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Gasoline at cost price, what does that mean ?

© Unsplash/Engin Akyurt

While the price of fuel seems to continue to rise, all means are good to save money. So, finding stations that offer gasoline at cost price appears to be one of the best solutions to recover a few euros with each fill-up. Not all stations practice it with the same regularity, and it is therefore necessary to use various websites and applications to locate them.

We don't make small savings, so here, we explain what fuel at cost price, why it is advantageous for the customer as well as for the distributor, and above all what tools to use to find it on a daily basis.

What is fuel at cost ?

We're talking about fuel at cost price when the distributor makes no margin on his sale. Generally speaking, gas stations make margins on each liter of fuel, between 1 and 3 cents. If we remove this margin, we then obtain the cost price of gasoline. This actually allows the customer to pay for the fuel at the same price as that purchased by the distributor, who does not win, but also does not lose money on it .

It is first an advantage for the customer, who therefore buys gasoline for less compared to others brands that do not charge the cost price of gasoline. But, even if he makes less money without margin, the service station nevertheless derives a profit, which revolves around customer loyalty (who appreciates seeing prices drop). It is also a good way to attract customers to their physical store, generally located right next to the station (this is the case with large stores).

Gasoline at cost price, what does that mean ?

© Wassim Chouak – Unsplash

Generally, gasoline at cost price is offered during school holidays, or during the weekend, in order to facilitate customer spending during peak periods.

How to calculate gasoline at cost ?

Calculating gasoline at cost is simple. The cost price corresponds to the addition of four different data: the purchase price, the purchase costs, the selling costs and finally the taxes.

In this case, the purchase price corresponds to the amount for which a customer buys a product from a supplier and is always tax-free. Purchasing costs correspond to the costs surrounding the purchase by the brand (in other words, transport or delivery costs). Sales costs are production costs, advertising, and salaries paid to the brand's employees. And finally, taxes, which account for 60% of the price of gasoline at the pump (including 20% ​​VAT).

C It is by adding all these values ​​that we obtain the cost price, which corresponds to the sale of a product without the brand making any margin on it .

Gasoline at cost price, what does that mean ?

© Unsplash/Aleksandr Popov < h2>Are all types of fuels affected ?

Generally, gasoline at cost price concerns especially conventional fuels, such as SP95, SP98 or even diesel. It also happens that it affects LPG or E85, but it is rarer. Generally speaking, the offer does not concern domestic fuel oil and CLAMC (Liquid Fuel for Mobile Heating Devices). Remember that cost-price fuel offers can vary, and sometimes affect some fuels but not others.

Which brands offer fuel at cost price?

If the offers of gasoline at cost price vary constantly and do not affect all stations at the same time, it is important to keep in mind that a certain number of brands offer them regularly. This is particularly the case for Leclerc, Intermarché, Carrefour, Casino, Total or Super U. Among these brands, Casino and Intermarché stand out above all for their low prices, particularly for Intermarché which has gotten into the habit of organizing low-price operations on fuel every weekend.

How to find fuel at cost ?

Since fuel at cost deals are never necessarily in the same place in two weeks apart, it is recommended to find out in advance about nearby stores offering reductions before traveling. So, various websites offer exactly this type of service.

This is particularly the case for the government site prix-carburants.gouv. The latter allows you to consult the prices of gas stations throughout France, whether you use a web browser or the dedicated mobile application. You enter your postal code or activate the location of your smartphone, then you search on the map for a station near you among the cheapest. This is a good way to keep up to date with prices updated daily so you can always go to the cheapest station.

Gasoline at cost price, what does that mean ?

© Presse-Citron

There are other alternatives of this kind: Carburant-Prix-Coutant.fr is one, Essence Pas Cher another. The Essence & Co is also a good way to keep an eye on the best prices at nearby stations, or on a specific route. In other words, there are many solutions to access the best prices on gasoline.

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Teilor Stone

By Teilor Stone

Teilor Stone has been a reporter on the news desk since 2013. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining Thesaxon , Teilor Stone worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my teilor@nizhtimes.com 1-800-268-7116