Rising Fuel Costs - Passing the costs to your customer?

[StayedReady]

We run multiple direct drive units and costs of gas has been killer. Gas in SF Bay Area is, on average, $6.29.

Is anyone out there charging a fuel surcharge? If so, how? Percentage? Flat fee?

Please lmk.

 

[Cleanworks]

We run multiple direct drive units and costs of gas has been killer. Gas in SF Bay Area is, on average, $6.29.

Is anyone out there charging a fuel surcharge? If so, how? Percentage? Flat fee?

Please lmk.

Fuel surcharges just make the customer feel nickel and dimed. Just raise your prices accordingly.

 

[FB19087]

"Add an $8.00 environmental fee to each ticket for fuel and water disposal."

 

[Trip Moses]

I went up $20 on every line item recently

 

[Mikey P]

Run Seafoam to make up the difference.

 

[Dolly Llama]

I reckon labor is the highest percentage of costs
What percentage of fuel costs for a truck on an average day?


LTA

 

[Dolly Llama]

Per truck, 20k miles @15 mpg and 700 hours on TM
would add $6000 or so a year to costs if gas was 3 bukz more compared to two-three years ago

I’d work that into your pricing rather than line item it
Cause gas ain’t going down any time soon



LTA

 

[hogjowl]

Oh shut up Larry.

 

[Dolly Llama]

Nope

LTA

 

[Mikey P]

He's funny looking , but correct.

 

[Nomad74]

Ok so lets say you are paying $6k more a year for fuel and averaging 20 jobs a week. . 52 weeks in a year = $115.38 per week increase in fuel. Divided by 20 jobs per week is $5.76.per job you need to increase.

 

[Trip Moses]

My prices were too low. I’ve gotten zero pushback on the increase.

 

[Nomad74]

I haven’t gotten any pushback. I think people are just accepting it.

 

[The Great Oz]

We have added a surcharge for the first time. Ten dollar flat fee starts today. We'll see if people react negatively.

I'm also concerned about people that say nothing but think we should have just hidden it in a price

 

[FB19087]

Isn't gas usually hidden in the prices we pay for goods and services?
Is the line item meant to be a political statement?

 

[The Great Oz]

Isn't gas usually hidden in the prices we pay for goods and services?
Is the line item meant to be a political statement?

Most people don't remember this began right after Biden was elected and absolutely believe that it's all Russia's fault. In my town (predominently blue) anyone that understood this as a political statement would be angry, so we'd want to steer away from that.

 

[steve_64]

Perfect time to raise prices. Line item fee isn't enough. We need a raise to keep up.
I went from $50 a room to $75.
I keep pushing Gennys up too. $30 to $40 an hour in less than a year.
When we me she was $20

 

[Cleanworks]

I've added about $25 to every job. Where I was $150, I am now $175. The larger the job, the easier it is add an increase.

 

[Trip Moses]

When I said said line item I was referring to what I charge for rooms, etc….

 

[Dolly Llama]

I'm also concerned about people that say nothing but think we should have just hidden it in a price

I'm not sure what that means, Bryan

Do you expect fuel prices to be substantially lower and this is just a short term blip?
when/if gas goes down 2 bukz a gal, you'll remove the surcharge?

otherwise, the cost of doing biz has risen.
No one is "hiding" anything by raising prices


..L.T.A.

 

[SamIam]

I reckon labor is the highest percentage of costs
What percentage of fuel costs for a truck on an average day?


LTA

Mine use to be 2 to 3 % it's jumped to over 7%

 

[SamIam]

Ok so lets say you are paying $6k more a year for fuel and averaging 20 jobs a week. . 52 weeks in a year = $115.38 per week increase in fuel. Divided by 20 jobs per week is $5.76.per job you need to increase.

I would say gas has increased about $150 per week $7800 more then when it was $2.50 a gal.

That's using 50 gal a week

And avg $5.50 a gal now.

 

[Nomad74]

I would say gas has increased about $150 per week $7800 more then when it was $2.50 a gal.

That's using 50 gal a week

And avg $5.50 a gal now.

ok, haha

 

[The Great Oz]

We'll remove the surcharge if gas drops below $4.50.

 

[aaronjumps]

Run Seafoam to make up the difference.

For those that are unfamiliar …

 

[Meter Maid]

I stopped taking credit cards.

 

[todg]

I don't leave the house unless it's $475 I working less and making more...Isn't that the reason why you work for yourself?

 

[todg]

I stopped taking credit cards.

Cash or Check for me as well...

 

[hogjowl]

Neanderthal

 

[steve_64]

I stopped taking credit cards.

I never have.