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$8.50 for 5W30 good?
So, I was trying to rebrand to Castrol but now I am just thinking about the possibility of remaining with Havoline.
Havoline offered to give me a contract price of $8.50/gal on 5W30 bulk purchase. I also get 20 cents up front money. The contract price will fluctuate as the market price goes up or down. But, for now it's $8.50. Is that a good price, do you think?
-tom
Replies
why lock yourself in to a specific supplier? I promise you 95% of your customers do not care what kind of oil you use. If you ask them specifically "What brand oil do you want?" they will come up with a brand only because you just forced them into an answer. The vast majority of customers are there at your place because they trust you, not the brand oil you use. Shop around. You are required to meet the customer's engine requirements for oil (quality, viscosity) but not a name brand. Only the oil companies think their brands are actually worth a premium; and some more than others.

