TA Ontario Ca, New Rules and fees

cheri1122

Veteran Expediter
Driver
I do not know what their profit is on fuel.

I know that the discounts we get are large and many of the companies get these discounts. The independents pay the cash price and when talking to these guys they are pretty bitter about this.
As Phil mentioned, they're not offering discounts out of the goodness of their hearts, but because it guarantees them more customers - apparently, enough to keep offering it.

Somewhere the difference has to made up with many more drivers eating in the their trucks and tightening their belts on spending.
Agreed. But as the places that charge for parking are primarily the ones with almost no competition [Laredo being an exception], it's hard to believe that they 'need' to make up a difference that the rest don't.

 

layoutshooter

Veteran Expediter
Retired Expediter
Agreed. But as the places that charge for parking are primarily the ones with almost no competition [Laredo being an exception], it's hard to believe that they 'need' to make up a difference that the rest don't.



For the most part I agree, but, this one is in California AND the L.A. area. A double wammy from the tax man to be sure. Not to even mention what "special" environmental fees that they may have because they are in California.
 

layoutshooter

Veteran Expediter
Retired Expediter
So is the Pilot in Castaic, and they don't charge for parking.

Just speculating. That is a bit further out from L.A. though. There could be many reasons. Maybe they are trying to keep out some of the rifraf? Who knows? I doubt that they did it just for the fun of it. I would think they had what at least in their mind was a valid business reason for it.

I do know it will have an impact on what I do. I will do my best to avoid that place as much as possible. It is pretty nasty. Headed out that way tomorrow. Already looking for a better place. The ideal would be a nice pre-dispatch out of Barstow. More options there.
 

jjoerger

Veteran Expediter
Owner/Operator
US Army
We always hated that place anyway. The train blasting it's horn every 18 minutes was enough to drive us crazy.
 

rooster21

Seasoned Expediter
Oh yes, the trains freaked my wife out so bad she thought it was a truck coming through the sleeper....it was a sight.

Posted with my Droid EO Forum App
 

layoutshooter

Veteran Expediter
Retired Expediter
The ONLY thing we liked about it was that you could cross the expressway and there were places to walk and several places to eat on the other side. ALL better than the TA for food.
 

arrbsthw

Expert Expediter
Even if some people cook in their trucks (which I do also) have you seen the price of the snacks and drinks inside. They are marked up really high. The price of everything inside is higher than a regular store so they are making a profit there. If they own the restaurant or fast food place they are certainly getting profit from that. It has gotten ridiculous to eat at fast food.. It is right at $15.00 for 2 meals unless we eat off the $$ menu.

There are times when we are on a run and I don't cook so we do have to eat somewhere.
 

TeamCaffee

Administrator
Staff member
Owner/Operator
It is a vicious circle we do not buy anything in the stores and we get deep discounts on our fuel which leads to pay to park.
 

TeamCaffee

Administrator
Staff member
Owner/Operator
I talked to Pete district manager 50 gallons one night free 100 two nights free 150 three nights free. If you have bought fuel within three days at any TA you can use this fuel ticket for the appropriate parking with the amount of fuel that was purchased. If you have the Ultra One card you can use the coupon for a day of parking.

He said they are not looking at changing the Expedite parking in the front lots. The bob tails are not allowed to park in front as the permitting with the city will not allow it.
 

layoutshooter

Veteran Expediter
Retired Expediter
I talked to Pete district manager 50 gallons one night free 100 two nights free 150 three nights free. If you have bought fuel within three days at any TA you can use this fuel ticket for the appropriate parking with the amount of fuel that was purchased. If you have the Ultra One card you can use the coupon for a day of parking.

He said they are not looking at changing the Expedite parking in the front lots. The bob tails are not allowed to park in front as the permitting with the city will not allow it.

Is that as ALL TA's? Do the local store managers know all of the above? Please explain the Ultra One card part, not sure I understand. Are they saying that showing the card gets you a day of parking?
 

TeamCaffee

Administrator
Staff member
Owner/Operator
The Ultra One Card has coupons and you would need to print the coupon at the Kiosk.

From what Pete told me there were several TA's that participated and that a fuel ticket from another TA will work.

What do the local store managers need to know? The stores have not changed.
 

layoutshooter

Veteran Expediter
Retired Expediter
The Ultra One Card has coupons and you would need to print the coupon at the Kiosk.

From what Pete told me there were several TA's that participated and that a fuel ticket from another TA will work.

What do the local store managers need to know? The stores have not changed.


Thank you for the info. It helps a ton.

Is there a "list" of stores that participate? A company wide policy would be nice. We changed our fueling patterns on this load so we would not have to pay at that TA in Ontario. IF there was a defined company policy that could be depended on we would have done differently.
 

layoutshooter

Veteran Expediter
Retired Expediter
The Ultra One Card has coupons and you would need to print the coupon at the Kiosk.

From what Pete told me there were several TA's that participated and that a fuel ticket from another TA will work.

What do the local store managers need to know? The stores have not changed.


Thank you for the info. It helps a ton.

Is there a "list" of stores that participate? A company wide policy would be nice. We changed our fueling patterns on this load so we would not have to pay at that TA in Ontario. IF there was a defined company policy that could be depended on we would have done differently.
 

ATeam

Senior Member
Retired Expediter
I talked to Pete district manager...

Thank you for doing that research. Diane and I appreciate the info as I'm sure many others will too.

However, don't be too quick to assume that TA is not making money off the fuel they sell us. No way they are giving it away. Even at the nice discount we receive, they are making enough to justify the discount and keep their doors open. Their fuel prices have been in effect for a long time and they are pouring millions into upgrading their facilities. If they were losing money on us the discounts would be stopped, don't you think?

I know nothing about how truck stops make money but I believe they do not give their fuel away. Looking into this a little deeper (very little), I found this travel plaza business projector sample with a Google search. Notice the projected diesel fuel margain after discounts of $0.12 per gallon.

Loooking into it more, I see that TA is publicly held, meaning we can learn quite a bit about the company by digging onto the numbers. I'm not going to do that in depth because the only point I wish to make here is that TA is making good money off fuel sales, even at discounted prices.

I can't speak for them, but it seems that a decision has been made to discount the price to gain volume and thereby make more money overall. It helps too, I would be inclined to believe, to use discounted fuel to draw truckers in and then cross sell other merchandise and services.

From the Motly Fool web site:

"Fuel represents only approximately 25% of TA's gross profit. In addition to making money on fuel and non-fuel services/products, TA also collects rents and royalties on subleased space. In addition, TA owns the land and buildings for nine of the locations and a handful of additional land parcels for future development. Together, this represents approximately $50-$75 million in additional value."

From the Journal of Commerce web site (note the 2010 date):

"TA’s overall fuel revenue leaped 73.5 percent from a year ago to $1.18 billion. But its fuel gross margin dropped from $60.5 million to $50.2 million.

"Revenue from non-fuel sales increased only 1 percent to $261.8 million for the quarter while its margin shrank slightly, thanks to lower-margin products and services."

EDIT: Looking into this just a little further, I came across this white paper: Truck Stops and Truck Drivers - A Changing Relationship
 
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cheri1122

Veteran Expediter
Driver
Linder: thanks for the info - I didn't know that a fuel slip from another TA [within a few days] would suffice, I assumed it has to be from the one where you want to park. It's good to know, because sometimes, you just can't arrange to get fuel at a particular place for the parking.
 

MANIAC

Seasoned Expediter
Bob and Linda, We do utilize their facilities and we do patronize the c-store for drinks and other stuff, we bbq usually only 1 or 2 times per visit, but not every meal! We patronize the restaurant as well! We park out in front out of courtesy to the big trucks! We always leave the front of the lots where we park cleaner than what we find when we get there! "Breakfast In The Parking Lot" was founded on the principles of LEAD BY EXAMPLE, leave it cleaner than the way you found it, and commradery and fellowship!
 

cheri1122

Veteran Expediter
Driver
While I was getting coffee at a Pilot yesterday, I noticed a flyer on the wall, appealing to potential job applicants - one thing that struck me was the fact that "Pilot has paid out 13 million dollars in bonuses last year" and not a single location [that I know of] charges for parking.
Maybe the full service restaurants are dragging them down, but why should we subsidize them by paying to park?
 

bubblehead

Veteran Expediter
Bob and Linda, We do utilize their facilities and we do patronize the c-store for drinks and other stuff, we bbq usually only 1 or 2 times per visit, but not every meal! We patronize the restaurant as well! We park out in front out of courtesy to the big trucks! We always leave the front of the lots where we park cleaner than what we find when we get there! "Breakfast In The Parking Lot" was founded on the principles of LEAD BY EXAMPLE, leave it cleaner than the way you found it, and commradery and fellowship!

We were at the ONT TA on the 24 & 25. I was up at 0400 on the 25 preparing for an early delivery in Irvine when I noticed an employee pushing a yard cart to pick up trash in the front lot where we were parked with other expediters. Notably, he never had to stop to retrieve trash along the entire line of expedite trucks. That speaks volumes of our industry! I truly hope that this trend continues at all locations where they have parking available up front and that all expediters are mindful of the benefits of keeping your area tidy.
 
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