High Gas Prices Hurt Convenience Stores
Rising oil prices are forcing consumers to cut back on purchases at gasoline stations and convenience stores, Gulf Oil LP CEO Joseph Petrowski told CNBC. In an interview today with host Joe Kernan, Petrowski said both the number of fuel gallons and merchandise sold at Gulf is down as a result of the record February gas prices.
"We watch closely the 600 stores we own and operate," he said. "We're starting to see, like in 2008, some resistance." He added that when consumers are buying products at c-stores, they are opting for private-label goods. If gas prices continue to climb, c-store owners could be severely hurt, according to Petrowski, because getting people inside the c-store is much more important than selling gas.