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darsben's avatar
darsben
Explorer II
Oct 25, 2014

The Costco effect

So I am at the S&B waiting for my departure date.
We got our first COSTCO Friday.
They opened their gas pumps up at $2.999 per gallon.
The other stations in the area which had been as much as $3.29 a gallon immediately dropped to either the same price or a few cents higher.
Costco dropped their price further to 2.959 per gallon and almost all the nearby stations have dropped to $2.999 with one even matching Costcos price.
Look at 13031 zip at gas buddy if you are curious
With the wholesale price of gas at $2.19 on the NYM and taxes in NY at about $.67 per gallon that is not bad at all
Roads and Routes

27 Replies

  • 4runnerguy's avatar
    4runnerguy
    Explorer
    Nov 01, 2014
    jessjerr1831 wrote:
    Anyone else have the same experience I did. Costco near me only sold 85 or 91 octane. Won't use 85 and the 91 has always been higher in cost than the 87 elsewhere. Does not pay to ask clerks why. They only say that is what we sell.

    You must be lucky to find 87 regular here in Colorado. I don't know that I've been to a station here with 87 octane regular anywhere in the state.
  • jessjerr1831's avatar
    jessjerr1831
    Explorer
    Nov 01, 2014
    Anyone else have the same experience I did. Costco near me only sold 85 or 91 octane. Won't use 85 and the 91 has always been higher in cost than the 87 elsewhere. Does not pay to ask clerks why. They only say that is what we sell.
  • tplife's avatar
    tplife
    Explorer
    Nov 01, 2014
    Okay, former South 'Jersey country boy here, and I'm talkin' Costco in SoCal, lower prices lately, not sayin' it's due to any market factors or ANYTHING, I get it, both of my posts were soon deleted, don't want to ruffle any feathers with the mods, as I was sayin' Costco prices are lower lately, etc., etc., LOL. :o
  • JimFromJersey's avatar
    JimFromJersey
    Explorer
    Oct 31, 2014
    Here in south Jersey, Pilot/Flying J, Coastal, and a few others have regular for $2.75ish. Don't really check diesel prices but I think I've seen it for < $3.00 in several places. It will drop further, even after the refineries start pumping out more heating oil. Supply & Demand.
  • dieharder's avatar
    dieharder
    Explorer
    Oct 27, 2014
    I have family that works in Costco that has a gas station. The way they determine their gas prices is a few cents less expensive than the stations around were the previous day. The more the stations around try to compete, the further down the price will go. The stations around won't be able to keep lowering their prices forever, though, and will have to settle at a certain level.
  • 4runnerguy's avatar
    4runnerguy
    Explorer
    Oct 27, 2014
    Our Costco in Eagle/Gypsum CO sells diesel. So if you're travelling through CO on I-70, it's worth making the loop on US 6 between Eagle and Gypsum to fill. Cheapest prices between Frisco and Grand Junction. Rarely a line. In fact this is the least busy Costco I've been to. For us, the gas prices are so much lower, it makes the 30 mile trip to Costco almost pay for itself in gas savings over filling locally. Plus, we get to have a "Costco Lunch" -- free samples as we shop!
  • mileshuff's avatar
    mileshuff
    Explorer
    Oct 27, 2014
    downtheroad wrote:
    It will settle out and Costco will be the lowest day to day.
    Only wish our Costco also pumped diesel.


    Some Sams Clubs have diesel if ones in your area. Some other stations have diesel lower however. I use GasBuddy app to look for who is cheap as it can change from day to day as to which station.
  • TOOBOLD's avatar
    TOOBOLD
    Explorer
    Oct 26, 2014
    My Costco has diesel! Bakersfield, CA. Rosedale store off Hwy 99. They are competing with Sams Club who also has diesel.
  • WyoTraveler's avatar
    WyoTraveler
    Explorer
    Oct 26, 2014
    In Billings MT Costco long lines but I get gas at Maverik a few miles south couple of cents cheaper and no lines. Go figure.
  • Gonzo42's avatar
    Gonzo42
    Explorer
    Oct 26, 2014
    As far as I know, no Costco in the San Gabriel Valley sells diesel. Wish it did. On the other hand, less than a mile away, Sam's Club does, and its price beats any station within miles, even Von's.

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