navigator

Feeling stroppy this pm i sent the following questions to SHell.
I never expected a reply along the lines of "whoops sorry we'll reduce the price immediately", but i was surprised by this reply.It Appears to say
1. 90p is a price resistance point. i.e. sales drop if they try to go above it.
2. We'll only drop the price of optimax if forced to in highly competitive areas.
3. if you live in the country ...sod ya

My conclusion is if you live in a city shop about and compare prices with BP super.(AA web site can help here)
do peeps agree with shells assertion that "very often cheaper, than the prices charged by our competitors for super unleaded, an inferior product."


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My question
can you tell me why it is that:
a) optimax is at a premium price to super unleaded?
b) why the price has not fallen given oil prices have?
they shot up 4 p within days of the oil price moving up. yet the oil price has dropped but the price has stayed up..how do you justify this?
I always bought optimax but your reluctance to drop prices has meant i have movd to BP.

This was shells reply:
Thank you for taking the time to contact Shell UK concerning fuel prices.

On a factual basis, since the launch in 2001, on average Optimax has been 5-6 ppl more expensive than standard Shell unleaded, but there have been times (before the Iraq war, and more recently) when that gap has become compressed, when unleaded prices have been high and we have not wanted to raise the price of Optimax into the 90's.

Shell Optimax is about giving our customers a real choice when they fill up - a choice that our customers tell us they want, and which they demonstrate they want by purchasing Shell Optimax in ever increasing numbers. Shell Optimax is a unique fuel designed for those who love driving and wish to use a premium quality fuel to enhance their driving experience. Shell Optimax is unique - a superior, higher performance petrol than standard unleaded, or the super unleaded petrols offered by some of our competitors. Our customers know that typically they will find that the pump price for Shell Optimax is similar to, and very often cheaper, than the prices charged by our competitors for super unleaded, an inferior product.

Each service station is looked at individually regarding fuel pricing, taking into account a large number of different factors - different levels of throughputs, location operating costs, competitive intensity, distribution costs, traffic flows, and so on, plus the incremental cost of manufacturing Optimax. This means that although prices in local areas are often very close to one another, variations can occur when travelling further a-field. Shell does not have national prices for fuel, but fluctuates against competition in any given area. The most intense competition, and therefore the lower prices for all fuels, tends to occur in areas with high population densities with a number of high volume service stations.

As a direct result of the intense levels of competition in the UK industry, pump prices in the UK excluding excise duty and VAT are amongst the cheapest in the world.
Please be assured that your comments have been passed onto our Retail pricing department.

I would like to thank you for taking the time to contact Shell UK and for your interest in this matter. I hope you find the explanation helpful and that we may continue to enjoy your custom in the future.
Kind Regards

Kathryn Atkinson
Retail Customer Relations
Shell U.K. Oil Products Limited
Rowlandsway House, Rowlandsway, Manchester M22 5SB, United Kingdom

theotherphil

Here in Teesside, Optimax = 85.9p/l and BP SUL = 87.9p/l.....'nuff said.

kend

Birmingham: optimax 3p/l cheaper than bp, and 1p/l cheaper than texaco SUL

Wurzel

iTrader: (1)

Here in Germany we used to get Optimax at 99 ron now we have to make do with V-Power at 100Ron, maybe you should ask them why they are not selling V-Power in GB when they are selling it in all other EU Countries.

We know also have competition to Shell 100 ron in ARAL Ultimate 100 tis way less than 90ppl.

mrklaw

round Windsor way, optimax shot up to 89.9/l during the recent 'crisis'. Usually around 6ppl more than unleaded, it did compress, and it did seem likely that they didn't want to go above the 90/l mark.

After the crisis, unleaded dropped back a little, but optimax is still 89.9 in a lot of places. Perhaps this is just the compression relaxing to its original levels, but it does seem a tad harsh.

Maybe we should just be grateful that Shell doesn't want to go above 90/l. Surely if they did it would race towards 99.9 pretty sharpish.

hugo

You think these are mad prices! Last Friday I was driving from Dundee to Fort William and stopped to top up with Optimax in Perth, as I knew that it is the last point I would be able to get it on this journey. There is a 'Shell' garage at the junction of the M90 and A9 so I pulled in there. Wait for it 95.9ppl I have to say my blood pressure was up a bit when I saw this and went in to pay (can't get it back out can you?). Other prices for Optimax in the area are 10p less than this. I thought 'these people are taking the p!$$' so I asked to see the manager but was told that he was not there and that it is an 'independent' Shell garage and can charge what they like. The person in charge told me that they get a lot of complaints (no kidding!). The garage is a large one with all the usual Shell paraphenalia. I bet Shell wouldn't be to pleased to find out about these prices, especially as the garage concerned (in my opinion) is ripping off people with performance cars as they head off to more northern parts of Scotland where Optimax is scarce and you have to make do with SUL plus octane booster. I got the name of the owner and methinks I shall write a letter and copy it to Shell.
Rant over.
PS I think there was a thread on here a coulple of weeks ago about the same garage.

Poor Guy

doncaster 84.9p for Optimax

sti-04!!

Shell's reply back is saved on there hard drive & just copied & pasted onto about 300 other emails they get every week

Couldnt care less about the price unless it goes to £1 a litre............. 83.9p here

Sonic Blue Type R

iTrader: (3)

Thats what I want to know, why we don't get the option of 100 ron fuel, that really pi$$es me off.

navigator

ok i'll ask them sonic blue.
STI-04 i kinda guessed it was a pre thought out "PR" reply.
Let me ask them "Here in Germany we used to get Optimax at 99 ron now we have to make do with V-Power at 100Ron, maybe you should ask them why they are not selling V-Power in GB when they are selling it in all other EU Countries."

eyeMAJIC

Yup, this was my thread here. If you want OPTIMAX in Perth, a 2 mile drive saves you 8p (yes, EIGHT PENCE) a litre.......

See here.....

http://bbs.scoobynet.co.uk/showthrea...=perth+optimax