Competing for new gas station locations

Competition is getting hotter

Location is a huge driver in the success of any gas station or convenience store. Prime locations are harder to come by and the growth objectives of existing gas station exacerbates the competition. The diversification of services offered at gas stations, including convenience stores, fast-food outlets, and electric vehicle charging stations, has made certain locations even more desirable.

Given these dynamics, securing a prime location is not just about adding another gas station to your portfolio; it’s about strategically positioning your business for future growth, increased market share, and enhanced profitability.

Which sites should you prioritize?

Not every location will be right for your business. With more gas stations competing for the same locations you need to be able to focus your efforts in the right places. Here are the key considerations for selecting the right sites:

• Traffic and accessibility

Locations with high visibility and easy access from major roads tend to attract more customers. Assess the daily traffic volume and the ease with which vehicles can enter and exit the site.

• Ideal customer demographics

The demographics of the area can help increase your understanding of the local customer base, and enable you to position your brand and offering to align with their needs.

• Competition and market saturation

Evaluate the presence of competitors and the services they offer. A site with fewer competing gas stations nearby may offer a better opportunity for capturing market share.

• Future development plans

Be aware of any future infrastructure or commercial development plans in the area, as they could significantly impact the site’s profitability.

How to get the upper hand with location intelligence software

In today’s data-driven world, leveraging technology is not just an advantage; it’s a necessity. Location intelligence software can provide gas stations with a competitive edge in several ways:

• Data driven site selection

Detailed insights into traffic patterns, demographics, and competitor analysis, will enable you to make informed decisions based on comprehensive data.

• Market analysis and sales forecasting

Predictive analytics can forecast future trends in demographics, vehicle ownership, and consumer behavior, helping you to identify emerging opportunities — and future proof your business.

• Optimizing services and offerings

By understanding your current performance alongside the specific needs and preferences of the local customer base, you can tailor your services to meet market demand, and increase your sites’ attractiveness.

• Stronger negotiation

Informed by reliable data, you can enter negotiations with property owners or developers with a stronger understanding of the site’s potential value, to help secure more favorable terms

If you’re not using intelligence to select new sites – you’re competing with people that are.

Adopting a strategic approach to site selection and negotiation is essential. In a market where every advantage counts, leveraging location intelligence software is not just an option; it’s a critical component of staying competitive.

As you navigate the complexities of expanding your gas station portfolio, remember that the right tools and strategies can turn challenges into opportunities for growth. In the fiercely competitive fuel retail market, being informed, strategic, and forward-thinking will set you apart from the competition, paving the way for your business’s success.

What data and software is available for US gas stations and convenience stores?

Kalibrate Fuel Planning:

Built specifically for fuel retailers, Kalibrate Fuel Planning allows you to

• Test the impact of changes to your sites
  Identify opportunities in your market
  • Understand where to invest and where to divest
  • Grow profitability in the face of increased competition
  • Measure network performance and maximize ROI

Fuel Site Analysis:

Kalibrate’s Fuel Site Analysis provides a detailed report into a single gas station location — giving your business a complete view of customers, competitive landscape, store sales, and fuel volume potential.