Thanks to the stalwart reliability of the diesel engine and it’s inherent lack of flammability diesel fuel at normal temperatures, this type of fuel has been a staple in the transportation and commercial industries for years. However its future in the US is somewhat uncertain due to the rise of alternative fuel sources. While electric vehicles may decrease the demand for diesel, the commercial industry is still likely to rely on diesel engines for years to come for their durability, reliability, and fuel efficiency. Convenience store owners can prepare for the changing landscape by offering both diesel and electric charging options to cater to a wider range of customers. In this article, we will discuss the future of diesel fuel in the US and its continued popularity in the commercial industry, as well as the advantages of diesel engines and how convenience store owners can stay ahead in the changing market.
Gas stations and convenience store owners nowadays have a tough job of being nearly everything to everyone. Customer now expect a convenience store to offer fresh fruit, a wide array of drink hot and cold, clean and spacious restrooms, and even fresh vegetables with the standard candy bar options – and that’s just inside the premises. On top of that, each location needs to accommodate a number of different customers.
For those with fuel pumps, a convenience store should be expected to service commercial trucks, local service-based workers like those in the towing service or heating and cooler sector, weekend traveler, teenagers, and everyone else in between. Undeserving one customer segment can open the store up to unwanted competition in an already high-competitive industry.
With the very real potential of 35% of electric cars on the road by 2050, convenience store owners with fuel pumps need to have a plan in place to adjust their strategy while not ignoring current high-margin customers that utilize diesel fuel. How they address the shift will depend on several factors such as the location of their store, the demographics of their customers, and the current market trends. For example, if a store is located in an area where diesel trucks and buses are still widely used, it may make sense to dedicate some of their pumps to diesel.
On the other hand, if the store is located in a heavily populated urban area, it may be more beneficial to install electric charging stations to cater to the growing number of electric vehicle owners.
In possible, convenience store owners with fuel pumps should consider offering both diesel and electric charging options to cater to a wider range of customers and maximize their profits. The key is to stay informed about the latest market trends and technological advancements, and be proactive in adapting to the changing needs of customers.
Why Diesel Isn’t Going Anywhere, Anytime Soon
One of the biggest advantages of diesel engines is their longevity. Unlike gasoline engines, diesel engines tend to last much longer and require less maintenance, making them an attractive option for fleet managers and business owners. This is particularly true for heavy-duty vehicles like trucks and buses, which need to run smoothly and efficiently over long distances and heavy loads.
Another advantage of diesel engines is their fuel efficiency. Diesel fuel has a higher energy density compared to gasoline, meaning that vehicles with diesel engines can travel further on the same amount of fuel. This makes diesel engines particularly suitable for long-haul trips, where fuel efficiency is key to reducing operating costs.
“I really can’t see an electric tow truck that can do what this thing does, and still be cost competitive on cost.”
Even if there were an alternative available, many service-based businesses are hesitant to make the switch. Take for example, Sunny Day Towing Company, a tow truck service in Charlotte NC, and frequent customer of the Speedway location on North Tryon Road in Charlotte.
“Our tow truck is a very expensive piece of equipment, and I absolutely need to keep this thing running for as long as possible to put food on the table. Even with another type of truck that’s more efficient, I would still need to keep this truck running due to the significant investment we’ve already committed.”, says owner JT Thompson.
Asked how much he has invested in the vehicle, “It cost our business over $130,000. And that was four years ago.”
Additionally, diesel engines are known for their superior performance and power, making them ideal for heavy-duty tasks like towing, hauling, and transporting goods. This is why diesel engines are still widely used in the transportation and logistics industry, where performance and reliability are critical to the success of businesses.
“I really can’t see an electric tow truck that can do what this thing does, and still be cost competitive on cost.”
While electric vehicles are diesel engines are likely to remain popular in the commercial industry in the near future due to their longevity, fuel efficiency, and superior performance.
While electric vehicles may gain traction in certain segments of the market, diesel engines will continue to play an important role in the transportation and logistics industry for many years to come. Convenience store owners who cater to the needs of commercial customers should consider offering diesel fuel at their locations to meet the ongoing demand for this popular fuel source.
