LP Gas, March 2014

COMPANIES TO WATCH Valley Propane Small retailer surpasses 1 million annual gallons with two drivers BY KEVIN YANIK MANAGING EDITOR V kyanik@ northcoastmedia net alley Propane is a small retailer made up of five employees Two of the companys employees are full time bobtail drivers and combined the two deliver about 11 million gallons of propane each year On a retail gallons delivered perbobtail basis Valley Propanes Vince Guthrie suggests his company outpaces many of the largest retailers in the United States And if you compare Valley Propanes productivity with the data available about the Top 50 Propane Retailers youll find with a few exceptions that Guthrie is correct about his companys efficiency So how is a small California retailer one Guthrie estimates is the second smallest in its region able to crack the 1 million annual gallon mark with so few resources We try to put all of our resources at every area we cover Guthrie says We have so many accounts in this small area that we have to be here three to four days per week just to take care of it The areas Valley Propane serves near Fresno Calif Mendota to the west and Madera Ranchos to the northwest are highly residential Guthrie says residential drives between 70 and 80 percent of Valley Propanes business with agricultural and commercial accounts making up the rest Valley Propane isnt trying to make it as an MLP Guthrie adds Instead his goal is to be the best at covering one territory We come from a small town called Firebaugh Calif where everybody knows each other says Guthrie whose father Roger owns the business Everybody knows each others kids because my dad was the tee ball coach for many years I tried to lay down the same roots in Madera Ranchos The west side is home We dont want to be anywhere else Roger founded Valley Propane in Mendota in 1995 and Vince 30 started working in the business around 2007 The company branched into Madera Ranchos in 2010 hosted an open house that drew about 400 local people that summer and signed up about 15 percent of those who attended that day The business grew in Madera Ranchos from that open house Vince says because of a personal touch I go to every tank set and meet all of our customers he says We go over the house and have coffee together All customers have my personal cell phone number so they can get ahold of me as they need to Joining the Chamber of Commerce and Kiwanis Club in Madera Ranchos proved beneficial to Valley Propane as well I was able to jump into this small community as somebody who wants to legitimately be a part of the community Vince says Our names on all the From left Ruben Acosta Martin Cortez Frank Covarrubia Roger Guthrie Alicia Estrada Sheryl DeVelbiss and Vince Guthrie LOCATIONS Mendota and Madera Ranchos Calif FOUNDED 1995 EMPLOYEES 5 PROPANE SALES 11 million annual gallons home run fences in town our names at all of the communitys events Advertising has helped boost Vinces business but word of mouth has played a key role as well Madera Ranchos consists of about 3200 homes Vince says and many of those homeowners talk with one another He happens to be one of those community members and immersing himself in the community is a reason why Valley Propane gains an average of four customers per week Vince says LPG 94 LPGas March 2014 www LPGasmagazine com