Case Study

Hospitality Operator Saves $250,000+ Annually Through Strategic Energy Procurement

Hospitality Operator Saves $250,000+ Annually Through Strategic Energy Procurement

The opportunity

A leading hospitality operator sought to expand supplier competition and improve energy procurement across its portfolio of locations.

The company had historically worked with a small regional energy broker, resulting in access to a limited pool of suppliers. Many of its existing energy agreements were concentrated among only a few providers, restricting competition and potentially limiting opportunities for more favorable pricing.

As the company’s portfolio evolved, it needed a more proactive procurement strategy that could increase supplier participation, improve contract flexibility, and ensure individual locations were consistently evaluated for competitive supply opportunities. Tradition Energy was engaged to strengthen the process and identify opportunities for meaningful cost savings.

Analysis

Tradition reviewed the company’s existing energy agreements and procurement practices, uncovering opportunities to improve both supplier participation and portfolio management. The analysis identified locations that had been overlooked for competitive supply and contract terms that limited flexibility as the portfolio changed.

Tradition discovered several locations that were not utilizing third-party energy supply, in part due to limited communication and ongoing account management from the previous broker. These sites represented an opportunity to evaluate additional competitive procurement options.

Existing agreements lacked favorable add/delete provisions, limiting the company’s ability to add new locations or remove closed sites during the contract term. Tradition identified the need for more flexible language that could better accommodate ongoing portfolio changes.

Using its proprietary TEPS pricing system, Tradition expanded the pool of suppliers competing for the company’s business. Greater competition provided access to more pricing options while creating stronger negotiating leverage across individual procurement events.

The Result:
$250,000+ in Annual Savings

$250,000+ Annual Savings

Across 12 competitive RFPs conducted in 2025, Tradition generated more than $250,000 in annual energy cost savings for the hospitality operator.

Broader Supplier Competition

Tradition expanded the company’s supplier pool through TEPS, increasing competition and providing access to a wider range of competitive pricing opportunities.

Greater Portfolio Flexibility

Tradition incorporated favorable contract language allowing new locations to be added to existing agreements, creating a more flexible procurement structure designed to accommodate the company’s evolving portfolio.

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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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Hospitality Operator Saves 0,000+ Annually Through Strategic Energy Procurement