Friday, February 12, 1982
Daily Nebraskan
Page 7
Gasoline prices reflect
stations' diverse goals
By Duanc Retzlaff and Lori Sicwcrt
Service stations' freedom to set tltcir own gasoline pric
es lias resulted in prices varying by as much as 23 cents in
Lincoln.
Federal gasoline price controls were lifted in January
1981, according to a spokesman from the Federal Energy
Office in Kansas City, Mo.
The price of a gallon of regular gasoline recently ranged
from $1.16 to $1.35,9; unleaded gasoline prices ranged
from $1.22 to $1.44.8. These figures were compiled in an
informal telephone survey of 28 Lincoln service stations.
Some of the cheaper gasoline prices were at conven
ience , stores and others that sell self-service gasoline.
Wheeler's, 5640 Cornhusker Highway, had the lowest
prices for both regular and unleaded gasoline. Wheeler's is
primarily a hardware store.
Wheeler's manager Alan Svoboda, said the store uses
gasoline as a lead-in to get customers inside the store. The
store sometimes takes a loss on the gasoline, but makes it
up with sales of merchandise, he said.
Gas war
Jim Uiland, manager of Jim's Service, 3301 Cornhusker
Highway, said Wheeler's pricing practices are like a gaso
line war.
"They have more fun hurting the other guys," Hiland
said. "They won't admit that, but that's what they're do
ing." Hiland said a large chain like Wheeler's can afford to
sell gasoline at lower prices at some stations because they
make up the loss at other stations.
Customers are attracted to his station by the full ser
vice he offers, Hiland said.
At a full-service station, the attendant pumps the gaso
line, washes the windows, checks the oil and checks under
the hood. This differs from a mini-serve station, where the
attendent only pumps gasoline.
"I don't believe in self-service," Hiland said. "It isn't
what the customer needs or wants." He said most people
won't check their own oil or wash their windows.
Steven Bailey, owner of Shop Easy, 3735 N. 70th St.,
said competition from the nearby Wheeler's has forced
him to lower his gasoline prices.
"Wheeler's could care less if they make money on gas,"
he said.
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OIL.
Bailey said Shop Easy sells groceries to about 75 per
cent of its gasoline customers.
Save time
John Edwards, manager of Gas 'N' Shop, 2801 0 St.,
said most of the customers who buy gasoline also buy gro
ceries there.
"They can pop in, get some gas, get some milk and
combine two errands," he said. "They don't have to stand
in line at a grocery store."
Mclanie Riblett, an employee at the Kwik Shop, 1111
N. Cotner, said the store sets its gasoline prices to be com
petitive with other stations in its area.
"Gas is our main money-maker," she said. They sell
twice as much gas as merchandise.
Gasoline is not the main m.oney-maker at full-service
stations such as the Amazon Amoco, 1235 S. 1 1th St. Sta
tion manager Kim Stokes said they depend on profits
from renting garage space and tools to people who want
to work on their cars.
Terry Mead, an employee of Irv's Standard Service,
14th and High streets, also said the station does not make
money from its gasoline sales.
"The only thing that keeps us going is the shop work,"
he said.
The convenience of full-service and the quality of gaso
line attracts customers, Mead said.
"People are willing to pay a few cents more for a bet
ter grade of gas," Mead said. "If you get cheaper gas, it's
likely to have some water."
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