Operations

High Fuel Prices Make Limousines More Economical

Posted on May 30, 2007 by LCT Staff - Also by this author - About the author

SALEM, N.H. — Rising fuel prices may add up to paying a couple of extra dollars to fill up the family sedan or van, but imagine paying $500 to fill your tank. That’s the case for Tom Brazil, owner of TNT Towing and Recovering in Salem, N.H. Every three days, the drivers of his big trucks make a $500 visit to the Citgo station. Even for his smaller tow trucks, fill-ups cost $100 a day.

Gas prices are hovering around the $3-per-gallon mark, fueling the fire of hard times for businesses that rely on gas to carry out their operations. Many are implementing fuel surcharges, while others are hesitant that a price increase would turn customers away.

Linahan Limousine in Salem, N.H., has added a small fuel surcharge to its fares, just as owners Eric and Wendy Schoneberger did during gas spikes when Hurricane Katrina hit. That way, customers will pay gratuities based on the standard fare, but losses can be compensated while gas prices are high.

“We figure we are used to paying the usual amount,” Wendy Schoneberger said. “From Windham to Logan, it usually takes about $17, but right now we charge a $2 to $3 surcharge.” If prices go above $3 a gallon, she said, they may increase the surcharge by another dollar. Currently, the average price of gas in Salem is about $3.01, according to AAA.

But there’s an upside to gas prices for some. Linahan Limousine is actually benefiting from the high cost of gas. Not only was the last year busy, but April was off the charts. “People are realizing it’s more economical to hire a limousine,” Schoneberger said.

The white board in their office often has notes from drivers on it, sharing where the best deal on gas is that particular day. Drivers are responsible for filling up on company credit cards, and they are always keeping an eye out for the lowest price, Schoneberger said. When — and if — prices drop, the company will do away with the fuel surcharge.

Source: The Eagle-Tribune

View comments or post a comment on this story. (0 Comments)

More News

Why Bigger Fleets Aren’t Always Better

eNews Exclusive: Chris Cardo discusses why downsizing might be the best move you’ll ever make for your business.

PAX Training Launches App For Chauffeurs

The global provider now enables each user to access educational and company info via iOS or Android devices at any time.

Go Riteway Celebrates 60 Years In Bus Business

The Wisconsin company started with just four school buses and now has 1,000 vehicles serving several ground transportation sectors.

Colorado Operator Buys Affiliate To Widen Service Region

eNews Exclusive: B-Line Express in Vail will now cover even more ground in the retail-heavy state.

Why Uber Can't Be Fixed And Must Be Shut Down

Analysis: The TNC's lower costs brought lower prices, with resulting popularity and growth. But its use of noncommercial cars was unlawful from the start.

See More News

Facebook Comments ()

Comments (0)

Post a Comment

Submit

Blog

See More

LCT Store

LCT Magazine - July 2017 $12.95 COVER STORY: * Why These Titans Work So Hard to Give it Away * *
LCT Magazine - June/Fact Book 2017 $47.95 * Facts & Stats * Directors & Guides *



Connect

Experience the three annual industry events for networking for business, showcasing vehicles and products, and getting the tools for success.

Read About Your Region

What’s Happening Near You?
Click on any state to see the latest industry news and events in that region.

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The number 1 resource for vocational truck fleets

Metro Magazine

Serving the bus and passenger rail industries for more than a century

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

Please sign in or register to .    Close