Utility companies are facing rising customer expectations and increased operational pressure. As energy markets evolve and regulatory complexity grows, delivering fast, high-quality service has become a business-critical capability. When one regional German utility encountered a customer service crisis, Eraneos partnered with them to rapidly stabilize operations and rebuild customer trust.
The challenge
The energy service provider faced multiple growth limitations. A saturated core market with fully penetrated customers offered little potential for organic growth. Simultaneously, their competitive advantage through proprietary software solutions was diminishing as competitors and startups increasingly invest in AI-powered technologies. The shortage of skilled professionals combined with insufficient digitalization limited the scalability of their personnel-intensive business model. Additionally, the dynamic energy transition with increasing data complexity required new capabilities in data processing and analysis to maintain market relevance.
The approach
Eraneos Strategy developed a comprehensive value creation plan based on a holistic analysis of market, customers, competition, and internal situation. This analysis uncovered market trends, attractive customer segments, competitive dynamics, internal strengths and weaknesses. Together with the C-Suite and department heads, we identified, qualified and prioritzed value levers, with particular emphasis on targeting the structural limitations for sustainable growth. This resulted in a well-founded business case with long-term strategic initiatives and short-term operational measures. The plan included targeting new customer segments, digitalizing core processes, expanding AI capabilities, and enhancing the software platform to address changing market demands.
“The growth strategy represents a significant milestone, integrating clear structure, detailed analytics, and innovative solutions, all designed to drive sustainable and profitable market leadership.”
The results
Eraneos developed a transformative strategy for the client, setting the course for over 50% EBITDA growth within five years. The plan focuses on five key levers: modernizing the core technology platform with AI and automation, digitalizing services for large customers, expanding into new industries, creating AI-powered self-service solutions for SMEs, and enhancing energy efficiency consulting for broader market appeal. These strategic initiatives tackle workforce challenges, drive digital transformation, and seize new market opportunities in a rapidly evolving energy landscape. The strategy has sparked a mood for change within the company, igniting enthusiasm and a shared commitment to future growth.
About the client
The client is a specialized energy service provider for the German retail sector focusing on multi-site business models. The company offers multi-year contracts in energy brokerage, invoice verification, energy controlling, and energy audits. Their proprietary software serves as the technological backbone for customer applications and internal processes. The client base consists mainly of large B2B customers with multiple locations, particularly in the retail segment, where market penetration has reached saturation, limiting further organic growth potential.