ALEXANDRIA, November 2
Gas station markup: distribution and marketing margin today
The wholesale-to-retail markup on gasoline typically runs 16-25 cents per gallon, of which the station's net is 3-7 cents after credit-card fees, labour and shrinkage. NACS data put 2024 average per-gallon retail margin around 22 cents gross, 5-7 cents net. [NACS · 2 Nov 2026]
Where the margin goes
- Credit-card interchange: 8-12 cents per gallon at a $3 pump price.
- Labour and overheads: 4-6 cents per gallon.
- Shrinkage, maintenance, environmental: 1-2 cents per gallon.
- Net to station owner: 3-7 cents per gallon on average.
Why c-stores subsidise fuel pricing
Roughly 80 percent of US gas-station gross profit comes from inside-the-store sales (NACS). Fuel is the loss-leader; coffee, snacks, lottery, and packaged beverages carry the business.
Why Hawaii and Alaska are expensive
Shipping cost dominates the cost stack. Every gallon arrives by tanker. Local refining footprints are tiny. Pump prices stay 30-60 percent above the lower 48 average year-round.