why are there price differences depending on the location of the service stations?

why are there price differences depending on the location of the service stations?
why are there price differences depending on the location of the service stations?

Fuels can be more expensive in summer due to demand, but they can become almost overpriced. In Paris and even in the centers of large cities, there are increasingly no service stations.

The reason ? In most cases, it is for reasons of safety and pollution risks that the stations have deserted city centers. However, we still find them in strategic places where motorists stop who take the road without having refueled.

The price is a function of a certain dominant position. No other choice for some and no competition for stations.

Tourist sites, the windfall effect

If you do not have “independent” or “integrated” GMS (large and medium-sized supermarkets), you must make do with oil distributors. The practice of supermarkets is to apply a minimum margin and the products are close to the market price.

For others, the price difference can be explained by an additional service, fuels with different additives and above all higher margins.

Instead of playing on the third digit after the decimal point, it is rather the second which is the adjustment variable.

Highways are specific

On the motorways, the market price is inflated by around 15 euro cents. Whatever the fuel. The distributor pays for his location (expensive) which corresponds to a service obligation. The station is an entity where everything must be profitable, from the coffee machine to the liter of fuel.

So, on the road to your vacation, apply the right strategy even if you have to queue to fill your tank: target supermarkets and, if necessary, get off the highway.

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