Case Study: Large Fuel Retailer boosts profit with Kalibrate

How Kalibrate used its data and analytics capabilities to empower a major US fuel retailer to make confident decisions to increase revenue

Large Fuel Retailer, a major US fuel retailer operating across multiple states, worked with Kalibrate to assess a key pricing challenge: what would happen to profitability if fuel volumes increased by 8%—about 5,000 gallons per site per week. Using existing site location, fuel price, and sales performance data, Kalibrate analyzed site-level sensitivities, competitor price position, and the relationship between fuel volume and store sales to determine whether the volume growth target was financially sustainable.

Kalibrate modeled multiple pricing scenarios and found that a blanket fuel price decrease would not generate enough in-store sales to offset the fuel margin loss. The vendor then identified site-specific strategies, including optimal price decreases and mixed increase/decrease approaches by site. The best scenario delivered a profit increase of $586 per site per week, translating to more than $1.5M in annual profit uplift for the customer.