An Uber for Gas: XOM Invests in Gas Delivery Startup
An Uber for Gas: XOM Invests in Gas Delivery Startup
ExxonMobil has announced its investment in a Silicon Valley startup that provides on-demand fuel delivery and car maintenance directly to consumers who can schedule appointments via their smartphones or personal computers.
Touting itself as a "mobile one-stop-shop," Yoshi Inc. offers fuel-ups, oil changes, car washes and tire changes direct to customers in Atlanta, Austin, Chicago, Los Angeles, Nashville, Silicon Valley and the San Francisco Bay Area.
A subscription-based business, Yoshi charges a membership fee of $20 per month on top of fuel costs, the price of which is based on area averages calculated by AAA. Members also enjoy convenience benefits such as having tire air pressure checked or refilled for free.
The startup says commuters waste time stopping for gas each week, waiting in line at car washes and spending hours at auto body shops when their "check engine" light illuminates. Yoshi tends to consumer needs while the vehicle is parked during the day, according to its website.
ExxonMobil reps say the oil giant will provide Yoshi with regular or premium gasoline and lubricants, but Yoshi will continue to manage the delivery service.
The Palo Alto-based startup plans to use the $13.7 million round of investor funding allocated by ExxonMobil and General Motors to expand into 25 major U.S. cities. A list of targeted cities was not available before presstime.
Yoshi competes with a slate of other gas delivery startups, such as Booster Fuels, Filld, Mobile Fuel, Purple and WeFuel. However, Yoshi CEO Nick Alexander argues that his competitors do not offer the same level or package of services.
ExxonMobil, which receives a voting seat on Yoshi's board of directors, is optimistic that the company provides "a new channel in the market for its products."
"The on-demand economy is changing nearly every aspect of our everyday lives, including consumer expectations about the way fuels and lubricants are purchased, delivered and used," said Adam Wariner, ExxonMobil Fuels and Lubricants Innovation manager. "We believe the simplicity and convenience of this direct-to-vehicle care service will attract new customers to Exxon and Mobil branded products."
Founded in 2016, Yoshi Inc. announced a partnership with Firestone the same year and garnered $2.1 million in venture funding in 2017 from Zhen Fund as well as Liquid 2 Ventures, helmed by Hall of Fame NFL quarterback Joe Montana.
"We believe Yoshi has a big opportunity to be part of the transformation underway in the automotive industry relating to how vehicles get fueled and serviced, which can more than double a vehicle's cost over its lifetime," Alexander said. "We could not have a better syndicate of investors supporting us, including the leading U.S. automaker and oil and gas company."
Touting itself as a "mobile one-stop-shop," Yoshi Inc. offers fuel-ups, oil changes, car washes and tire changes direct to customers in Atlanta, Austin, Chicago, Los Angeles, Nashville, Silicon Valley and the San Francisco Bay Area.
A subscription-based business, Yoshi charges a membership fee of $20 per month on top of fuel costs, the price of which is based on area averages calculated by AAA. Members also enjoy convenience benefits such as having tire air pressure checked or refilled for free.
The startup says commuters waste time stopping for gas each week, waiting in line at car washes and spending hours at auto body shops when their "check engine" light illuminates. Yoshi tends to consumer needs while the vehicle is parked during the day, according to its website.
ExxonMobil reps say the oil giant will provide Yoshi with regular or premium gasoline and lubricants, but Yoshi will continue to manage the delivery service.
The Palo Alto-based startup plans to use the $13.7 million round of investor funding allocated by ExxonMobil and General Motors to expand into 25 major U.S. cities. A list of targeted cities was not available before presstime.
Yoshi competes with a slate of other gas delivery startups, such as Booster Fuels, Filld, Mobile Fuel, Purple and WeFuel. However, Yoshi CEO Nick Alexander argues that his competitors do not offer the same level or package of services.
ExxonMobil, which receives a voting seat on Yoshi's board of directors, is optimistic that the company provides "a new channel in the market for its products."
"The on-demand economy is changing nearly every aspect of our everyday lives, including consumer expectations about the way fuels and lubricants are purchased, delivered and used," said Adam Wariner, ExxonMobil Fuels and Lubricants Innovation manager. "We believe the simplicity and convenience of this direct-to-vehicle care service will attract new customers to Exxon and Mobil branded products."
Founded in 2016, Yoshi Inc. announced a partnership with Firestone the same year and garnered $2.1 million in venture funding in 2017 from Zhen Fund as well as Liquid 2 Ventures, helmed by Hall of Fame NFL quarterback Joe Montana.
"We believe Yoshi has a big opportunity to be part of the transformation underway in the automotive industry relating to how vehicles get fueled and serviced, which can more than double a vehicle's cost over its lifetime," Alexander said. "We could not have a better syndicate of investors supporting us, including the leading U.S. automaker and oil and gas company."
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