Where does your money go?

9% Is not our profit, there is little retail margin (profit) left after we have covered all operational costs & investments
From an average 9% that a retailer like APCO receives, there are operational costs that we have to cover before we achieve any retail margin (profit).

APCO’s operational costs include:

Pay our Franchisee’s and Licensee’s
Running costs for 24-hour – 7 day per week businesses
Fuel transport and logistics
Wages and administration
Property Rent and utilities – especially electricity and rates
Maintenance and asset improvement costs
Capital investment on properties, facilities and equipment
Compliance and regulation
Marketing and sales costs for operating convenience stores 24/7

The cost of operating a service stations has increased more than 300% over the past 15 years. This makes fuel a very low-margin product. After covering these operational costs, there is very little left over for the retailer’s that make significant investment in facilities.

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Where does your money go?