A new GasBuddy study intended to understand consumers’ brand loyalty and purchasing habits at the pump found that among the drivers that fill up four or more times per month, only 19% were loyal to a particular brand.
The GasBuddy study examined 500,000 Pay with GasBuddy members point-of-purchase data between Oct 2018 and March 2019. GasBuddy defines loyalty as making all stops per month at the same gas station. The study found that the more often the driver filled up, the more likely the driver is brand agnostic.
Highlights of the study include:
- 50% of drivers fill up four or more times per month. Among those drivers, 81% went to multiple brands, while only 19% went exclusively to one brand.
- It doesn’t change much for fewer fill-ups: of those who fill up three times per month, 77% went to multiple brands, while 23% went exclusively to one brand.
- The Midwest has the highest concentration of brand-agnostic drivers, followed by the South.
- Targeted offers: Showing an additional 5 cents per gallon incentive to net-new or disengaged customers has allowed fuel retailers to capture as much as 1 out of 4 of that segment’s fuel purchases.
“Unlike grocery and apparel retailers, the fuel and convenience industry is servicing a truly brand-agnostic consumer,” said Sarah McCrary, CEO of GasBuddy. “With on-the-go drivers sensitive to the price of fuel, the station location and the quality of the amenities, the key to seeing returning customers is delighting them with offers that are timely and relevant to their particular trip.”
Examining Pay with GasBuddy point-of-purchase data by region in the U.S., the Midwest has the highest concentration of brand-agnostic drivers, with 82% going to multiple brands in any given month. The region with the most loyal customers is the Northeast, with 24% of drivers who fill up 4 or more times per month visiting the same brand for all fill-ups. The rankings by region suggest that brands on the more congested coasts see less competition for loyal customers than the open areas of the south and Midwest.
Offering crowdsourced, real-time fuel prices at more than 150,000 gas station convenience stores in the U.S., Canada and Australia, millions of drivers use the GasBuddy app and website every day to find gas station convenience stores based on fuel prices, location and ratings/reviews.