So, we thought recession was bad and then the price of gas went up recently and made us rethink what our priorities are when it comes to our own budget.
On Oct. 6, my husband and I were passing through Sacramento and hoping to find better prices than we did in some cities prior to it.
We found that the price was the same that day pretty much everywhere we went at $4.75, so I thought by putting in $20 cash first at the city prior to Sacramento that it would help because it must be cheaper in the bigger city.
Actually, it was not since I found that my logic was wrong.
The price was $4.75 near the freeway and it did not get better inland which was $4.89.
When we were in Oregon that whole week prior to that Sunday, the gas prices were excellent at $4.01 a gallon or a bit lower in some places.
The station attendants over there are required to fill your gas for you too per state law, so you don’t have to even get out of your car. Wow, when was the last time we did that here in California?
It’s all about supply and demand and the online site Gas Buddy explains the reason for this gas hike through Patrick DeHaan, senior petroleum analyst for GasBuddy.com, “The increases come on the heel of various refinery issues, seemingly triggered by ExxonMobil’s Torrance, CA, refinery suffering a power issue earlier in the week. According to ExxonMobil the refinery in question has come back online, and retail prices may peak in the next few days.”
What is the result of higher gas prices in a business? Let me take you back to 1988, the last time I recall the price hike similar to this one.
It actually was mentioned in an article I read on the road which is how I was reminded of that exact time period- it actually is the last time the price gouging appeared.
The thing I recall then was that the price of gas was so high people compensated for their living expenses by doing away with extra activities.
This prompted small businesses especially to have creative advertisement, something most businesses know about in general anyway, but especially have to step up their marketing in times of budget crunch for consumers.
At the time I recall going up and down the boulevard and seeing businesses signs that were displaying their ads on the storefront.
One said: “Gas prices got you down? Come in and get 1/2 off a pie.”
A sandwich business posted this on their banner, “Beat Gas War with two sandwich combos for a $1 off.” What recession or increase of prices does to businesses is to force them to rethink how they get people into their door.
My personal favorite gas buster if I could come up with an ad would be, “Get Relief from the Gas Hike—Come in and be guaranteed a deal today!”
That could probably get some attention and perhaps I would lose some money in the bankbook, but who knows, maybe it would show customers that I am willing to stretch my dollar so that they can feel better about the dollars they are spending at my store (if I had one).
As they say, gas prices go up and respect in businesses is needed, so businesses do what they have to in order to keep the registers flowing.
What I think happens in the end is that our gas supply will go up again as normal and this hike shouldn’t be an issue. But I have to wonder, why is it that our state, the one with the most fuel supply for everyone else seems to not take care of its own back yard?
Enea Ostrich is a longtime resident of Seal Beach’s College Park East neighborhood.
