Fuel pricing software
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Fuel Pricing Software is a business tool intended to allow retail fuel marketers to determine the most appropriate price at which to offer fuel based on their pricing strategies.[http://www.csnews.com/top-story-petroleum-skyline_products_selling_fuel_pricing_software_as_stand_alone_product-56544.html "Skyline Products Selling Fuel Pricing Software as Stand-alone Product."] {{Webarchive|url=https://web.archive.org/web/20131029184105/http://www.csnews.com/top-story-petroleum-skyline_products_selling_fuel_pricing_software_as_stand_alone_product-56544.html |date=29 October 2013 }} Convenience Store News. 30 March 2010
Features
The software solutions were developed to help fuel retailers manage margins, sales and stock volumes in the face of fuel market price volatility, unfavorable supply arrangements, and price sensitivity of retail customers.Rigik, Erin. [http://www.csdecisions.com/2011/06/17/developing-a-fuel-strategy-amid-soaring-costs/ "Developing a Fuel Strategy Amid Soaring Costs."] Convenience Store Decisions. 17 June 2011[http://www.nacsonline.com/YourBusiness/FuelsReports/GasPrices_2013/Pages/HowRetailersGetSellGas.aspx "What Influences Gasoline Prices?"] NACS: The Association for Convenience and Fuel Retailing. This can even include managing fuel order placement and monitoring overall site traffic.{{cite news|title=Pricing - The Drive To Optimise |url=http://www.pagesonline.ie/issue/2013/Petrol_World_Issue_4_2013/#/20/ |accessdate=24 October 2013 |newspaper=Petrol World |year=2013 |url-status=dead |archiveurl=https://web.archive.org/web/20131029185405/http://www.pagesonline.ie/issue/2013/Petrol_World_Issue_4_2013/ |archivedate=29 October 2013 }}
Factors such as pricing of competitors, analysis of current market costs and sales for each grade of fuel are all considerations that affect the outcome of fuel prices. In addition to this, sales by related convenience stores can effectively subsidize the fuel, lowering the price.{{cite web|last=Magner|first=Lauren|title=Service stations and convenience stores battle the giants|url=http://www.ibisworld.com.au/media/2013/09/02/service-stations-and-convenience-stores-battle-the-giants/|work=IBISWorld|date=2 September 2013|accessdate=24 October 2013}} Some software is designed to integrate with point-of-sale systems, pumps, wetstock systems providers,{{cite web|title=Inform Information Systems wins deal to support EuroGarages' fuel pricing|url=http://www.petrolplaza.com/news/industry/MiZlbiYxNTI2NSYmMQ==|work=Petrol Plaza|date=7 June 2013|accessdate=24 October 2013}} and electronic price signs to automate instant price changes. This saves store staff the inconvenience of changing gas price signs manually and allows retailers to more responsively post optimal pricing,Pape, Pat. [http://www.nacsonline.com/magazine/PastIssues/2009/May2009/Pages/Feature_3.aspx "Sign of the Times."] {{Webarchive|url=https://web.archive.org/web/20130930143955/http://www.nacsonline.com/magazine/PastIssues/2009/May2009/Pages/Feature_3.aspx |date=30 September 2013 }} May 2009 even monitoring the market in real time.
Fuel pricing software is intended to replace manual or spreadsheet-based processes that could delay the update of fuel costs and jeopardize profit margins. Delayed updates of fuels costs can cause fuel buyers to pay more than necessary, with day-to-day price swings occurring at 3 cents nearly 50% of the time and 5 cents at just over 25%.Fontevecchia, Agustino. [https://www.forbes.com/sites/afontevecchia/2012/11/12/higher-gas-prices-here-to-stay-but-fuel-price-volatility-can-be-tamed/ "Higher Gas Prices Here to Stay, But Fuel Price Volatility Can Be Tamed."] 12 November 2012
Advances in artificial intelligence have further enhanced fuel pricing software. AI can predict how customer and competitors will react to price changes in different scenarios by analysing vast sums of historical and real-time data. AI can identify trends and provide dynamic, predictive, customer-centric pricing even in volatile markets.{{Cite web |last=Schechner |first=Sam |title=Why Do Gas Station Prices Constantly Change? Blame the Algorithm |url=https://www.wsj.com/articles/why-do-gas-station-prices-constantly-change-blame-the-algorithm-1494262674 |access-date=12 April 2023 |website=WSJ |language=en-US}}{{Cite web |date=24 March 2022 |title=A2i Systems - A2i Systems |url=https://www.a2isystems.com/ |access-date=12 April 2023 |language=en-US}}
Mobile Applications
Fuel pricing mobile applications for consumers, such as GasBuddy and Fuel Finder, are intended to locate the best prices on fuel according to their current location.Brady, Jeff. [https://www.npr.org/blogs/alltechconsidered/2012/03/26/149229284/finding-cheaper-gas-with-your-smartphone "Finding Cheaper Gas with Your Smartphone."] NPR All Things Considered. 26 March 2012[http://news.consumerreports.org/cars/2012/05/gasbuddy-app-can-help-save-money-on-gasoline.html "GasBuddy app can help save money on gasoline."] {{Webarchive|url=https://web.archive.org/web/20130615003728/http://news.consumerreports.org/cars/2012/05/gasbuddy-app-can-help-save-money-on-gasoline.html |date=15 June 2013 }} Consumer Reports. 4 May 2012