Case Study

Dallas Restaurant Group Saves $14,200 Annually with Broker-Negotiated Rates

A Dallas-area restaurant group with 3 locations reduced electricity costs by 18% by switching from their incumbent provider to a competitively-negotiated 36-month fixed-rate contract.

18%
Cost Reduction
$14,200
Annual Savings
21 Days
Implementation Time

Client Overview

Industry

Full-service restaurants (casual dining)

Locations

3 locations in Dallas metro area

Total Square Footage

18,500 sq ft combined

Monthly Usage

42,000 kWh average (all locations)

TDU Service Area

Oncor Electric Delivery

Previous Provider

Incumbent retail electric provider (REP)

The Challenge

The restaurant group had been with the same electricity provider for 7 years, renewing contracts without competitive shopping. Their most recent contract was a 12-month fixed-rate agreement at 11.8¢ per kWh, which was significantly above market rates for their usage volume.

Key Pain Points:

  • High energy costs: Electricity expenses averaged $4,950/month across all locations, representing 6.2% of total operating costs
  • No competitive shopping: Owner had never compared rates from multiple providers, assuming their current provider offered competitive pricing
  • Short contract terms: 12-month contracts meant frequent renewals and exposure to rate increases every year
  • Lack of expertise: Restaurant owner lacked time and knowledge to navigate Texas electricity market and evaluate contract terms
  • Rising costs: Rates had increased 8% over the previous 3 years, squeezing already-tight restaurant margins

The Solution

The restaurant owner contacted Power My Business 90 days before their contract expiration. Our broker team analyzed their usage patterns, compared quotes from extensive network of Texas providers, and negotiated a competitive 36-month fixed-rate contract at 9.7¢ per kWh—a 2.1¢ per kWh reduction from their previous rate.

What We Did:

Usage Analysis

Reviewed 12 months of billing data across all 3 locations to identify usage patterns, peak demand periods, and cost drivers. Consolidated all accounts under a single contract for volume pricing.

Market Comparison

Solicited quotes from extensive network of Texas retail electric providers, comparing energy rates, contract terms, early termination fees, and hidden charges. Identified 8 competitive offers below 10¢ per kWh.

Contract Negotiation

Negotiated with top 3 providers to secure additional rate reductions and favorable terms. Final contract: 36-month fixed rate at 9.7¢ per kWh with $0 early termination fee after 24 months.

Seamless Switch

Managed entire switching process including paperwork, coordination with old and new providers, and meter reads. Owner experienced zero service interruption and no operational impact.

Ongoing Support

Set up contract expiration reminder 90 days before end of term to ensure client can re-shop and avoid automatic renewal at potentially higher rates.

The Results

Measurable Outcomes

18% Cost Reduction

Reduced per-kWh energy rate from 11.8¢ to 9.7¢, resulting in $1,183 monthly savings across all 3 locations.

Monthly Cost Comparison:
Previous Rate (11.8¢/kWh):$4,956/month
New Rate (9.7¢/kWh):$4,074/month
Monthly Savings:$882

$14,200 Annual Savings

Total first-year savings of $14,200 based on actual usage. Over the 36-month contract term, projected savings exceed $42,600.

3-Year Projected Savings:
Year 1:$14,200
Year 2:$14,200
Year 3:$14,200
Total 3-Year Savings:$42,600

Zero Operational Disruption

Switch completed in 21 days with no service interruption, no staff training required, and no changes to daily operations. Owner spent less than 2 hours total on the entire process.

Long-Term Rate Stability

36-month fixed-rate contract provides budget certainty through 2029, protecting against market volatility and seasonal rate spikes. Rate is locked regardless of wholesale price fluctuations.

Implementation Timeline

1

Initial Consultation

Day 1

Owner contacted Power My Business 90 days before contract expiration. Provided 12 months of billing data for all 3 locations.

2

Usage Analysis & Market Research

Days 2-5

Analyzed usage patterns, identified peak demand periods, and solicited quotes from extensive network of Texas providers. Identified 8 competitive offers below 10¢ per kWh.

3

Proposal Presentation

Day 6

Presented top 3 offers to owner with detailed comparison of rates, contract terms, and projected savings. Recommended 36-month contract at 9.7¢ per kWh.

4

Contract Negotiation & Signing

Days 7-10

Negotiated final terms with selected provider, reviewed Electricity Facts Label (EFL) with owner, and completed contract signing. Submitted switch request to new provider.

5

Provider Coordination

Days 11-18

New provider coordinated with Oncor (TDU) for meter reads and service transfer. Old provider processed final bills. No action required from owner.

Service Activation

Day 21

New provider activated service at all 3 locations. Owner received confirmation and first bill at new rate. Savings began immediately.

Frequently Asked Questions

Did the restaurant experience any service interruption during the switch?

No. The switch was completely seamless with zero service interruption. Electricity delivery continued uninterrupted because the same TDU (Oncor) maintained the physical infrastructure. Only the billing provider changed. The owner and staff noticed no operational impact whatsoever.

How much time did the owner spend on this process?

Less than 2 hours total. The owner spent approximately 30 minutes providing billing data, 45 minutes reviewing proposals, and 30 minutes signing contracts. Power My Business handled all research, negotiations, and coordination with providers.

What was the cost of using Power My Business broker services?

$0 to the restaurant owner. Power My Business is compensated by the electricity provider through standard industry commissions. The owner paid no fees, no upfront costs, and no hidden charges. The 9.7¢ per kWh rate was the final all-in energy rate.

Are the savings guaranteed for the full 36-month contract term?

Yes. The 9.7¢ per kWh energy rate is locked in for the entire 36-month contract term regardless of market conditions or wholesale price fluctuations. The only variable costs are TDU delivery charges (set by Oncor, not the provider) which typically change less than 2-3% annually.

What happens when the 36-month contract expires in 2029?

Power My Business will contact the owner 90 days before expiration to re-shop rates and negotiate a new contract. This ensures the owner avoids automatic renewal at potentially higher rates and continues to benefit from competitive market pricing. The process will be just as simple as the initial switch.

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