Keeping tabs on rising gas prices
By Flickr user AgentAkit
We’re heading toward May at a good clip, which brings assorted holidays, horse races, flowers and the eternal gasoline price-hike stories.
Current national average for a gallon of unleaded is $2.85, up about 80 cents from a year ago, according to the AAA Fuel Gauge report.
Consumers are taking note of the 40-ish percent increase, if the brisk forum traffic at GasBuddy.com is any indication. I hadn’t looked at the site in quite some time but it’s a font of story ideas for you, from motorist discussion (“Have you caused an accident while trying to write down gas prices?”) to news feeds, blogs, trip-cost calculators and other links.
The federal government’s Energy Information Administration is a go-to resource for historical data, info for charts and graphics (including the ever-popular ‘what goes into the price of a gallon of gas’ illustration) and forecasts.
Be sure to bookmark “This week in petroleum” for a handy narrative outlook; currently it’s forecasting a national peak of $2.92 for a gallon of unleaded – because crude oil is expected to average $79 a barrel vs. last year’s $62. Despite the uptick, the EIA forecasts increased demand for gasoline and diesel fuel this summer, as the economy improves.
Here are a few angles that will generate interesting business and financial features:
Gas station operators. Hard to believe with the seeming endless construction of new outlets, but the number of filling stations has been on the wane in recent years. It’s axiomatic that retailers make money from convenience items rather than from selling liquid fuel; are penny-pinching drivers eschewing impulse buys and eroding stations’ profit margins?
What about car wash systems and other fueling station trends? One near me will post items on eBay for you and offers a DIY pet-washing station as well.
NPN.com, a trade journal, offers interesting discussions of challenges to the retail gas station operator – including the dwindling availability of credit for expanding and upgrading to current fuel-pump technology — as well as stats and other industry news.
Tourism. A couple of years ago some hotels and other resorts were offering gas cards to arriving guests to defray the cost of their journeys. Are any similar gimmicks in the works as we approach major driving holidays like Memorial Day and the 4th of July? What sort of surcharges and gasoline-related fees are rental car agencies and other fleet operators passing along to consumers?
Small business. Gasoline propels more than automobiles; check with landscaping companies, heavy-equipment operators and others about how the 40-percent hike is affecting their profits.
The quirky. Locking gas caps, stockpiling and other protective techniques probably aren’t a huge factor in the overall scheme but poke around; you might find some interesting consumer, criminal or small biz reaction to rising prices. Here’s a dated but interesting Slate article about stockpiling, for example.
