TSD Fuel Program Update

[JKellerJr]

similar here. 1.91 vs 2.07 regular cost, The TA down the street is 1.67

Filled up for 1.31 a couple of weeks ago at loves

[Rovers]

similar here. 1.91 vs 2.07 regular cost, The TA down the street is 1.67

Filled up for 1.31 a couple of weeks ago at loves

Disappointing for sure - there aren't that many TA/Petro stations along the routes we'll be taking this summer but there are certainly Love's stations. Doing a bit of research at stations along one of the routes to Chattanooga it looks like the TSD Logistics discount at Love's still gives between 15 and 29 cents a gallon - certainly a nice discount but we're spoiled by what we've gotten up to now.

Anyone else try calling TSD's customer service line?


Bob

[FR8TFLYER]

I replied to the latest email they sent when they added ta/petro. She replied right away and said the loves is .16 below retail. That is a change from a few days ago.

[Overtaxed]

I replied to the latest email they sent when they added ta/petro. She replied right away and said the loves is .16 below retail. That is a change from a few days ago.

"Change" might be an understatement. On 5/3 I fueled at Loves, 38 gallons 1.33/gallon, 51 dollar subtotal, 39.06 discount. Close to 1/2 price. .16? TA is like 5X that much (discount). I wonder what happened?

This is really strange, it seems the more popular TSD gets, the more stations they lose. I'm not sure I understand what's happening here, you'd think that the more popular they get, the more stations would want to join them and sell their fuel? Could this be Good Sam again? Do they have any deal with Loves?

It's just really odd, I'd love to know what's actually going on here. Actually, I'd love to know what's actually going on here all the way around, the economics of this entire plan don't make sense to me, I'm buying diesel well below the cost of heating oil picked up at the distributor, I just don't know how this entire thing works. But, that said, apparently TSD and the fuel station are making money here, so why are we losing stations?

[traveldawg]

I think when this program first started the discounts were around .35 to .50 per gallon. It was nice that Love did start giving a great discount but I think those days might be over. While I don't think this virus thing had much to do with trucks using less fuel or anything like that I am wondering if it is market driven (e.g. price of oil or oil futures or something like that.

[Overtaxed]

I think when this program first started the discounts were around .35 to .50 per gallon. It was nice that Love did start giving a great discount but I think those days might be over. While I don't think this virus thing had much to do with trucks using less fuel or anything like that I am wondering if it is market driven (e.g. price of oil or oil futures or something like that.

We've lost Loves and FlyingJ in the period of what, a month? I'm not sure what's going on here, but whatever it is, I hope it reverses. The discounts are just too big, even now, filling my tank, I can save 20-40 bucks every fill (about 1/2 the cost). That's an enormous discount. And, as I mentioned previously, when FlyingJ left the program (which is like 2 miles from my house), I went out and bought a transfer tank to go to Loves so I can get close to 200 gallons at a time, now we're talking hundred + dollars saved per fueling. I'll just have to drive in the other direction now to TA, but still, come on, this stinks!

TA, 1.34/gallon, Loves, 2.00. Yeah, I'm driving it for close to 1/2 price!

[traveldawg]

We've lost Loves and FlyingJ in the period of what, a month? I'm not sure what's going on here, but whatever it is, I hope it reverses. The discounts are just too big, even now, filling my tank, I can save 20-40 bucks every fill (about 1/2 the cost). That's an enormous discount. And, as I mentioned previously, when FlyingJ left the program (which is like 2 miles from my house), I went out and bought a transfer tank to go to Loves so I can get close to 200 gallons at a time, now we're talking hundred + dollars saved per fueling. I'll just have to drive in the other direction now to TA, but still, come on, this stinks!

TA, 1.34/gallon, Loves, 2.00. Yeah, I'm driving it for close to 1/2 price!

We have not lost Loves. Check your EFS & Loves apps. You will see the difference. Admittedly, the discount isn't what it was a month ago, but it is a discount. I suspect we'll always see these variations.

[ScopesNC]

Here is what TSD posted on their FB page .

" I know everyone noticed the reduced discount at Loves today. They are still on our discount network, just pulled back a little on the discount. We all knew that the large discount couldn't be sustained with the low fuel prices. However TA is being aggressive during this time with their discounts trying to win customers over. Discounts will fluctuate over the course of time which is why we are working on expanding our discount network to have flexibility so when one is low you have other options to choose from. Keep looking for the lowest price regardless of the chain."

Bottom line I think the fuel price is so low now Loves can't give the deep discounts they were giving. Other than Pilot I get the feeling this will be a changing thing all the time. Loves was good for a year. Looks like it's TA and Petro for this years deep discount. I don't know how any of them can go but so low. The price of fuel is so low now. What are they going to do? Sell it to us at a loss? LOL

[Overtaxed]

Here is what TSD posted on their FB page .

" I know everyone noticed the reduced discount at Loves today. They are still on our discount network, just pulled back a little on the discount. We all knew that the large discount couldn't be sustained with the low fuel prices. However TA is being aggressive during this time with their discounts trying to win customers over. Discounts will fluctuate over the course of time which is why we are working on expanding our discount network to have flexibility so when one is low you have other options to choose from. Keep looking for the lowest price regardless of the chain."

Bottom line I think the fuel price is so low now Loves can't give the deep discounts they were giving. Other than Pilot I get the feeling this will be a changing thing all the time. Loves was good for a year. Looks like it's TA and Petro for this years deep discount. I don't know how any of them can go but so low. The price of fuel is so low now. What are they going to do? Sell it to us at a loss? LOL

Well, that's kind of good to know, glad to hear it wasn't something more systemic (Good Sam again, thanks for nothing!).

I continue to be fascinated by the economics behind this. To your last point, "sell it at a loss", no, I don't THINK they are doing that, but? Are they?!

In my area, Loves, on the app, is 1.99/gallon. TA is 1.33/gallon. Difference of .66/gallon between the two. So, what's going on?! What's the "buy price" right now on a tanker full of diesel per gallon? 1? 2? 1.20? Is TA buying it at 1/gallon and Loves spending 1.75? I've always thought that gas/diesel was a VERY low margin business. Like, if they are selling it for 1.99, they probably paid about 1.70-1.90 per gallon for it. I thought it was a volume business, not a markup/margin business. But, TSD is blowing that all to pieces for me. I sincerely doubt that TA is selling me diesel fuel at 1.33/gallon and losing money. So, let's just pick a number, let's say TA is buying fuel at 1.10 a gallon and selling it at 1.33, making about 20% on the transaction. If TA can buy at 1.10 a gallon, I can't see any reason that Love's can't buy at that price too, which means that if I go to my Loves and pay 1.99/gallon, it's almost 2X markup?! That's not a "low margin" business, in fact, it's an extremely high margin business. That would mean that my fuel up at Loves, assuming I do my truck and transfer tanks (about 200 gallons) would make them close to 150 dollars in 10 minutes? Holy crap! That's a money printing machine (a diesel pump, who would have thought it!).

I just don't get what's going on here from an economic standpoint. I mean, if TA can sell fuel at 1.33/gallon to TSD and make money, why aren't there some gas stations, even small independants, selling diesel at that rate to generate business? It's been boggling my mind since I got the TSD card, I just don't see how you sell a commodity like diesel fuel that entirely fungible and transparently (well, apparently not!) priced all up and down the highway at 20-50% off. It makes no sense to me, I said, jokingly, in another thread, I feel like I could make money now buying from TA and hauling it to Loves, selling it to them for 10% over what I paid for it, and they'd still make .50c per gallon selling it at their posted rate.

Since I don't think that anyone is selling below cost, what I do think that is that, specifically in diesel fuel, there are really 2 markets. The high consumption trucker market, where they pay a "TSD type" price, which is closely linked to the real price of diesel fuel. That's the "normal" low margin business that I thought was the entire fuel market. Then there's the other market, call it the "suckers market" where people pay close to 2X that for the small amounts of diesel that they need. All out of the same pumps from the same station selling the same fuel. Kind of like how you can buy premixed 2 stroke fuel at Lowes for 25/gallon or make your own out of no-E gas for about 3/gallon? Anyone using any appreciable amount of 2 stroke gas is going to pay 3/gallon, the "suckers" are going to pay the "posted rate" at Lowes?

I love my TSD card, and I'm so glad that they do what they do; hopefully the discounts at Loves come back in line, but, for now, it's TA for me. But it boggles my mind every time I fill up and see these huge discounts, I just don't know how they can do what they do, but I'm real glad they do it! I just hope they get into other commodity markets soon, let's find a way to buy gold at 1000/oz.

[ScopesNC]

Heck if they can save me money at all I'm happy. If they can save me a lot like they have been doing then I'm dancing. ( Yeah I know it looks funny) .I don't know how they make these deals. I get the feeling its who needs the business the most as to who drops the price and makes the best deal with TSD. I have not used any of the smaller truck stops yet like Road Ranger so I do not know how low they are priced. Over all my guess is will save on average around .40 cents a gallon. With the big ones being TA and Petros for now. It is hard to figure all of this out though. Let just hope it continues to be a good thing and not just the 5 or 10 cents off like all the other discount offers have always been. Good yes , but .70 to 80 cents off to the gallon gets one kind of spoiled.