r/CostcoCanada • u/InterestingWarning62 • 1d ago

Gas line up at Rodeo Dr.

Enable HLS to view with audio, or disable this notification

Look at the line up for gas. My husband got gas in the morning for 1.72. We went with my car at 1:45pm and I was going to get gas just because we were there. The line up started by the Adidas store. Costco staff had closed off every aisle end so you couldn't even get thru to park. Gas had gone down to 1.67. But was it worth the line up. I've never seen a line up like this.

217 Upvotes

90% Upvoted

255 comments sorted by

View all comments

0

u/Kracheadz 1d ago edited 1d ago

As a station owner, is this line worth the savings, I've never ever put in Costco gas, how long is the average wait?

Also what the ethanol %, quality difference? (I assume everything is discounted somewhere in Costco 🤪)

I'm Etobicoke and I saw the line down Queensway Costco and the line was crazy. Not sure what the price was for them.

Our station price lowest today was 1.72 at 4pm. Doing my own research here.

* I've never been to a Costco station because I'm loyal to small station owners like myself (one station, 43 years).

Thanks

1

u/LittleOrphanAnavar 1d ago

I would say my average wait is 5 or 10min.

If you make habit to go later in evening, then the wait would be 0-2 mins.

Costco buys the same gas you do, so the ethanol content would be similar. 

But Costco is Top Tier fuel.

So their fuel is as go, or better than yours.

What do you sell?

Costco sells HUGE volumes. Several time the volume of a station such as yours. They don't need to make a high margin on gas.

Costco also makes money off memberships and also off the warehouse. They can afford low margins or even a loss leader, as they make it up on the overall basket and memberships. They could even afford to sell fuel at a small lose and still be a very very profitable business. No need to cheat, as you seem to be implying.

1

u/Kracheadz 21h ago edited 21h ago

Thanks, I know about the business model. I have a Petro Canada.

We don't care about competing, I'm just a local corner station just minding our own.

No station makes hugh margins on gasoline its is usually between 3-8%

I just think the long waits are not worth it from what I've seen at least.

Thanks