KSS presents fuel pricing study at NACS State of Industry Conference

Results benchmark consumer fuel purchasing behavior

Florham Park, N.J.–April 17, 2007 – KSS, a global leader in retail fuel price automation and optimization, announced the release today of its research into consumer fuel buying patterns. The study findings were presented recently at the National Association of Convenience Stores’ “State of the Industry Conference,” April 12-13 in New Orleans.

KSS was asked by NACS to review the association’s recently released “NACS Consumer Fuels Report on Price Sensitivity” and evaluate these consumer responses against actual, observed consumer purchase behavior. This research provides insights into how fuel prices at the pump actually impact customers on a day-to-day basis.

KSS observed a sample data set of more than 15,000 fuel sites using its PriceNet fuel price system, to determine actual consumer purchase behavior at various price points. KSS’ analysis of consumer buying patterns confirmed that price was indeed a key factor but that price is not the only factor that effects behavior. In fact, observed buying patterns indicate that gas consumers are not as sensitive to price differences as the survey had indicated. KSS research also confirmed that price sensitivity does vary significantly between sites - even within a brand. It is clear that understanding such price sensitivities, together with the impact of competitors within that micro-market, is crucial in setting prices that maximize each site’s potential.

By understanding and leveraging consumer insight, retail fuel operators are able to better serve their consumers at each site and insure that financial objectives are met. For a copy of this report on consumer fuel buying patterns, email us at
info@kssg.com

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