The Intevacon Fuel Network continues to grow each month, as more petroleum marketers sign up to participate and more cardholders exchange transactions at network sites.
It’s a process as we get sites online and coordinated, but it’s been so rewarding to see the connections being made and cardholders fueling where they do business. We recently heard from one of our customers in South Carolina who needed to provide a fueling opportunity to one of his biggest cardholders 2.5 hours away. Instead of losing the business, we connected him with one of our participating network sites. Now, the issuer makes a guaranteed 2.5% on every foreign transaction, and the merchant gets to keep 97.5%, which is better than he was getting with credit card fees.
There are no network fees or special requirements to join the network. By utilizing the network, you maintain your cardholder loyalty, even if your cardholders travel to network sites. When your cardholders are traveling, which some inevitably will do, they have to purchase fuel somehow. If you can’t offer an alternative, they will use another form of payment to pay for their fleet needs. By utilizing the network, you are able to provide a service to your cardholders who travel while also making a profit of 2.5%.
If you want to find out more about the Intevacon Fuel Network, reach out to us at 678-739-4450.
The Intevacon fleet card system is unique in that our petroleum marketers have a direct relationship with their cardholders, and each parameter of our system is customizable according to our individual petroleum marketer’s business rules. The Intevacon system is a reflection of years of experience in this industry, plus the expert feedback from our customers.
Intevacon is successful when our customers are successful, and we know that tightening the window of receivables can help keep your fleet business growing and profitable.
Below are four areas that can be controlled for optimum billing practices.
Billing cycle: a shorter billing cycle keeps total receivables at a manageable number and decreases risk
Payment Terms:shorter payment terms ensure that you are paid quickly and that your receivables are kept in check
Finance Charges: for payments that are not made in a timely manner, you can set the finance charge rate, and apply it to delinquent customers
Credit Limits: set credit limits on all of your customers, or on select customers to ensure that charges remain within a comfortable threshold
Intevacon petroleum marketers may choose to provide fleet card services to all different types of accounts: commercial, consumer, government, etc.–and each of these customer types presents different needs, credit risks, and business rules. With Intevacon, you can provide the best in fleet card services while also protecting your bottom line and growing your business.
The average fleet card purchase with Intevacon is 3-4 times greater than a general non-fleet card purchase. Take advantage of this huge customer base by offering a fleet card through Intevacon’s online system. To find out more about our services, contact us at 678-739-4450 or firstname.lastname@example.org.
According to NACS, transparency is the new cultural cool. Yep, we agree that transparency is the way to do business, but it’s nothing new to us. We conduct business with our customers with total transparency, and we’ve created a system that allows our petroleum marketers to do the same with their fueling customers. “Nearly five in 10 millennials say they return to brands they trust, according to a Concentric Marketing survey. Then, if they trust the product they bought and like it—more than eight in 10 say they’ll tell their friends about it […],” says the NACS article titled Crystal Clear.
According to an article recently written by Shane Dyer of Fuel Marketer News, fees have been increasing for many fleet card users due to fleet card processors buffering their pockets for the expected decline in fuel prices. Intevacon has maintained the same monthly access fee schedule since it was started in 2010. There are no additional interchange fees, site fees, or any other type of fee imposed on our customers to process transactions. Intevacon respects our customers, and we operate with integrity and transparency, regardless of fuel prices.
The way that Intevacon can help petroleum marketers enhance transparency is through the tools available in our system. Petroleum marketers are able to offer their fueling fleet customers with detailed reports, both on their invoices and through other special reports. Fleet customers have access to prompts that make transaction details clear as to which vehicle and driver was involved in a transaction, as well as odometer readings and product restrictions. What is more, online user access means that petroleum marketers can provide real time transaction information to their fleet customers, as well as the tools to update driver and vehicle information in real time.
When business owners are able to see clearly how their drivers are fueling their vehicles, they are more confident in their relationship with the petroleum marketer. “Instead of being scared by transparency, businesses should embrace it as way to improve service and increase customer loyalty,” says Entrepreneur.com in an article that also describes how employees are happier when businesses operate daily operations with transparency.
If you are looking to automate your house charges or switch fleet card providers, we’d love to talk to you about the Intevacon system at 678-739-4450 or email@example.com.
NACS recently published the 2016 Retail Fuels Report, and it is full of fun statistics highlighting our great industry. Intevacon is proud to work with so many hard working, smart business men and women who keep gasoline flowing around the nation.
Many of you already know the numbers reported below, whether it be through an intuitive hunch or an objective observation. Here are a few industry highlights noted by NACS:
Price Per Gallon
Over the last five years, the annual average retail mark-up was 19.7 cents per gallon.
On average, it costs a retailer 12-16 cents to sell a gallon of gasoline.
Over the last five years, the typical petroleum marketer averaged about 5 cents of profit per gallon of gasoline sold.
72% of consumers use plastic at the pump.
Credit card fees comprise about 2-3%, and up to 4%, of a total purchase.
Credit card transaction and bank processing costs continue to exceed convenience store profits.
The average gross margin on fuel has averaged 6.2% before other expenses are considered.
The average credit card fee is about 6 cents per gallon.
Most merchants only make a few cents per gallon in pre-tax profit, sometimes even losing money on a fuel purchase.
Price is the main consideration for 64% of customers who need fuel.
Gasoline purchases account for 4-5% of consumer spending.
Convenience Store Numbers
Convenience stores account for 34.2% of retail outlets in the US (according to Nielsen).
There are 124,374 convenience stores selling motor fuels in the United States.
There are more than 154,000 convenience stores across the US.
Major oil companies only own about 0.4% of the 124,374 US convenience stores.
In 2014, the industry reported profits of $10.4 billion and credit card fees of $11.4 billion.
Liability shifted to merchants in October 2015 who were not able to accept EMV cards.
Fuel island terminals are required to accept EMV cards by October 2017 to prevent liability.
The average cost per store to become EMV compliant is about $30,000, and the industry will pay more than $3.9 billion to move to EMV.
Intevacon has also had a big year. We partnered with a record number of new customers, growing our site count to over 2,200 across the US. We also started testing the Intevacon Fuels Network with select customers. In 2016, we plan to roll out the full capabilities of our network, implementing an “Everywhere, not Everybody” approach, as well as providing full ACH payment capabilities to allow our customers to streamline their accounts receivables process.
We hope 2015 was a good year for you as well, and we trust that you are also excited about a big year in 2016. If you would like to reach out to us to discuss automating your fleet cards or getting involved with our network, please call 678-739-4450 or email us a firstname.lastname@example.org.
Can you believe that trade show season is about to start again?! It’s been a big year for Intevacon, and we can’t wait to meet with our petroleum marketers to discuss the Intevacon Fuel Network. Come say hi at one of the shows below or give us a call to discuss how we plan to implement our “Everywhere, not Everybody” strategy for the network.
The term HOUSE ACCOUNTconnotes relationships, trust, and repeat business. Our business facilitates this important function by automating house charges and making it easier for you to grow your business and focus on your customers. Intevacon is the leading software company to provide real time proprietary payment card processing.
Below are a few of the benefits you will find in automating your house charges:
Centralized communication and updates: the Intevacon system is real time and allows updates to accounts, cards, drivers, and merchant sites from one central host. This means that all updates are immediately recognized across sites and your customers experience consistent service everywhere they fuel.
Increased security: only authorized drivers are able to fuel by enforcing PIN at the pump and register. Additionally, other prompts and/or product restrictions can be enforced to further manage the transactions that occur.
Purchase management: offer product restrictions to your customers to help them manage their fleet. Also track driver and vehicle ids for each transaction.
Pay at the pump convenience:your customers can use their cards to pay at the pump or they can go inside for purchases. Improve the customer experience and reduce transaction time for your store clerks.
Streamline billing processes: invoice your customers directly out of our system. We provide full controls for you to bill on your schedule and give your customers detailed transaction information on their invoice. We also provide a transfer file to upload directly to your accounting system for quick reconciliation.
Customer Access:give your customers online access to view their activity and manage their fleet account. This gives your customers the autonomy to make simple changes to their account and reduces the requests that you have to fulfill. Reports and invoices are also accessible to your customers with online access.
There are many more benefits that Intevacon provides by automating your house charges. We’d love to talk to you about how to partner together to grow your business. Find out more about the Intevacon Fleet Card System by reaching out at 678-739-4450 or emailing email@example.com.
The convenience store industry continues to impress with its growing numbers of both locations and profits. NACS recently shared statistics in its article titled Up, Up and Awayabout the convenience store industry, highlighting the great year that we had in 2014, and showing promise for a strong 2015. Below are a few of the notable numbers from 2014:
Pre-tax profit surged 46.5% to $10.4 billion in 2014
Credit card companies took $11.4 billion, $1 billion more than profits
One in three brick and mortar retail establishments in the country is a convenience store
The industry store count is 152,794, a 1% climb from last year and a 28% increase from 2000
Fuel margin was 22.2 cents/gallon total
Fuel margin was 16.9 cents/gallon net card fees
Thank you, NACS, for always providing such great resources! The only statistic listed above that is not positive is the one involving credit card fees. Intevacon continues to help our customers hold onto their margins by eliminating credit card swipe fees with the Intevacon fleet card. We are proud to be part of the convenience store industry, and we love helping our petroleum marketers as they grow their fleet business with loyal, recurring customers. We’ve had a great year getting to know new customers, while also watching existing customers add new sites and new customer accounts. Intevacon has a lot in store for the remainder of 2015, and we are excited about BIG things!
Find out more about the Intevacon Fleet Card System by reaching out at 678-739-4450 or emailing firstname.lastname@example.org.