Gas Retailers Criticize Giant Eagle Discounts

A trade association in Pittsburgh is pushing Pennsylvania’s attorney general to scrutinize a shopper-loyalty program that gives members discounts on gasoline.

Pittsburgh gas retailers call Giant Eagle’s discounts “unfair trade”

Giant Eagle’s loyalty program, dubbed “fuelperks!,” gives members 10 cents off each gallon of gas at Giant Eagle’s GetGo c-store division for every $50 they spend at the supermarket.

The Petroleum Retailers and Auto Repair Association of Pittsburgh contends that the discount violates the state’s 1941 Unfair Sales Act, which prohibits retailers from selling goods at cost or below in order to attract shoppers, according to local news reports. The association says gas retailers operate on a 5-cent-per-gallon margin, and the 10-cent discount drives pump prices below cost.

Association reps met with attorney general staff on March 15; no action has been taken. The association is expected to pursue its complaint by bringing more information to the AG.

But consumers have voiced support for fuelperks!, mostly via local talk-radio shows, as gas prices remain high.

Shoppers use their Giant Eagle Advantage shopper card at checkout to tally supermarket purchases, then scan the card at GetGo gas pumps to get a per-gallon discount (with a 30-gallon limit). There are 3.8 million active members in the Giant Eagle Advantage program. The chain has 220 stores in Pennsylvania, Ohio, Maryland and West Virginia. Giant Eagle is part owner (with Guttman Oil Co.) of the 63 GetGo c-stores.