ON Petro Blog

ON Petro Blog

Come with us and we’ll explain everything about white flag gas stations!

What are white flag gas stations?

When you imagine a gas station, several images come to mind, mainly fuel pumps, but also the gas station’s brand, that is, its flag. For example: Shell, BR, Ipiranga, etc.

A gas station that is considered a “white flag gas station” is simply a gas station that does not have a well-known flag, that is, it does not have a more famous brand.

When it comes to business owners who are interested in managing a gas station, it is important that they are aware of the advantages and disadvantages of managing a white flag gas station or a station with a flag, let’s look at some of them:

Logistical Independence:

When there is a contract between the gas station and a well-known flag, there are several limitations to the management of the station, which is not so common with white flag gas stations. Some of these limitations, for example, concern the purchase of fuel for resale. In the case of gas stations that wish to have a brand, both the purchase and the related equipment must comply with the brand’s rules, which means the station loses the power to negotiate and research prices.

Price control:

If the gas station wishes to have a brand, the prices at which it is resold must be in line with other stations in the network, in order to maintain a standard. In the case of a white-label station, this does not mean that the fuel will be much cheaper than usual, however, the station’s management can create strategies for price fluctuations that correspond to its demand, which can bring more profits to the station.

Private brand and marketing:

When a gas station has a brand, its marketing and advertising is entirely linked to the marketing and advertising of the brand, and not to the station itself. If the gas station is a white-label gas station, its marketing strategies may better match its target audience and prices. Furthermore, if the gas station is successful, it may create its own brand, which, even if it is not as well-known as the famous brands, can provide a certain level of trust to the public.

In general, if the future manager who wants to run a gas station has excellent knowledge of the industry and a team that also has sufficient knowledge, it is a good idea to invest in a white-label gas station, since this way the coordination and profits will be exclusively the team’s.

However, if the future manager does not have sufficient knowledge or a specialized team, it is a good idea to focus on a branded gas station, because despite some disadvantages, the guidance and administrative assistance obtained through the brand will be essential for the good functioning of the gas station.

Is it safe to fill up at white-flagged gas stations?

A major disadvantage of white-flagged gas stations is the lack of trust that consumers feel. After all, a gas station with a brand is generally known for having a higher chance of being regularized and offering fuel without any type of adulteration.

The reality is that there is a lot of prejudice against white-flagged gas stations. A gas station without a brand does not necessarily mean that the fuel will be adulterated or that the fuel is not of good quality. In fact, there may be cases in which the fuel from a white-flagged gas station is of better quality than fuel from branded gas stations.

If you are interested in filling up at white-flagged gas stations, perhaps because they are better located or have lower prices, but you are suspicious of the quality of the fuel, we recommend that you test your vehicle’s fuel consumption before filling up.

If the fuel consumption remains the same and you do not notice any difference in your car’s performance, it is quite possible that the fuel is legitimate, and you may come out ahead with this decision. However, if you notice significant differences in performance and drastic increases in consumption, we recommend that you report the gas station to the inspection department.

Read more about reporting fuel adulteration by clicking here.

Possible advantages of filling up at white-label gas stations

The main advantages of filling up at white-label gas stations are related to financial savings. At white-label gas stations where the gasoline is legitimate, the price of fuel at the pumps may be lower than at branded gas stations, mainly due to the discount on fees that must be paid to the brand at branded gas stations.

In addition, if you fill up frequently at a white-label gas station and get to know the staff better, you may be able to obtain benefits more easily than at branded gas stations.

These benefits can be diverse, such as a fuel loyalty card, raffles, prizes, discounts on oil changes, car washes, among others.

But of course, the most important thing is that you feel safe and satisfied with the fuel you bought, so the benefits should only be taken into consideration after you check if the fuel you purchased is of good quality.

What is the best gas station brand?

This is a common question for many drivers, and the answer is simple: although there are rankings for some brands, there is no best brand.

The quality of the fuel, as well as the situation of the other areas of the station, is closely related to the management of the place, whether it is branded or not. As we mentioned, there is a lot of prejudice against white-label stations, but what really matters is knowing if the station where you intend to fill up has a verification seal from the National Petroleum Agency (ANP) and if the fuel you are going to purchase will provide the same performance for your car as your usual one.

Want to buy quality fuel without worrying about adulteration?

Look for fuel ON Petro!

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