JEFF'S OIL
Our Family Has Been Delivering To Yours For Over 25 Years

Frequently Asked Questions - Pricing

  1. Why don't you publish your price in the newspaper anymore?
  2. Will you charge me more for oil than what the phone says?
  3. Why do you have two prices for oil on my slip?
  4. How do you determine the price of oil?
  5. Why does the price of oil change so fast?
  6. Another company is advertising oil for less, can I get that price?
  7. Is the price of oil different for automatic delivery?
  8. My friend got oil from you yesterday at a different price, how come?
  9. I would rather check my own oil and order when the price is low.
  10. Are there any other fees associated with the delivery?
  11. Why is your oil so cheap compared to other companies?
  12. Do you offer price cap protection?
  13. Do you offer a lock-in plan?
  14. Do you offer budget plans?
  15. Do you accept fuel assistance programs?
  16. The price of oil just went up, does that mean Jeff's Oil is making more money?

 

Why don't you publish your price in the newspaper anymore?

We used to always publish our price in the newspaper.  However, due to a variety of factors around the world, the price of oil became a lot more volatile.  As a result, we felt it was best not to put a price into the newspaper that could go up or down as much as 10 cents in the matter of a day.

Will you charge me more for oil than what the phone says?

Never. 

Why do you have two prices for oil on my slip?

Jeff's Oil has a selling price and a discounted selling price.  We always quote the discounted selling price.  To receive the discounted selling price, you need to pay your oil bill within 10 days of the delivery.  Thus, if we quote you a price of $2.10, then you will receive a delivery ticket that will show you your amount due if you pay within 10 days ($2.10 per gallon) and your amount due if you pay after 10 days ($2.20 per gallon).  The delivery ticket / invoice you receive should be very clear.  But, if you have any questions, just call our office 781-245-3157.

How do you determine the price of oil?

We always make a margin over our cost.  So essentially, if the price we pay for oil goes up 2 cents, we raise our price to you 2 cents.  (This is not completely true because we do not always raise our price.  This is because our price for oil can fluctuate several times in a day.  Thus, if it goes up 2 cents, we will often wait a day or two to see if it continues to go up or if it comes back down.  What that means to you is that we usually lose money when the price of fuel goes up.)

Why does the price of oil change so fast?

There are many factors involved with the pricing of oil.  It is a commodity and is exchanged on the commodity exchanges.  It is also an international energy and as a result, the price of oil is linked to world events.  The price is also influenced by normal supply and demand principals (i.e. if the oil supply is low in the Boston area, then the price will go up).

The US dollar is the currency of choice in global crude oil trade while consumers use local currencies to by petroleum products.  Therefore, if the US dollar is devaluated the price of crude oil will rise.

As a result, the price we are charged can change several times a day.  It can also drastically change by as much as 20 cents in a day.

Another company is advertising oil for less, can I get that price?

Many smaller fuel companies will advertise one price and then when you call to order the fuel, you find out the price is much different.  Thus, what you think is a cheaper price may not actually be cheaper.

Another thing to consider is the company you are ordering from.  Jeff's Oil has been delivering to your area for over 25 years.  We have a great reputation because we do what we say.  Customers love the fact that we deliver the fuel that day or the very next day (while many other companies only go to your community once a week and so you have to wait).

If our price is more, it is because we have more to offer and offering more means we may need to charge more.

Is the price of oil different for automatic delivery?

No.  The price is the same. 

My friend got oil from you yesterday at a different price, how come?

There was a time several years ago where our price of oil would not change for weeks or even months.  Times have changed though.  The world isn't as stable as it used to be.  As a result, oil prices are not as stable either.

Back then, fuel prices would go up or down a couple of cents here and there but you knew if it went up, it was probably coming back down in a day or two and if it went down, it was probably going to go back up in a day or two.  That isn't the case any more.  All reports could come in to us that oil is going to be stable for the next 72 hours and then an hour later we could get a notification that the price is going up 7 cents.  That is just how the world is now.  But, as a result, our prices do change more often than they did a couple of years ago.

But what we try to do is to react to patterns and not individual price changes.  If the oil price changes, we research why it changed and what is expected to happen over the coming days and then we decide whether or not to change the price.

Thus, if your friend got a different price yesterday, it is probably because there has been a trend in that direction.

I would rather check my own oil and order when the price is low.

You can do this.  However, do not think you will be able to tell when the price of oil is low.  We can't nor can our suppliers.  And if any of us did,  we wouldn't be doing what we do.  We would all be millionaires buying and selling oil on the stock exchange.

Are there any other fees associated with the delivery?

We do not have any additional fees with a normal oil delivery. 

We mentioned that we offer same or next day delivery.  This is true, however the later in the day you call and want same day delivery the less likely there will not be any delivery charges. 

Why is your oil so cheap compared to other companies?

We have been doing this a long time and we have some very smart people working for us.  As a result, we have streamlined our processes.  As we mentioned in other areas, we wrote our own computer software to run the business.  It does exactly what we want it to do.  We also have a lot of customers in a relatively small delivery area.  This means we can deliver more oil an hour than the average fuel company (many fuel companies have only a few customers in each town and as a result, their trucks are spending most of their day driving across town to the next house).

Do you offer price cap protection?

We will not be offering a cap protection plan for the 2011 -2012 season.  Please call our office for details.

Do you offer a lock-in plan?

We will not be offering a lock-in protection plan for the 2011 - 2012 season.  Please call our office for details.

Do you offer budget plans?

Yes.  Please see our Budget page for more information.

Do you accept fuel assistance programs?

Yes.  Please see Fuel Assistance for more information. 

The price of oil just went up, does that mean Jeff's Oil is making more money?

Actually, the opposite is true.  When the price of oil goes up, we lose money.  Why?  Because we react to trends.  Thus, if Jeff's Oil's price goes up, it means that the price we have been paying for oil has been going up.

 

 

 

 

 

 

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