Gas Prices Changing Way Companies Do Business
Monday, June 16, 2008 – updated: 6:12 pm PDT June 16, 2008
As gas prices reach record highs this summer, consumers aren't the only ones feeling the pain.Mike Stack with Stack Plumbing out of Kirkland spends $320 a week filling up his tank."The bigger the truck, the more gas they burn," said Mike.His company is now forced to change the way they do business."We just can't afford to put a guy in a truck running around and burning fuel all day," Mike said.They've added on a $10 gas surcharge to each of their invoices.Jim Stack says his fuel bill has doubled over the past few years. And with gas prices going up, he expects to tack on more to the consumer."It's something that you have to incorporate in the cost of business. It's either that or you go out of business," said Jim."It's just to the point where we can't afford to put the truck on the road just to run around and estimate jobs," said Mike.And while gas prices are skyrocketing and service providers are struggling, one national survey says consumers don't seem to mind that much.Angie's List, the nation's leading provider for ratings and reviews, surveyed 1,700 service companies nationwide. Eight-five percent of them say gas prices have affected their bottom line, but consumers are still spending more on home improvement -- 13 percent over what they spent in 2007.But it's taking some adjustment. Stack Plumbing says calls are coming in less and customers are feeling frustrated."Absolutely, they are complaining. The prices are going up and they don't want to hire us; they hire us because they have to," said Mike.It's tough to swallow for small companies that struggle to stay afloat."Everything is going up," said Jim.
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