Overview

IBISWorld’s Propane Procurement Research Report provides the latest price data and the factors underpinning price movements, such as input costs and external demand drivers. The report identifies the leading suppliers of Propane and offers a strategic analysis of the key factors influencing the way the procurement market works. Data forecasts also accompany our analysis so your company can make purchasing decisions with confidence.
doneBenchmark Price
doneRFP/RFQ/Negotiation Questions
done3 Year Price Forecast
doneSupply Chain Analysis
doneSupplier Intelligence
doneSample Buyer Decision Scorecard
REPORT SNAPSHOT

Propane - Recent Price Trend

In the three years to 2017, the price of propane has been falling rapidly at an estimated annualized rate of 19.6%. Demand for propane is largely driven by downstream activity in utilities, fuel, commercial and industrial markets. At the same time, external factors such as uncommonly warm weather can also cut into demand and prices.A number of external demand drivers shape the pricing environment...

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Propane - Total Cost of Ownership

The total cost of ownership for propane is significant, accounting for more than 100% of the benchmark purchase price per year. In addition to the base price of the propane, buyers are also liable for infrastructure support and operating costs. Namely, buyers pay separately for equipment installation and rental, transportation and delivery, as well as repair and maintenance costs. Commercial and...

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About this Report

This report is intended to assist buyers of propane, which is a colorless, odorless, nontoxic type of liquefied petroleum gas (LPG). This report covers three grades of the gas: HD5 propane, HD10 propane and commercial propane. The primary buyers of propane include firms in utilities, fuel, commercial, industrial and agricultural markets. Specifically, propane is used in furnaces, outdoor grills, air conditioners, fireplaces, irrigation pumps, water heaters and appliances, as well as propane-driven forklifts and some fleet vehicles. This report does not cover other gaseous fuels like butane, coal gas or methane.

Table of Contents

At a Glance

Executive Summary

Price Environment
 Price Fundamentals
  Benchmark Price
  Pricing Model
 Price Drivers
 Input Cost Drivers
 External Demand Drivers
 Recent Price Trend
 Price Forecast

Product Characteristics
 Product Life Cycle
 Total Cost of Ownership
 Product Specialization
 Related Goods
 Subsitute Goods
 Regulation
 Quality Control
Supply Chain & Vendors
 Supply Chain Dynamics
  Supply Chain Risk
  Geographic Locations
  Imports
 Competitive Environment
  Market Share Concentration
  Vendor Company Types
 Market Profitability
 Switching Cost

Purchasing Process
 Buying Basics
 Buying Lead Time
  Selection Process
  Buying-Decision Scorecard
 Key RFP Elements

Negotiation Questions

Buyer Power Score Components

Jargon & Glossary

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