The Simple Solution
Most gas stations throughout the country continue to deny customers the ability to really "pay at the pump". In reality, gas pumps only allow customers using credit and debit cards to pay at the pump while cash customers must go inside. The implementation of technology that allows customers to pay for gas with cash, similar to how a vending machine works, would provide convenience to cash customers. This would be a great opportunity for gas stations to provide new changes that would set them apart from the rest of their local competition.
My solution to this opportunity would consist of a consulting service for gas stations. In this service, I would set up meetings with gas companies for the purpose of pitching them my business plan. The pitch will be the most important part of this process due to the opportunity being a large change. The loss of derived sales in-store from customers not coming in may have to be combated with an additional solution to win over company representatives. An increase in the gas prices for the convenience of cash purchases would be a decent solution, however there may be tension against that same rule not being implemented for credit/debit purchases. Another solution would be to argue that there would be an increase in demand for the gas station once people are aware of it's greater convenience for cash users. This may or may not be a feasible solution depending on what the results would be after a sample taken from a participating gas station.
Is going inside to pay really enough of a deterrent to supply this need? I think for most people it is not but then there are the people who are socially uncomfortable who would rather use this method. I think for that reason alone, this could actually happen. In essence, you are proposing a fully automated gas pump. I don't think it would have anything to do with the supply of gas and the pricing of gas but instead as a investment from the owners of the gas stations for thus newer technology and then they woulds hopefully make their money back off the crazy amount of successful money gas stations make. I think this could actually happen.
ReplyDeleteHello Sean,
ReplyDeleteI think you identified a problem very well. There are some people who don’t like to go inside the convenience store to pay for gas. Your solution is very clear and planned out. You even found an idea to combat the issue for the cost of less customers likely to go into the convenience store purchasing an item. I believe that the higher price for customers using cash at the pump will cause most of the customers to just go inside. Maybe you can also add in an option for customers to already order and pay for convenience items, then receive a receipt for it. The customers can then pick up the items at the convenience store’s register