How To Make Millions With "Doordash for Gas"

Key Concepts:

• Mobile Fuel Delivery: Delivering fuel directly to customers' vehicles.
• Churn Rate: The rate at which customers stop using a service.
• Monthly Subscription Fee: A recurring charge for access to the mobile fuel delivery service.
• Lifetime Value (LTV): The predicted revenue a customer will generate during their relationship with a company.

Mobile Fuel Delivery Business Model

The core concept is providing a convenient alternative to traditional gas stations by delivering fuel directly to customers. This service is gaining popularity nationwide due to its convenience and hassle-free nature.

Customer Acquisition and Retention

• Word-of-Mouth and Network Effects: Growth is primarily driven by positive customer experiences and referrals.
• Low Churn Rate: The service boasts an extremely low churn rate, indicating high customer satisfaction and retention. Customers become "addicted" to the convenience.

Service Operation

• App-Based Scheduling: Customers use a mobile app to schedule fuel delivery appointments.
• On-Site Refueling: A fuel delivery service provider arrives at the customer's location to fill their vehicle's tank.

Pricing Structure

• Markup on Gas: The price of gas is marked up by approximately 20% compared to the average price at gas stations within a 5-mile radius of the customer.
• Monthly Subscription Fee: Customers pay a recurring monthly fee for the convenience of the service.

Target Market and Revenue Streams

• Vehicle Servicing: While servicing regular vehicles is part of the business, the most lucrative segment is boat owners.
• Boats as Cash Cow: The revenue per year per customer in the boat segment is $5,000, resulting in a very high lifetime value.

Startup Costs

• Minimal Investment: The initial investment is relatively low.
• Equipment: Requires a 400-gallon tank and a pump.
• Technology: An app is needed to handle scheduling and payments.

Competitive Advantage

• Convenience: The primary selling point is the elimination of the need to visit gas stations.
• Time Savings: Customers save time and effort by having fuel delivered to them.

Counter Argument

• Gas Station Experience: The speaker expresses a personal preference for visiting gas stations for the overall experience.

Synthesis/Conclusion:

Mobile fuel delivery is a growing business model driven by convenience and customer retention. While the markup on gas and subscription fees contribute to revenue, the high lifetime value of boat-owning customers makes them a particularly attractive target market. The low startup costs and reliance on word-of-mouth marketing make this a potentially scalable business opportunity.