We know that buying fuel in bulk can be challenging, especially when considering the price fluctuations and the continuous changes in supply and demand. Here’s a list of five common mistakes companies make when purchasing wholesale fuel.
Purchasing Fuel Only When It’s Needed Immediately
Without a fuel plan and routine purchasing habits, we may always be at risk of not having fuel when we need it or running out due to supply shortages and market demand. We can avoid these challenges by keeping fuel tanks on-site to act as a reserve. This ensures we always have some available when needed. Calculating how much fuel we typically use on average and discussing our needs with a supplier ensures we’ll always be able to purchase enough.
Failing to do Research Ahead of Time
Doing research ahead of time can help us understand key elements of the market and fuel buying process. For example, it can help us figure out when is the best time to purchase fuel and compare fuel prices among various suppliers. While it may seem more convenient to go with the first supplier we contact, failing to do research can cost us in the long run.
Relying on a Single Source Fuel Supplier
When considering signing a contract or making a one-time purchase from a supplier, it’s important to learn more about where the supplier receives their fuel. If the supplier relies on a single source, they may be more likely to encounter fuel shortages and may charge higher prices as a result. Finding a supplier with several sources allows us to feel confident we’ll have reliable access to the fuel we need.
Being Hesitant About Long-Term Contracts
While a long-term contract may seem daunting, agreeing to a long-term commitment with a supplier can help save significant amounts of money and guarantee fuel supply, regardless of the market. This can give us peace of mind and allow us to feel confident in our suppliers. By helping lock in a fuel price, contracts also allow us to pay a consistent set amount for fuel, even if disaster strikes and the market falls victim to price gouging.
Lacking a Professional Relationship with Suppliers
Some fuel suppliers may provide better customer service than others, so it’s important to get to know the companies and people they work with. This can be especially beneficial when prices and demand surges or disaster, such as a hurricane, strikes because a supplier should be able to support their clients and help us get the fuel we need. Knowing our supplier also can help create open lines of communication and allow us to feel assured the supplier will answer texts, calls, and emails.
We know how important it is to have a consistent supply of fuel at a price we can afford. By avoiding a few of these simple mistakes, we can save time and money, and not have to worry about a volatile market or the ongoing changes in fuel supply and demand. Contact us to learn more about fuel supply options and stay informed throughout this important decision-making process.
