Here, find answers to frequently asked questions.
- What is Gasology?
- How does Gasology work?
- What are the benefits for fuel merchants to participate?
- What are the benefits for business consumers?
- How does money move through the Gasology platform?
- Can you speculate with reserved gallons?
- How does Gasology manage performance?
- What if a merchant is unable to perform due to extenuating circumstances?
- Are there additional hardware or software requirements?
- What is the cost?
- Can Gasology support spot sales?
What is Gasology? Gasology is a marketplace where merchants like refineries, terminals, distributors and gas stations can offer gas beyond the spot market for days, months, and years in the future. It is a marketplace where business consumers can search and shop for the best price available for the fuel they need. By selling future gallons today, merchants can lock in their margins, while consumers can secure their fuel costs. Merchants throughout the supply chain post their offered prices for products based upon their costs, and consumers can search for, reserve, and purchase fuel that meet their needs.
How does Gasology work? The Gasology marketplace is comprised of sellers of motor fuel (fuel merchants) and buyers of motor fuel (business or retail consumers) who are connected to one another. Merchants create relationships and connect with their upstream suppliers and downstream customers. Then, they can create price offers for downstream customers based upon the posted offers of upstream suppliers. An originating supplier, such as a refinery, can post an offer that intermediary merchants like distributors can use as a contingent price to base their offer to a downstream merchant like a gas station. The gas station can then offer a price for consumers contingent on the intermediary merchant’s offer. Once a consumer purchases gasoline through their desktop or mobile app, all contingent offers are satisfied while the gasoline purchased will be picked up at the specified time in the future. Retail consumers use the mobile app to activate the station pump when they pick up their reserved gasoline. By linking refineries not only to terminals and distributors, but also to the gas stations and consumers, consumers can manage their fuel consumption while refineries lock in their future revenue.
What are the benefits for fuel merchants to participate?
Brand Recognition: Brand recognition in the gasoline industry is remarkably low. By offering customers the opportunity to manage their gasoline expenditures, oil companies or other fuel merchants they can stand out from the competition and increase brand awareness.
Margin Guarantee: Through contingent pricing and simultaneous execution, Gasology gives merchants the ability to lock in future profits today.
Increased Capital: Future profits that are locked in through Gasology can be used as available capital to help you grow.
What are the benefits for business consumers?
Choice: Consumers can expand their network of suppliers, shop for, and finally choose the best price for fuel that is virtually any period in the future.
Control: Motor fuel is one of the world’s most volatile commodities. Gasology gives consumers the ability to control their costs and mitigate their exposure to the volatile nature of fuel prices.
How does money move through the Gasology platform? When a consumer purchases gasoline for future pick up, the consumer’s credit card is charged. On the final day of the month prior to the scheduled reservation, funds are released from the banking institution to Gasology, and the associated charge is made to the consumer’s account. As each merchant performs Gasology releases the funds to them.
Can you speculate with reserved gallons? All purchases are good faith transactions that are designated to be used by the purchasing consumer.
How does Gasology manage performance? All merchants within the supply chain receive payment when they deliver the gasoline or other specified fuel product to the downstream buyer. At the beginning of the month before the reserved delivery or pick-up, Gasology receives the funds from banks and credit card companies. As merchants deliver the fuel products, the funds are released to them.
What if a merchant is unable to perform due to extenuating circumstances? Gasology will either refund the customer with the designated funds, or provide the customer with an alternative pick up facility or fuel meeting the customer's needs.
Are there additional hardware or software requirements? Gasology is a cloud based solution requiring no additional hardware, software or downloads. Gasology is compatible with Google Chrome, Mozilla FireFox, and Apple Safari browsers.
Click the link for more information on software, hardware, and networking requirements for Gasology.
What is the cost? Gasology software is free.
Gasology support spot sales? Gasology has been designed to support spot market transactions in addition to the sale of future fuel. Spot prices are designed by merchants on a daily basis, and require no extra fees from either the buyer or seller.
Gasology allows merchants to shift their current spot selling operations onto the platform while providing an efficient method to rapidly update the product prices they are providing to customers. Buyers on the Gasology marketplace can access the spot market by browsing daily prices their connected distributors have posted.
Please note that business consumers cannot initiate transactions from 10:00 pm to 1:00 am in the fueling location's local time. Delivery may occur during this window, but no new reservations are permitted.