FLORHAM PARK, N.J. -- As the business of selling fuel becomes ever more complex, retailers are increasingly turning to fuel-pricing technology to maximize profits. That is one of the main findings from research conducted by KSS Fuels, a provider of fuel pricing and retail location software and intelligence. The company announced the results of a survey into retailers' fuel-pricing practices and attitudes on fuel pricing technology.
The survey, "Are you keeping up with industry fuel pricing trends?" included feedback from executives at retail petroleum companies operating more than 11,000 sites in 14 countries. According to KSS, the responses reveal a significant shift in the attitude of fuel retailers toward technology and a growing desire to understand how the combination of improved processes and predictive analytics drive bottom-line results.
The findings showed a trend away from in-house developed pricing systems to commercially developed and maintained applications, according to KSS, which said that 76% of respondents said they use a third-party pricing applications, with 62% choosing a KSS Fuels application.
According to the survey, the top three reasons a retailer invests in fuel-pricing technologies are to improve profit; to respond faster to competitor price moves; and to integrate with other systems to streamline the pricing process.
Of those investing in technology, 75% said they already use price optimization to support price decisions, while 68% of those said their biggest goal is to grow margin while maintaining market share. Nearly 70% described the application as easy to manage and maintain, which KSS said confirms that sophisticated analytics no longer require sophisticated skills to use and maintain.
"This most recent survey indicates a significant shift in fuel retailers' attitudes toward advanced analytics and decision support, highlighting that today's market conditions and increasing competition are demanding a more sophisticated approach to fuels pricing," said Bob Stein, president and CEO of KSS Fuels.
For a copy of the report and full discussion of the survey, contact your local KSS Fuels representative.
KSS Fuels is a provider of fuels pricing and retail location intelligence, with software, analytics and consulting solutions that draw upon more than 40 years of expertise and insight into the needs and opportunities of petroleum retailers. The company's global headquarters are in Manchester, U.K., with North American headquarters in Florham Park, N.J. as well as offices in Florida, Illinois, Ohio, Oklahoma, Texas and Canada and international operations in Brazil, China, India, Japan, Korea and Africa.