Texas Insider Report: AUSTIN Texas In the past week the price has been rising a penny a day to a national average tonight of $3.79 a gallon. Thats up half a dollar since the start of the year. No doubt youve noticed the meter on the gas pump is moving faster and faster these days.
Worried about high gas prices? Join the club the warehouse club that is.
Rising fuel prices are pumping up gasoline sales at big box chains including
Costco Sams Club and Westboro-based BJs which often offer gas at rock-bottom prices.
Wholesale clubs generally use gasoline as a loss leader so we often find some of the best prices there said Patrick DeHaan of market tracker Boston GasPrices.com.
Yesterday the Revere BJs and Danvers Costco were tied with eight other stations in offering Greater Bostons cheapest gas: $3.59 a gallon for self-serve regular.
Thats well below the $3.75-a-gallon average up 3 cents over the last week that BostonGasPrices reported for the Hub yesterday.
Warehouse clubs cost around $50 a year to join but consumers who sign up can get big discounts on a wide variety of goods often including gas. Nine of BJs 24 Massachusetts stores have members-only gas stations while one of six
Bay State Costcos sells fuel. Sams Club also plans to open its first Bay State gas station next month in Worcester.
BJs spokeswoman Kelly McFalls said her companys gas sales are rising with todays high prices while Costco recently attributed much of its quarterly revenue gains to fuel sales.
Dan Geiman who follows Costco for Seattle financial firm McAdams Wright Ragen said warehouse clubs sell gas on the cheap partly to get shoppers inside the tent.
Theres no question that (low-cost gas) does get people into the stores he said.
Stop & Shop which operates gas stations at 35 of its 130 Massachusetts supermarkets and doesnt require annual membership to fuel up is also reporting brisk fuel sales.
The Danvers Stop & Shop was one of the 10 stations offering $3.59-a-gallon fuel yesterday.
Spokeswoman Suzi Robinson said the grocery chains popular Gas Rewards program can knock as much as $2.20 a gallon off that.
But not everyone is filling up on discount gas.
Lance LaGrange of Hyannis bought fuel for his minivan yesterday at a Cambridge Shell selling premium at $4.39 a gallon the highest price in town according to BostonGasPrices.com.
Its ridiculous but what can we do? La Grange said. Your car has got to run on gas.
