Greetings!
Welcome to the "Oil Insider"!
Our weekly newsletter is full of valuable tips & industry specific solutions within the construction, aggregate, sand & gravel, mining, and cement industries. Our business is centered on the petroleum industry and how to manage your business to be successful in dealing within this industry. This newsletter will provide answers to the following questions on a weekly basis:
Business Relationships:
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Are your operating costs increasing and are your selling prices unable to move upward, cutting into profits?
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Are you unable to get uniform pricing across all of your companies?
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Have you shopped price increases from your current supplier, only to find all suppliers have gone up as well?
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Have you tried switching distributors, only to find there is no alternative marketing the brand?
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Have you tried getting national account pricing, only to find you don't qualify?
Market Conditions:
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Are you able to keep up-to-date with all of the changes in the marketplace?
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Do you wonder why when the price of crude falls, oil prices remain high?
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When is the last time you saw your oil manufacturer's rep?
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How many sales reps have you dealt with in the last 5 years?
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Are you getting the best value for your money?
Technical Programs:
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Are your lubricants meeting the new OEM specifications?
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Do you ever wonder why you have 4 different antifreezes and 3 different transmission fluids?
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Are you ready for CJ-4 and ULSD fuel requirements?
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Should you buy synthetics or premium fluids?
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Are you protecting your asset investments from fluid related failure?
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Do you have an unbiased opinion when a fluid related failure occurs?
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Are you running the correct oil analysis program?
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Do you have the right grease for the job?
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Coolant System Maintenance
The cold season is on it's way...is your fleet ready to handle the freeze?
Antifreeze is getting attention this time of year, unfortunately, many consumers are not educated in the technologies available. Even more unfortunate, many suppliers are not educating the consumer. If the people selling the fluid don't know how to maintain it, how does the consumer get educated? Fortunately, there is help. Polaris is one lab performing education webinars on coolant technology and coolant maintenance.
If you're not getting educated on the antifreeze you're purchasing from your supplier, get a new supplier.
40% of all diesel engine failures are a result of coolant system problems. Most consumers buy antifreeze from the least expensive supplier; this can lead to more expensive repairs.
Technology today simplifies coolant maintenance. The goal of your company should be to get your equipment on one coolant, one program. How many companies want to make chemists out of their mechanics?
Coolant analysis...worth it's weight in gold. Over 70% of coolant samples fail due to lack of knowledge on how to maintain them.
Want to lower maintenance costs? Look to enhancing your coolant program.
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Oil Distribution
Oh where oh where did my distributor go?
15 years ago, we had twice as many oil companies and almost 8x as many oil distributors. No longer do we have your local "mom & pop" oil distributor. Major oil companies are looking to extend exclusive marketing territories to "mega" distributors. What does this mean to you?
If you want XYZ oil brand, chances are you have to go through one oil distributor to get it. End result? It most likely is more expensive due to less competition within the brand.
What has this done to your leverage? Well, if you want the brand, you end up paying the piper.
With oil prices doubling over the last 3 years, this has made it difficult for companies to reduce their lubricant costs.
How do you reduce costs? It's all about volume and scale, control the volume, command the price. |
