Gas prices drop as station competes with new Wawa

Staff Writer

By sue m. morgan

Gas prices drop as station
competes with new Wawa


DAWN MARIE SANNWALDT George Landi tends to a customer at his Sunoco station, Route 34 and Morristown Road in Old Bridge.DAWN MARIE SANNWALDT George Landi tends to a customer at his Sunoco station, Route 34 and Morristown Road in Old Bridge.

OLD BRIDGE — At George Landi’s Sunoco service station on Route 34, you can get your oil changed, tires mounted and balanced, or have your car tuned up. If you don’t want to sit in line at the motor vehicle station, Landi and his employees can perform the state-approved inspection.

Business has been brisk, and Landi claims a steady clientele for auto repairs.

Yet, when it comes to gas sales, Landi believes a new nearby competitor is giving him a run for his money.

Landi, who has franchised the Sunoco at Route 34 and Morristown Road for nearly four years, contends that a combined Wawa service station and convenience store a mile north of his location is threatening to put him out of business. For approximately a year, since the Pennsylvania-based Wawa opened on Route 34 and Steamboat Landing Road, Landi said he has had to constantly lower his gasoline prices to the point of barely making a profit in order to compete.

Yesterday, Landi said his posted price for a gallon of unleaded regular gasoline read $1.09, the same price offered up the road at Wawa. Landi said, however, that he planned to lower his price to $1.07 after 3 p.m. yesterday.

On some days, Landi said, Wawa beats his price. For example, last Friday, Landi sold regular unleaded for $1.07 per gallon, while Wawa sold it for $1.05.

Prior to Wawa’s opening, Landi was able to sell regular unleaded gas for around $1.35, he said.

"($1.07 per gallon) is the best I can do because that’s all the support Sunoco will give me," said Landi, a Matawan resident, referring to his regular unleaded price. "Sunoco tells me they can’t go down on their profit margin any more."

Landi contends that the 24-hour, seven-days-a-week Wawa operation is hampering his ability to make a living while still paying rent to Piscataway-based Sunoco.

"Most of the rent is based on gas sales," Landi said, "but we all have to make a living."

At Wawa, while filling the gas tank, a customer can also purchase fresh deli sandwiches, snacks, drinks, newspapers and many other convenience items. There is also a surcharge-free ATM on the premises.

However, Wawa does not have bays for car repairs. Landi has three bays for repairing cars.

"I have a lot of steady customers for auto repairs," Landi said.

Numerous certificates of achievement and Automobile Service Excellence (ASE) awards are posted in Landi’s tidy waiting area inside the station building. Also posted was a Better Business Bureau award. His facility is also AAA-approved.

Landi also offers free towing of disabled vehicles within five miles, and he offers free air.

"I’m the only one in this area who offers free air. I get a lot of compliments from the older gentlemen about that," Landi said.

On Oct. 20, Landi will celebrate his fourth anniversary at the location, which he estimates has physically existed at the busy intersection for at least 50 years. For that anniversary, Landi and his wife, Kimberly, will hold a kids’ carnival on the premises, featuring a moonwalk, face painting and music. He will also give away pumpkins to any child who visits the carnival. Proceeds will be donated to Camp ROBIN, an Old Bridge-based recreational program for learning-disabled children.

Landi said that he and his wife have in the past raised funds at the gas pumps for the camp, even raising $1,000 one year for one learning-disabled child to attend the Special Olympics.

Landi sells gas at the station’s six service islands from 8 a.m. till midnight Monday through Saturday.

On the premises of the Wawa complex, there was no shortage of parking, and attendants pumped gas from most of the 16 pumping stations.

Both businesses pride themselves on keeping clean bathrooms.

Norman Turiano, Wawa’s fuel operations manager for New Jersey, said the company is not trying to take away Landi’s business. He pointed out that there are several other gas stations within a mile radius of the Old Bridge location.

"There are a number of gas stations in that market other than Sunoco. Within a mile there are five to 10 other gas stations," Turiano said.

"Our pricing is relative to the entire market," he added.

Turiano denied that Wawa might be deliberately undercutting the market price of gas.

"We are not selling below cost because that would be against state law, and it wouldn’t be profitable," he said.

In the meantime, Landi said he will continue to do what he can to stay in business. He hopes his regular customers will remain loyal and continue to patronize his station.

"Sometimes people like the small guy," he said.