Gas Hikes Hits Secondary, Auto-related Industries

The price of gas hit a new high yesterday, which will affect what drivers see, in addition to what they spend, while on the road. As The Associated Press reported:

“Gas prices are nearly 66 cents higher than last year, when they peaked at a then-record of $3.23 in late May, and have prompted many analysts to raise their estimates of where gas is going to go.”

Mike Duran, owner of Perfect Appearance, a Pueblo-based car decal application business, said customers are less likely to decorate their vehicles if they’re spending an increasing amount of cash at the pump.

It also costs more for Duran or one of his three employees to travel to give an estimate on how much a decal job will cost.

“It affects everything,” Duran said.

In addition to cutting into decorating dollars, companies that use vehicles as moving advertisements are feeling the pinch.

Sean Garrett, general manager for California-based Mobile Ads, said the company’s customers will have to pay more for their vinyl ads to travel through the streets.

“We usually just try to increase our prices to make up for [a gas price hike], which of course makes it harder for us to sell [advertisements],”  Garrett said.

The company’s seven trucks could also be parked in strategic locations more often, Garrett said, which cuts down on fuel costs but also has environmental benefits.

Duran said he hopes Congress takes action on fuel prices or taxes are lowered soon, because he worries about keeping all of his employees.

“It all goes hand in hand,” Duran said. “Something’s got to give.”

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