There are a number of variables that may affect the price you pay for your heating oil. Each day, the prices of oil rise or fluctuate as a result of market forces. Your supplier may guarantee you a certain price for the next 30 days. Beyond that, it becomes unpredictable as there is not telling which way the world prices will go. In the United States as well as other countries, oil is imported in bulk under the watchful eyes of government regulatory bodies.
You can take advantage of a few well thought out strategies that can lead to lower prices from heating oil Norwich CT companies. If you can identify buying groups within your residential area the better it is for you. Such groups are able to push for a better price as a result of bulk orders. The suppliers can agree to give discounts owing to the fact that their delivery trucks will make reduced trips to your neighborhood. Your order is combined with that of your neighbors.
Here are some other factors that influence whether you will get a good deal or not.
* Distance from the depot. Heating oil is delivered using tankers of varying capacities. Gas stations have got a larger capacity than individual users hence the reason they are able to order via truckloads. As for you, domestic requirements dictate that you consume several hundreds of liters every winter. If you happen to live near a supply depot, the company may agree to offer you a lower price since it will not incur much on transportation.
* Quantity. As has been previously mentioned, bulk orders attract some discounts from heating oil Norwich CT suppliers. Rather than make an individual order, look for a group through which you can order in bulk. This can be done by teaming up with your neighbors. If you search on the Internet, you may come across buying groups. Find out if there are any around your residential area.
* Supplier royalty. Instead of seeking for a new supplier every winter, stick with one. It is important to do so as you stand to benefit from such a relationship. The heating oil supplying company will consider the fact that you always place your orders with it. When there is a dip in market prices, such benefits are passed on to you. There will also be other discounts on offer in an attempt to win repeat orders.
* Lowest bidder. Another way is to seek for quotes from several heating oil companies. The company with the lowest bid wins and gets to supply for a specific period as agreed. Corporate customers use this style most of the time. It saves a lot of money.
Getting the best prices on heating oil depends on how you strategize. You need to consider quantity, payment method and price among others.
