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The Fuelcard People dismiss Arval’s claims

Steve Clarke, general manager of The Fuelcard People, has dismissed recent claims made by Arval, the supplier of “no discounts” fuel cards  Arval that fleets using brand-specific fuel cards are ignoring an “issue” of “route deviation” and thereby losing money. Steve Clarke said: “This is a deliberately misleading distraction away from the reality that their own customers have to pay pump prices, while users of other fuel cards enjoy major discounts which deliver significant cost savings.”

Discounts of 2p - 3p per litre are typical with most fuel cards Steve Clarke said: “The invention of this spurious ‘issue’ is laughable. They suggest that drivers have to deviate from their routes to refuel if using branded fuel cards. Remember, these so-called ‘restricted’ fuel cards are for such networks as BP, Esso, Shell, Texaco and so on. Even a driver who forgets to refuel until their warning light comes on still has several miles’ worth of fuel in the tank. What kind of route could they possibly be on that would not soon take them past their chosen brand of service station?”

He put the ‘restricted’ suggestion into perspective, saying: “A driver carrying a Shell fuel card, for example, has access to more than 1,100 sites nationwide. There are in excess of 1,200 facilities in BP’s national network. If the driver is ‘restricted’ to Texaco, they can refuel at over 1,700 service stations across the country and so on. This ‘route deviation’ idea is a complete red herring, which would only make sense if the major brand facilities were rare. The ‘route deviation’ suggestion becomes even more ridiculous when you realise that it has been common for years for drivers to carry more than one brand of fuel card.”

Steve Clarke, general manager, The Fuelcard PeopleSteve Clarke explained why, he believes, the spurious claims have been made. He said: “It is all about money and the sums are very simple. Picture two drivers, each from a fleet of 100 trucks and both refuelling fortnightly. The one using a ‘no discounts’ card from Arval to fill up with 1,000 litres of diesel will pay, at today’s national average price, £1,140. The other driver at the next pump, using a different fuel card to buy his 1,000 litres with a typical discount, will pay £1,115. Now, multiply that £25 discount by 25 refuellings annually and you can see a yearly difference of £625 per truck. Over the year, the 100-strong fleet using the ‘no discounts’ fuel card will spend £62,500 more on diesel.”

He called upon fleet managers to ignore the misleading claims. He said: “Use some common sense. A fuel card supplier which can not – or will not – offer discounts has got to find something to attack its competitors who can offer its customers massive savings. Route deviation? It is nonsense and, although you can not blame them for trying, Arval knows very well that it is nonsense.”

The Fuelcard People offer impartial, independent, advice and a broad choice of cards from leading brands including BP, Esso, Shell, Texaco and Diesel Direct (Keyfuels).

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Author: Amanda White, February 21, 2010
Filed under: Arval,Fleet news,The Fuelcard People

4 Comments

However the single branded fuel cards do not include the ability to use the cheaper supermarket sites. Of course the oil companies are offering discounts on pump prices however its their pump prices that are significantly more expensive that the supermarkets.

My Allstar card can be used at any supermarket giving me significant cost savings across our fleet.

BP’s, Shells, Texaco’s and other petrol stations are all closing down. They are declining whilst the supermarket sites are growing. Route deviation will play a bigger part in years to come as the oil company locations reduce. Often leaving just expensive motorway service stations.

The largest expanding fuel stations in the country are with the supermarkets.

I encourage my drivers by allowing them to keep any points they accumulate.

My first rule of business is not to attack the competitor. If the only sale of your product you have is to belittle the competitors product then it doesnt say much for your offering.

However I think to gauge the professionalism in this article you simply have to look at the statement “Even a driver who forgets to refuel until their warning light comes on still has several miles’ worth of fuel in the tank.”

This shows a true happy shopper mentality and not one of a planned fuel management expert. Thinking of a quick fix rather than a long term business objective.

Comment by Marvin Hopster — February 22, 2010 @ 10:34 am

So, Mr. Hopster, how far do your drivers have to deviate to get to a supermarket, if that’s where they have to go to refuel? Or, are they also allowed to pay over the odds at branded service stations? Meanwhile, to correct the first of your inaccuracies, at least Morrisons and Somerfield accept branded cards. If you are a fleet manager, I’m surprised that you didn’t know that.

As for motorways being expensive, it is clear that you have no understanding of how branded fuel cards work, or you would know about weekly pricing. The fixed price your drivers pay is, typically, 2p to 3p per litre less than the national average pump price and applies nationwide: they pay the same on the motorway as they do anywhere else, thus saving 10p / litre or more on the motorway.

Then, you have missed the point about forgetting to refuel. I’d suggest that he was advocating planned refuelling: knowing your route and deciding in advance where to refuel is best, but forgetting to stop is not fatal.

As for attacking the competition, a careful reading would have shown that Mr. Clarke was responding to something, not initiating an attack.

I’d suggest that copping out and opting for a “price doesn’t matter if they can use it anywhere” card, rather than carrying out a real comparative benefits analysis and doing the sums, shows somebody thinking of a quick fix rather than a long-term business objective.

Finally, you have my envy. Did you know that Googling for “Marvin Hopster” produces no results? I’m not suggesting that you don’t exist, or that you could be an A**** employee using a pseudonym, merely that I’m impressed by the anonymity – everybody I know appears somewhere on the Web!

Comment by C. G. Appleby — February 23, 2010 @ 2:23 pm

Further investigation reveals that “Marvin Hopster” managed to leave a comment without submitting an email address. I think we can now draw our own conclusions at their reason for ignoring common sense to rally in support of ‘no-discount’ fuel cards.

Comment by C. G. Appleby — February 23, 2010 @ 3:07 pm

I’d be delighted to learn that there really is a “Marvin Hopster” and that he really does manage a fleet. I think I can be forgiven for doubting it, though, in the circumstances.

If there is no such person, it does raise some interesting questions. Who would use a pseudonym to post spurious arguments, disingenuous claims and untrue ‘facts’ in defence of a very large company? Why?

Comment by C. G. Appleby — February 24, 2010 @ 12:30 pm

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