Phillips 66’s three step process to growing retail fuel profits using EdgePetrol!

EdgePetrol has been working closely with Phillips 66 Limited in the UK for over three years. Owners of Jet brand, they have a network of over 300 dealer and company-owned sites.

Prior to using EdgePetrol for their company-owned estate of 11 stations, pricing at Phillips 66 followed a uniform strategy with a set differential for pricing premium grade fuel. Facing an increasingly volatile market as well as unpredictable volumes, they were looking to grow their profits without putting their volumes at risk.

Phillips 66 knew that optimizing their pricing strategy would require timelier access to additional data-points for each of their stations.

With access to real-time accurate volume and margin data on the EdgePetrol app, Phillips 66 worked with EdgePetrol’s Customer Success team to build a three step process to analyze, understand and execute a new strategy and identify their sweet spot for premium grade pricing.

Step 1 - identification and analysis of test sites - Phillips 66 were able to analyze Super Unleaded’s performance on a site by site basis. Using data directly from EdgePetrol, they were able to understand how performance varied on each site and identify which sites would be best to run a pricing trial on. ‍

Step 2 - introduction and monitoring of new strategy - after successfully identifying trial sites, Phillips 66 conducted a 14 week trial period, with regular meetings to monitor and assess the impact of the changes across those sites. They monitored transaction counts, average fills, and overall gallons sold as well as grade penetration, giving a robust and well rounded picture of local markets and shifts in performance. ‍

Step 3 - adoption of optimal pricing strategies - after analyzing this data Phillips 66 were able to identify their best performing pricing strategies. These strategies could now be rolled out across the entire Phillips 66 estate, with the ability to send prices directly to their site managers through the Edgepetrol app.

The Phillips 66 team were able to identify the optimal price points for premium grades across the entire Phillips 66 UK estate. As a result, profits for premium grades increased significantly, with the impact on volumes never being more than 5%.

Phillips 66's journey to a fully-optimized pricing strategy is typical of what independent fuel retailers can accomplish through the depth and usability of EdgePetrol's pricing data solution.