Industry EnergyOilNatural gas Founded 2006 | Website www.pricelock.com Type of business Private | |
Key people Robert M. Fell, Founder & Executive Co-ChairmanNaveen Agarwal, Chief Executive Officer Products Fuel hedgingFuel price risk managementEmployee Incentive programsCarbon footprint | ||
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Pricelock provides fuel hedging for small and medium-sized enterprises, by bundling the smaller orders and purchasing gasoline and diesel futures contracts, contracts that trade in volumes of 21,000 gallons per month or more.
Contents
- Cleartrip tvc ad pricelock on flights
- Pricelock protect against high gas prices
- Company history
- How Pricelock works
- References
Pricelock protect against high gas prices
Company history
Founded in 2006, Pricelock is headquartered in Redwood City, California. A deal with Chrysler in May 2008 guaranteed new-car buyers a gasoline price of $2.99 for three years. While the deal didn't stop Chrysler from going into bankruptcy, it brought Pricelock 24,500 new customers, and led to a similar deal with Hyundai. In March 2011, Pricelock raised over $12 million in second-round financing, and expects to be profitable by the end of 2012.
How Pricelock works
Companies select the number of gallons of gas or diesel they want to protect over a certain period and pick a protection price per gallon. If the national monthly average price of gas or diesel – as determined by the US Department of Energy – exceeds the customer’s protection price, Pricelock pays the difference. If the national monthly average price lands at or below the company’s protection price, the company does not receive a payout. Customers are not purchasing fuel from Pricelock and are not required to show receipts.