Insights from our B2B energy webinar with Gorilla, featuring panellists from BFY Group, Gorilla, and Drax Energy Solutions.
The B2B energy market is in a state of flux again. Energy-crisis conservatism is over (for now) and we’re well into operational complexity with Market-wide half-hourly(MHHS) and other regulatory changes. Customers have higher service expectations, and the commercial tools that served suppliers well five years ago are no longer enough. However, we’re seeing growth strategies back on the agenda for energy retailers in the UK and Europe.
Success depends on how effectively suppliers can manage value from better data, innovation and strategic customer management.
We discussed these challenges with over 100 industry members in our recent B2B energy webinar. John Scott from BFY Group hosted our expert panel: Ruben Van den Bossche (Gorilla), Fiona Bell (Drax Energy Solutions), and Hannah Sword (BFY Group). They shared views on the opportunities, the risks, and how suppliers can take a stronger approach to the changes.
Watch the full webinar recording
The changing market
Over the last few years, MHHS readiness, volatile non-commodity costs and changing customer expectations have damaged margins. Growth is limited, competition is still strong, and regulatory change is accelerating. Talk about MHHS and low-carbon transitions is increasing expectations for flexibility and data, thanks to the promise of greater control for customers, TPIs and suppliers. All contributing to the mounting pressure on suppliers.
48% of the suppliers we asked said balancing competitiveness with value is the biggest challenge in commercial decision-making today.
The result resonated with each of our panellists as they shared their own experiences of balancing commercial performance with customer expectations in a more competitive market.
Fiona Bell, Commercial Director for Drax Energy Solutions (DES), highlighted the changing shift in customer behaviour. Recent price volatility with the Middle East conflict, along with TNUoS (Transmission Network Use of System) charges rising by 65%, means customers want some pricing certainty. However, with further non-commodity cost changes and obligations on the horizon Fiona explained, despite the increasing request, “it feels increasingly difficult to offer longer-term fixed contracts to customers.” So DES, as well as other suppliers, must adapt their product portfolios as best they can.
One of the toughest trade-offs at the moment is balancing customer requirements and products versus regulatory requirements.
Fiona Bell
Commercial Director, Drax Energy Solutions
For Ruben Van den Bossche, CEO and co-founder of Gorilla, the toughest trade-off right now is “between growth and margin, or speed and accuracy.” It’s harder to create commercial value but easy to lose. A challenge Hannah Sword, Director at BFY specialising in B2B, metering and commercial engagement, is seeing a lot in the B2B energy industry. She said it’s key for suppliers to ask how they can use the data to help sales and operations teams. Removing the complexity to support the fast decision-making that’s needed.
Opportunities to build success
Back to basics
It may seem obvious, but it bears repeating and each panellist agreed: the suppliers making progress are the ones who have got the basics right.
It’s important to get good commercial rigour, processes and discipline in place, to then build upon.
Hannah Sword
Director, BFY Group
Set clear commercial KPIs, consistent pricing processes, and operating models that align sales, pricing, and operations around shared strategic goals. As Ruben pointed out, suppliers who get this right and go to market more quickly and confidently will stand out against the competition.
“The ability to roll out a new product end-to-end, in front of a customer, in front of a TPI, is going to be crucial.” Ruben Van den Bossche, Gorilla
Margin visibility
Once the foundations are set, everyone agreed data is invaluable to making informed decisions and tackling the challenge of commercial practice. As Ruben put it: “You make a decision, load it into the system, price the deal, and then once you’ve won it, everyone assumes it’s going to be profitable. Unfortunately, that’s not how it works – yet.”
He recommended suppliers target a move from a model where they price a deal and assume it’s profitable, to one where they actively manage portfolio performance. MHHS data provides that opportunity. Suppliers have the potential to track margin at the customer level, seeing granular profit versus forecast, and feed that into pricing and product decisions.
Yes, MHHS brings complexity and suppliers will have to change their processes, but it also offers an opportunity with the huge amount of customer usage data. The key is how suppliers turn that data into meaningful insights. There is a real risk of over-engineering processes or products.
“Customer-facing teams will be dealing with much more informed customers so it’s important to simplify things down and give them the confidence to talk to their customers about products and prices.” Hannah Sword, BFY
There was also plenty of discussion about using MHHS data with strategic intent. Hannah shared an example of two SME customers consuming the same volume of energy who will now deliver potentially different commercial value depending on when they consume it. For this relatively unengaged segment, there’s an opportunity to engage customers practically, helping them optimise their usage or move them onto a tariff that better meets their needs, and supplier’s commercial gain.
A joined-up approach
Ruben and Fiona highlighted the need to ditch the silos within the product chain. Ruben pointed to the wider industry: “If we want to move to a more agile energy industry, then we will need to practise that and train that muscle of rolling those products out multiple times per year.”
Whereas Fiona explained how DES is looking to become a ‘one-stop shop for optimisation’ following its acquisition of Flextricity. She joked it’s easier said than done.
You need to think about how that really works. You must have all your sales teams, operations, and commercial, working closely together. But you also need to work out how that proposition is going to work with your existing TPIs.
Fiona Bell
Commercial Director, Drax Energy Solutions
That TPI engagement will become an increasing differentiator across the market. Particularly as propositions develop and customers become more informed. Suppliers who give brokers clear product descriptions and logic, consistent SLAs, and confidence (that the people they’re dealing with understand what they’re selling) will win more business and retain it. Something Hannah and the BFY team are helping organisations do more and more.
“We’re helping clients develop their end-to-end processes engineering. The key is to triangulate the insights that suppliers have and the external-facing conversations they’re having with customers.” Hannah Sword, BFY
Tech-informed decision-making
Another way the panel suggested seizing the opportunities is by carefully integrating AI and other technologies. Fiona reflected on how DES is addressing the reality many suppliers are facing. With significant resources already committed to regulatory-driven operational changes, plus older IT infrastructure, they’re being selective. Her team has focused on targeted AI applications first, “biting off some problems that are easy to solve” before developing larger integrations.
Ruben shared a fresh perspective, describing AI as a catalyst or augmenter, lifting the capability of junior team members to operate at a senior level.
“AI will play a role as an augmenter, making someone relatively junior perform like your most senior salesperson.” Ruben Van den Bossche, Gorilla
He argued capabilities that would previously have taken years to develop are easier to get much earlier. For example, juniors can now explain the impact of non-commodity cost changes on a specific customer’s contract with the support of AI training and analysis. Equally for contract analysis, what used to take three weeks now takes a few seconds.
However, all three panellists agreed suppliers need to proceed with some caution. AI can inform decision-making and many processes but should never replace them entirely. Hannah provided a neat summary.
“AI and data give us the ability to make much more meaningful, faster decisions when it’s set up in the right way. But relationships, experience, and judgment about the market are still really, really important.” Hannah Sword, BFY
Opportunities by segment
One of the clearest themes from the webinar was that the right commercial strategy looks different for each segment. Suppliers that apply one approach across the board will struggle.
SME: The priority is simplicity and scalability. This is a segment where engagement is typically lower. Therefore, the opportunity lies in building propositions and digital journeys that are easy to understand and easy to act on, without adding complexity.
Mid-market: Dynamic product design and engagement will be key. Arguably the hardest segment to crack commercially, but one with a lot of competition. The balance here is giving frontline teams (including TPIs) enough insight to have meaningful conversations with customers without overwhelming them.
Large I&C: Customers increasingly want integrated solutions, combining supply, flexibility, storage, and corporate PPAs, rather than standalone products. Fiona described Drax’s ambition of a genuinely consultative and joined-up approach following the acquisition of Flexitricity: “How do you become a one-stop shop for optimisation, EV, and supply? It’s easier said than done, but that’s where we’re heading.”
Time to seize the opportunities
Amid the changes, successful suppliers over the next few years won’t be the biggest or the most established. They’ll be the ones who have a clear segment strategy, commercial nous and the operational discipline to manage margins in real time. As the data from MHHS unlocks genuine product innovation, they will bring new customer-driven propositions to market quickly.
Watch the full webinar recording on our website for more ideas and examples. Then ask yourself these questions to ensure you’re making the most of the commercial opportunities:
- How do you plan to take the increased data, turn that into meaningful insight, and combine that with strong execution?
- Do you have an AI adoption plan in place?
- Are your fundamental operations up to scratch?
To discuss your answers and the themes raised in the webinar, get in touch with Hannah Sword or one of the B2B team to help refine your commercial strategy.
