground fuel storage, EMV-compliant POS systems, and more. Call at 1 800 238 1225 or visit their website to learn more.

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