“Something—or rather, someone—has got to give.” This was the message in a recent CSPnet.com article that was published last week referring to the projected decline in gas consumption, which may decrease by 24% from 2014 to 2040. Businesses that grow have always known that “something has to give” in order to be successful. In the case of the convenience store industry, petroleum marketers must re-evaluate their business models to adjust to the prospect of significantly less gas demand. The petroleum industry has seen shifts like this in the past—economic downturns, environmental regulations, and war—as have other industries. One thing that we know is that our petroleum marketers are a tenacious and sharp bunch. The key is to be flexible and innovative while finding the right solution.
According to CSP, the c-store industry continues to grow in number of sites, increasing 21% over the last decade. With declining gas consumption in mind, the new thinking is that marketers will need to find other ways to improve profitability. Our favorite response to this impending dilemma was stated by Tom Robinson, CEO and president of Rotten Robbie in California: “As volumes decline, the question is: Can they decline less at your stores than competitors’ stores? You can do that by spending money on stores, trying to upgrade programs, trying to upgrade your offering, trying to use technology as a way to build connections or relationships with consumers.”
Intevacon can help with the technology and relationship piece of this debacle. Our technology provides a payment solution that builds connections and relationships with customers, while also protecting margins by reducing swipe fees. In a future where loyalty is a premium, capturing fleet business is a valuable strength. We’ll continue to develop valuable tools for our petroleum marketers to help them grow and increase profits. This is the rewarding part of our operation—we succeed when our marketers succeed.
To find out more about the Intevacon fleet card or prepaid card, call 678-739-4450 or email moreinfo@intevacon.com. We are excited about the future of the c-store industry, and we look forward to seeing how our marketers succeed.