Goleta California University Chevron Price Gouging Its Customers
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Today I drove by the University Chevron in Goleta California and my jaw dropped. The price of regular unleaded fuel was $4.43 per gallon.We all know that fuel costs are extremely high. The primary causes are clear: deman, the cost of crude and the and the weak Dollar. But what does it mean when a gas station in a small town is $0.53 higher than the average price of other stations? It means that that gas station has a captive set of customers who are willing to pay substantially higher than prices than a station just a few blocks away.
How are they captive? Most of the customers are likely Chevron gas card holders and a substantial portion of those card holders buying gasoline from University Chevron are University of California Santa Barbara students whose parents pay the bill.
I was so shocked, that I actually got out of my car and asked a few customers why they are paying $0.53 more per gallon at University Chevron than at the stations just down the street. One customer told me, “I use the Chevron card and its close to school.” Another told me that she doesn’t pay attention. Her parents pay the bill. I can only think of a very few reasons someone would be willing to pay such a premium for gas that is the same as the one down the street.
I imagine people also buy gas from Chevron because of their rebate cards. Don’t count on those rebate cards to off set the higher prices. Chevron and other gas companies play tricks with “rebates cards.” Claiming up to 6%, but most of these programs ratchet down to 1 or 2% after 30 to 90 days. The idea of the rebate makes people feel they are getting a deal, but in reality, they are buying gas a much higher price that average (even with the rebate).
Sure, businesses should be able to charge whatever prices they see fit and let the market drive competition, but University Chevron in little Goleta California is ripping its customers off and they should not get away with it. Do we need any more upword pressure on gas prices? Let University Chevron know how you feel! Here is the contact information for the station:
- University Chevron
- 6895 Hollister AveGoleta, CA
- 93117
- (805) 968-2811
~DK
WTF! No way is it alright for one dude to wizz between another two dudes! That's in the Man Law ...
What I have observed is that gas stations seem to watch one another to see how high they can price ...
Gas/service stations are independently franchised and prices are not set by the corporations that own them, but by the franchisee. ...
Chevron is setting a bar for other stations to charge more. Chevron is choosing to do this. I understand ...
Chevron price gouging? No way :-P
The crack down should be on our education system, not Chevron. 
Yeah, I agree with the other post. This so-called university obviously is not a institution of Higher Education.
Is gouging ...
Mindblowing, but sadly very common, and in more contexts than just restaurants. A lot of it, IMO, is simple ...
Comment by Fred on 8 May 2008:
Chevron set this up as a test to see how stupid people are.
“I use the Chevron card and its close to school.” Another told me that she doesn’t pay attention. Her parents pay the bill.
I’m not pissed about the gas prices. I’m pissed that my tax dollars are being used to keep this idiot’s tuition costs down. What kind of moron doesn’t pay attention. She’s the reason that college guys invented roofies.
If people don’t pay for these high prices, this Chevron shutdown. But because of our moronic college students, they are in business. Our future is screwed!@
Comment by Tommy on 8 May 2008:
Yeah, I agree with the other post. This so-called university obviously is not a institution of Higher Education.
Is gouging of idiots really gouging? Sounds like a good business plan to me.
Comment by Jared Tracy on 8 May 2008:
Chevron price gouging? No way
The crack down should be on our education system, not Chevron.
Comment by Dean on 9 May 2008:
Chevron is setting a bar for other stations to charge more. Chevron is choosing to do this. I understand that the idiots who are buying gas are to blame, too, but Chevron is notorious for doing this stuff.
Pingback by Chevron Price Gouging? « Opportunity Knocks My Head on 12 May 2008:
[...] gas, gas stations, Goleta, oil, price gouging, students, taxes, tuition, UCSB, university Is Chevron Price Gouging? A friend of mine stopped at a gas station in Goleta, CA, the other day. He was shocked to see what [...]
Comment by Silver on 13 May 2008:
Gas/service stations are independently franchised and prices are not set by the corporations that own them, but by the franchisee. If he can get those university idiots to pay that price - more power to him.
Comment by Dean on 14 May 2008:
What I have observed is that gas stations seem to watch one another to see how high they can price gas. What I am worried about is University Chevron falsely setting a bar that the others will inch prices to and inflating the prices even more. Not everyone there are university students, but card holders or people who come off the freeway in need of gas.
Personally, I will just avoid University Chevron, but I thought posting the blog would at least raise a conversation.
Comment by Fred on 15 May 2008:
Silver is right. Gas prices are set by the franchisee. Like I said, the problem is idiots, not Chevron.