• Buc-ee's Opens First Florida Site; More to Come

  • Buc-ee's Opens First Florida Site; More to Come

    For the first time, Buc-ee's is selling fuel in the Sunshine State thanks to a
    grand opening in St. Johns County near the Interstate 95 interchange. Another
    location in Daytona Beach is expected to open in March.

    Some observers are a bit surprised that the mega-marketer is not a bit more
    aggressive on its retail fuel price. The best price available for rack E10 in
    Jacksonville this morning was $1.815/gal, and the location commands some
    53cts/gal in federal, state and local taxes. Adding a penny or two for freight
    lays product into the supersite for about $2.36/gal, and brisk sales today were
    reported at $2.499/gal. That gives Buc-ee's, known for very aggressive pricing
    in Texas and elsewhere, an implied gross margin of nearly 14cts/gal.

    The location has some 104 fueling positions and is expected to move volume that
    surpasses the busiest fuel centers at Costco or the largest truckstops.

    While the new site doesn't cater to heavy trucks, it does provide diesel at an
    initial price today of $2.659/gal. The best diesel rack price in Jacksonville
    this morning was $1.902/gal, so with 2cts freight, that product lays into the
    site at a cost of $2.522/gal, implying a gross rack-to-retail margin of
    13.7cts/gal.

    Floridian marketers familiar with the new site have no clue as to inside sales.
    The convenience store encompasses 52,600 square feet and has a wide assortment
    of items familiar to patrons of its 38 locations in Texas.

    Buc-ee's ranked as the number one fuel retailer in an OPIS survey based on
    volumes sold and market share within a one-mile radius for urban settings and a
    three-mile radius for more rural areas. Based on cell phone pings, Buc-ee's had
    a share of over 70%.

    --Reporting by Tom Kloza, tkloza@opisnet.com; Editing by Michael Kelly,
    michael.kelly3@ihsmarkit.com