Case Study

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

The opportunity

A national convenience and fuel retailer sought greater competition and strategic oversight across its large, multi-market energy portfolio.

The company had historically worked directly with a single energy supplier that also provided guidance around its purchasing strategy. This structure limited the ability to independently evaluate supplier pricing and determine whether the recommended procurement approach represented the best fit for the organization.

Tradition Energy identified an opportunity to separate strategic energy advisory services from the supply function. This would allow the client to independently evaluate risk, introduce broader supplier competition, and centrally manage its portfolio while selecting the most competitive provider within each regional market.

Analysis

Tradition evaluated the retailer’s existing procurement approach and determined that separating advisory services from energy supply could create greater transparency and competition. The review also identified an opportunity to reconsider the company’s market exposure and implement a more conservative approach to managing future energy costs.

Tradition assessed the existing purchasing strategy and the level of market exposure it created. Based on the client’s objectives and risk tolerance, Tradition presented a more conservative hedging approach designed to provide greater protection against unfavorable market movements.

Rather than relying on a single supplier across the portfolio, Tradition utilized its pricing platform to create a highly competitive procurement process. Suppliers could compete independently within each regional market, allowing pricing and terms to be evaluated based on the specific needs of each area.

While supply could be awarded to different providers regionally, Tradition maintained centralized oversight of the overall energy strategy. This gave the client the benefits of local supplier competition without sacrificing consistency in portfolio-wide procurement and risk management.

The Result:
Cost Avoidance & Competitive Supply

Significant Cost Avoidance

The client selected a more conservative hedging strategy that has performed favorably, reducing exposure to subsequent market increases and generating significant cost avoidance.

Regional Supplier Optimization

Tradition’s competitive pricing process enabled the retailer to select the lowest-cost provider in individual regional markets rather than relying on a single supplier across its entire portfolio.

Centralized Strategic Oversight

Tradition continues to manage the portfolio’s procurement strategy centrally, providing consistent market guidance and risk management while preserving the flexibility to utilize different suppliers where they provide the greatest value.

Client Testimonials

Both advisors we work with have done a fabulous job supporting and managing our multiple locations. They have also invested considerable time sharing knowledge and insight of the industry, providing supplier options, made recommendations, and assisted with contract negotiations. They have set the standard!

Procurement Manager,
National Automotive Retail Supplier

Tradition Energy is a procurement advisor that I can recommend to other energy managers. I appreciate the friendliness and willingness to provide what is needed for procurement.”

Energy Manager,
Retail Chain

We have really enjoyed working with our Energy Advisor as he has done an excellent job in providing real time market conditions and guiding us in procuring energy at a much better rate than what we had. He stays in touch and we talk frequently. I enjoy working with vendors who act more like a partner and less than a simple provider.

Director,
Auto Parts Distributor

My Energy Advisor has taken the time to educate me over the years which helps in our analysis.

CFO,
Automobile Company

Tradition Energy took the guess work out of my decision by providing me with multiple quotes. They analyzed my utility usage and watched the market and advised me when they thought it was the right time to buy.  We hit the market perfectly.

Facility Director,
Auto Dealership

In an industry where rapid change is common, it’s indispensable to have a partner such as Tradition Energy to help me make the right decisions at the right time. They know the energy industry inside and out, and this expertise allows me to make educated and precise decisions without worrying about market forces.

Manager, Energy Utilities & Profit Improvement,
Global Retail Chain

Both advisors we work with have done a fabulous job supporting and managing our multiple locations. They have also invested considerable time sharing knowledge and insight of the industry, providing supplier options, made recommendations, and assisted with contract negotiations. They have set the standard!

Procurement Manager,
National Automotive Retail Supplier

Tradition Energy is a procurement advisor that I can recommend to other energy managers. I appreciate the friendliness and willingness to provide what is needed for procurement.”

Energy Manager,
Retail Chain

We have really enjoyed working with our Energy Advisor as he has done an excellent job in providing real time market conditions and guiding us in procuring energy at a much better rate than what we had. He stays in touch and we talk frequently. I enjoy working with vendors who act more like a partner and less than a simple provider.

Director,
Auto Parts Distributor

My Energy Advisor has taken the time to educate me over the years which helps in our analysis.

CFO,
Automobile Company

Tradition Energy took the guess work out of my decision by providing me with multiple quotes. They analyzed my utility usage and watched the market and advised me when they thought it was the right time to buy.  We hit the market perfectly.

Facility Director,
Auto Dealership

In an industry where rapid change is common, it’s indispensable to have a partner such as Tradition Energy to help me make the right decisions at the right time. They know the energy industry inside and out, and this expertise allows me to make educated and precise decisions without worrying about market forces.

Manager, Energy Utilities & Profit Improvement,
Global Retail Chain

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For decades, organizations have trusted Tradition Energy to navigate increasingly complex energy markets. As the nation’s largest independent energy procurement and sustainability solutions advisor, we bring clients resources, market reach, and transaction activity other advisors cannot replicate.

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Case Studies

Proven Results in Retail

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Automotive Retailer Achieves $1.6 Million+ in Electricity Savings

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

Global Retailer Reduces Energy Costs by Approximately 45%

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Saves $2.5 Million+ Through Strategic Energy Procurement

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National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Costs and Avoids Premium Utility Pricing.

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Costs by Up to 20% Through Strategic Procurement

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Automotive Retailer Achieves $1.6 Million+ in Electricity Savings

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

Global Retailer Reduces Energy Costs by Approximately 45%

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Saves $2.5 Million+ Through Strategic Energy Procurement

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

Luxury Retailer Expands Energy Choice Through California Direct Access

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Costs and Avoids Premium Utility Pricing.

National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance

National Retailer Reduces Energy Costs by Up to 20% Through Strategic Procurement

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National Retailer Reduces Energy Risk and Achieves Significant Cost Avoidance