Case Study CUSTOMER STARBUCKS PROJECT DETAILS ENERGY PROCUREMENT STRATEGY INENCO SERVICES PAN-EUROPEAN CONSULTANCY Fast growing retail brands often find themselves with a disjointed portfolio - and Starbucks were no different. With multiple energy suppliers and lacking a single energy reporting solution, the team at Starbucks were finding it increasingly difficult to understand their energy position, resulting in incomplete site lists and high unit rates. A single source of energy expertise Starbucks needed a European energy partner who could work with them to review their current energy strategy, consolidate suppliers, and provide an energy reporting solution to help the in-house team stay abreast of their frequently changing property portfolio. Starbucks needed a single point of contact who could help to identify (and then deliver) cost saving opportunities in energy procurement across their pan-European portfolio. The Solution 1) Portfolio Analysis To understand the portfolio in its entirety, Inenco’s in-house European team pulled together all data across the entire portfolio into one place. Using a bespoke data management system, the team analysed all elements of their energy supply site-by-site, including supplier, contract end dates, unit rates, and consumption volumes. 2) Energy procurement The analysis identified significant opportunities to consolidate and improve procurement efficiency. Inenco’s team subsequently overhauled the buying strategy currently used by Starbucks. Using the European team’s expert market knowledge, Inenco secured Starbucks competitive fixed price contracts across the entire group via a single energy supplier in each country. 3) Energy reporting In order to provide increased visibility for the future, Inenco implemented an invoice validation tool in 2013. This tool allowed Starbucks to maintain and manage their entire site portfolio, per country, and to monitor energy consumption at multiple levels, from country portfolio right down to metering point. With a new integrated energy strategy and a consolidated portfolio, Inenco delivered tender and negotiation exercises for the UK, Netherlands and Germany, as well as budgetled energy procurement in line with Starbuck’s own appetite for risk. The Results Through appointing one supplier per country the competitive tender exercise achieved cost savings >£150,000 in year one alone. Inenco have an enduring energy partnership with Starbucks and following the success of its solution, Inenco now also procure Starbucks’ energy in France. “The Inenco Europe team helped us tremendously with great communication and proactive, high level customer support!” Vincent Malingré, Starbucks EMEA, Sourcing manager Why Inenco? •Inencos Pan-European team speak fluently in 13 different languages and have an in-depth understanding of national markets, products, conventions and industry practices •Inenco knows that it is imperative to make trades on the market at exactly the right times for maximum impact and savings; our excellent and long-standing relationships with 130+ suppliers, years of experience and familiarity with local markets ensure that our experts are able to manage this professionally and successfully, delivering big savings for our customers. Contact team Europe today +44 (0)1253 785174 www.inenco.com