ZEL - Z Energy.

[winner69]

no confirmation in Mikes release this morning.

with a presentation like todays anybody would be stupid to accept 6 bucks .... maybe 5 bucks tempting

[Grimy]

Does Z own a stake in Flick? I am a customer and last week I got an email saying they aren't taking on any new customers. Essentially, they are loosing too much money because spot price futures are too expensive.

Yes they do.

[sb9]

Might hit 3 handle today on back of investor presentation y'day.

[peat]

Unsurprisingly Z has a different view on transition to low carbon within the NZ economy than the Climate Change Commission. However if I'm going to be running petrol till as least 2029 (I like to get 10 years from a car) then a truckload of other people will also be doing it. So I suspect the CCC is more wishing that actualising.

However I note

Full time equivalent headcount was down 20%, or more than 120, from the December 2019 high, partly due to Z giving up on its strategy of concierge forecourt services delivering a greater margin and a move back to competitive pricing.
It said data shows Z discounted purchases are on par or lower than unmanned pricing. Market share decline had flattened and Z was clustered with most other brands for price perception.

I simply dont see this move back to competitive pricing.
And would also comment that in my view the other brands seem to have stopped being so aggressive in pricing cf Z but cannot see Z being relatively lower than they were before - all a bit anecdotal anecshmotal tho so all fwiw.

[Louloubell]

I'm quite excited about NZ Refinery stopping their core business. Doesn't this mean that all companies have to buy petrol etc and import it? This will improve the competitive position of Z and put it on an equal footing with the small players.

[Beagle]

Unsurprisingly Z has a different view on transition to low carbon within the NZ economy than the Climate Change Commission. However if I'm going to be running petrol till as least 2029 (I like to get 10 years from a car) then a truckload of other people will also be doing it. So I suspect the CCC is more wishing that actualising.

However I note

Full time equivalent headcount was down 20%, or more than 120, from the December 2019 high, partly due to Z giving up on its strategy of concierge forecourt services delivering a greater margin and a move back to competitive pricing.
It said data shows Z discounted purchases are on par or lower than unmanned pricing. Market share decline had flattened and Z was clustered with most other brands for price perception.

I simply dont see this move back to competitive pricing.
And would also comment that in my view the other brands seem to have stopped being so aggressive in pricing cf Z but cannot see Z being relatively lower than they were before - all a bit anecdotal anecshmotal tho so all fwiw.

91 Octane - Local Gull today was $2.169 and the Z around the corner was $2.309 after the 6 cent so called loyalty scam discount. Sorry there's no chocolate fish prize for guessing which station I stopped at to fill my car.

[sb9]

Wonder what's the comparable price down the road in other major fuel companies like BP and Mobil..

Btw, Gull has 12c discount promotion today and until midday tomorrow.

So, their comparable non-discount price is $2.289, not far from Z's $2.309, sometimes it pays to check full facts.

[Beagle]

Wonder what's the comparable price down the road in other major fuel companies like BP and Mobil..

Btw, Gull has 12c discount promotion today and until midday tomorrow.

So, their comparable non-discount price is $2.289, not far from Z's $2.309, sometimes it pays to check full facts.

All I reported on was today's observations.

[Beagle]

I see you are posting on ZEL. Might add my two cents - local Z station has been hidden away on Rangitikei Line with very few customers over the years. Very poor sighting from the get-go. Their prices are always last to change and usually on-par with price gougers extraordinaire BP. We have recently had an NPD station built on the same road which is a whopping 20 cents cheaper for 91, 25 cents cheaper for 95 and 30 cents cheaper for 100 (equivalent 98). There has been little price change from the local BP and ZEL, but I decided to quit my loyalty to Caltex and their app scheme and go whole hog with NPD if prices are that much different.

There has been a lineup every night I come home now and it isn't slowing down as people realise they shouldn't be having their eyes gouged out by 10%+ when they pull up to a pump. The shift towards autonomy and lower prices is being keenly felt as the cost of living continues to escalate (see: ComCom absolutely destroying the food duopoly today, not to mention the insane price of rent/housing...).

Sense Partners (Samuel Eaqub) also put out this report recently, which puts it into a bit of stark contrast: https://www.npd.co.nz/wp-content/upl...uel-Prices.pdf

ZEL are having their lunches eaten and I cannot see their "turnaround" strategy doing much unless it is to lower their prices drastically.

Post this on ST if you like 👍

[bottomfeeder]

I see you are posting on ZEL. Might add my two cents - local Z station has been hidden away on Rangitikei Line with very few customers over the years. Very poor sighting from the get-go. Their prices are always last to change and usually on-par with price gougers extraordinaire BP. We have recently had an NPD station built on the same road which is a whopping 20 cents cheaper for 91, 25 cents cheaper for 95 and 30 cents cheaper for 100 (equivalent 98). There has been little price change from the local BP and ZEL, but I decided to quit my loyalty to Caltex and their app scheme and go whole hog with NPD if prices are that much different.

There has been a lineup every night I come home now and it isn't slowing down as people realise they shouldn't be having their eyes gouged out by 10%+ when they pull up to a pump. The shift towards autonomy and lower prices is being keenly felt as the cost of living continues to escalate (see: ComCom absolutely destroying the food duopoly today, not to mention the insane price of rent/housing...).

Sense Partners (Samuel Eaqub) also put out this report recently, which puts it into a bit of stark contrast: https://www.npd.co.nz/wp-content/upl...uel-Prices.pdf

ZEL are having their lunches eaten and I cannot see their "turnaround" strategy doing much unless it is to lower their prices drastically.

Post this on ST if you like 👍

Years ago, I had a client with a service station in a regional main highway, through road town. Only one other service station in the town and a price war started. I suggested to my client, increase your prices and rely upon your service, shop, and food availability. It wasn't long that the other (desperate) station went broke. They are not price gouging. Its tough out there.