cheaper petrol
- Thread starter purplegoddess
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verytalldave
MB Enthusiast
Sainsburys at Sevenoaks was selling 97ron Super unleaded for 104.9p last night. Didnt notice how much the cooking unleaded was but its normally about 4p a litre cheaper. Which would come out to about 100.9 - not a great deal more than Asda, and certainly not enough to make a detour or special trip.
Always like to see healthy competition though........................
Always like to see healthy competition though........................
Baron_Samedi
MB Enthusiast
So, Asda's mission is accomplished 
You buy petrol and go in the store to buy the products they have increased the price of to pay for their act of kindness!
You buy petrol and go in the store to buy the products they have increased the price of to pay for their act of kindness!
Last edited:
Financial & Investment Dictionary: Loss Leader
Concept, primarily in retailing, where an item is priced at a loss and widely advertised in order to draw trade into the store. The loss is considered a cost of promotion and is offset by the profits on other items sold.
Concept, primarily in retailing, where an item is priced at a loss and widely advertised in order to draw trade into the store. The loss is considered a cost of promotion and is offset by the profits on other items sold.
kwakdonut
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Still wasting your money on that high octane rubbish?!!
kwakdonut
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Our Asda has been 100.9 for some time now for both Diesel & Unleaded and as we use an Asda Credit Card, we get a whole, generous 1p off every litre! Therefore been below a £1 a litre for a bit now....
flango
Hardcore MB Enthusiast
Our local Shell petrol station has been 100.9p for ages, but I now notice the oil price has dropped from about $72 per barrel down to $61 per barrel (15%) so this should be feeding through to the pumps soon.
verytalldave
MB Enthusiast
I very much doubt whether ASDA will make a loss selling petrol at 99.9p. If other branded retailers are making a living and a profit selling the stuff for only 1P more then all they have done is incur a slight drop in profit margins.
Now IF they they were to reduce it to 94.9p, then I suspect that would be the point that they would be selling for neither profit or loss ie - at cost price.
Just my HO.
Baron_Samedi
MB Enthusiast
flango
Hardcore MB Enthusiast
It did feed through in our area think the lowest we got to was about 81.9p, theres another thread on here somewhere about Banditdave dropping his trousers on Barnsley Town Hall steps if it reached 79.9p
I dont' believe we ever had that pleasure
Maybe plesure is the wrong word though thinking about it. Phil Thomas
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My local Shell garage is selling diesel at 48 p per litre. It was 52p the other day.
It is in Pretoria!!!!!
Baron_Samedi
MB Enthusiast
It did feed through in our area think the lowest we got to was about 81.9p, theres another thread on here somewhere about Banditdave dropping his trousers on Barnsley Town Hall steps if it reached 79.9p
I dont' believe we ever had that pleasure
And they say its grim up North
In sunny Somerset, it didn't get below 87p!
I was in the states and my aunt who has an ML500 uses it and says its a high performance car so you need to use it. But their gas is cheaper at $2.97 a gallon.
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I thought of exactly this when I read the comments about didn't drop before.
Maybe Jay could reduce his prices just for a few minutes, just for the laugh. We'd all have to promised not to be lurking just outside ready to pounce and get cheap fuel though!!
The vast majority of the pump price is tax and duty, so 1p a litre is going to be a large percentage of the difference between cost and retail price. Out of which all overheads etc. have to be paid before any profit can be realised.
Supermarkets routinely sell product lines at below cost to pull people in.
Often the loss has to be taken by the supplier and not the supermarket. The supplier has to absorb the promotion costs....
kwakdonut
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Last time I went to the Middle East - filled our van up for the princely sum of about £2.50.......
Eh? If Sainsburys decide to sell Birds Eye fish fingers at 20p a pack then Sainsburys take the hit ... not Birds Eye.
It's promoting the store, not that particular product. Increased sales of other lines cover the loss on that one.
Perhaps not with a big brand like Birds Eye, but big supermakets are not immune to abusing their position and telling Mr Supplier that they are having an offer on their products this week so they will expect the supplier to reduce prices as well.
