Gas Prices Changing Consumer Habits

Consumers in Daytona Beach are curbing their driving and fill-up habits.

March 03, 2011

DAYTONA BEACH - Another day, another newspaper feature highlighting the impact of rising gas prices on consumer purchasing behavior.

And so it is that the Daytona Beach News-Journal earlier this week reported that area residents have curbed their driving habits, a result of prices that have increased in some cases more than a nickel in the course of just a few hours.

"It's crazy, especially when you've got a large car," said Catherine Hendricks, who drives an SUV. "I'm already looking for a small car."

Daytona gasoline costs have increased from an average of $3.16 a gallon last week to $3.40 as of Sunday, according to the AAA Daily Fuel Gauge. And Avi Patel, owner of a Get N Go Citgo station, said the movement has impacted business, with customers purchasing less gasoline and spending less inside his store.

"It is affecting business," he said.

Jack Giles, who stopped by Get N Go to get some gas, said he has stopped filling up his vehicle. "I am putting less gas in. I spend a few dollars here and a few dollars there," he said.

Lawrence J. Belcher, a professor of finance at Stetson University, said consumers have few choices beyond cutting back on driving, and he suggested consumers might begin looking at carpooling and price shopping.

"If you are in tight budget already, this is one of those things you can't plan for. It is totally random and of an uncertain magnitude." he said.

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