Stream Energy is an American retail electricity and natural gas firm active in the Texas, Pennsylvania, New Jersey, Maryland, Georgia and New York deregulated energy markets and headquartered within the Infomart building in Dallas. Stream Energy focuses primarily upon recruiting independent "sales representatives" (on a Multi-level marketing basis through its marketing arm Ignite) and servicing residential customers located within Texas, Pennsylvania, New Jersey, Maryland, New York and Georgia jurisdictions that permit consumers the ability to choose their own electricity or gas providers.
|Industry||Retail electricity provision|
|Key people||Rob Snyder
President & Chief Executive Officer
Chief Marketing Officer
Chief Financial Officer
Chief Risk Officer
Senior Managing Director, National Expansion
|Employees||245 (October 2012)|
Stream Gas & Electric Ltd. (d/b/a Stream Energy) was founded in August 2004 in response to the deregulation of the Texas electricity market. Stream Energy was licensed as a Retail Electrical Provider by the Public Utilities Commission of Texas on 21 January 2005 (license number 10104) and formally began operations through the initial enrollment of Texas electricity customers on 7 March 2005. Stream Energy has since expanded its reach and during May 2008 was certificated by the Georgia Public Service Commission to providing natural gas service to Georgia consumers. The company has recently expanded into Pennsylvania (Fall 2010), Maryland (Spring 2011), New Jersey (Fall 2011) and New York (Fall 2012).
Since the onset of Texas electricity deregulation in 2002, the regional ex-utility companies active in the Texas power market -- i.e., TXU Energy in north Texas, Reliant Energy in southeast Texas and Direct Energy in coastal and west Texas—continue to retain roughly 60% of their pre-deregulation former monopoly residential bases. Stream Energy competes for customers throughout Texas against these incumbent power retailers as well as other emerging electricity providers such as Think Energy, Gexa Energy, Bounce Energy, Green Mountain Energy, First Texas Energy Corporation, Texas Power and Cirro Energy.
The Ignite organization
Stream Energy created a separately-branded marketing arm, Ignite, designed to implement a multi-level marketing strategy. Substantively employing the model first pioneered within the consumer services sector by Excel Telecommunications, Ignite associates earn commission through the gathering of energy customers. They also earn income when the sales agents they recruit into the business gather a required number of energy customers. All money paid through the Ignite sales organization is solely attributed to customer gathering activities.
During 2011, the average annual income of associates was $692.58, which represents 89.49% of all associates who are Qualified Directors.
Local meetings known as “Business Presentations” are held to introduce invited parties to the Ignite concept. These meetings are conducted throughout Texas at more than 80 venues on a weekly basis. Independent Associates also maintain Ignite internet-based "homesites" that serve as informational web forums for the education of recruits.
Since its first promotional event held on 27 January 2005, Stream Energy has attracted through this Ignite organization hundreds of thousands of independent associates which, in turn, focus on primarily recruiting individuals from within their "warm market" (family, friends and acquaintances) as prospective electricity customers and future sales agents.