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For more than 14 years, Zembl has been offering energy procurement and bill comparison services to Australian businesses, helping those from the smallest cafés to pubs, clubs and the largest hotel chains to buy better energy and improve their bottom lines.
Balancing hospitality with economy
Unique pressures on the hotel, pub and club bottom line
Wherever there are cooking kitchens, welcoming rooms, comfy temperatures, glittering gaming machines, entertainment and the other trappings of hospitality, there’s an energy bill – often one as extravagant as the experience it powers.
Where pubs, clubs and hotels consume their energy
Whilst pubs, clubs and hotels aren’t identical in their business operations, what they have in common is a need to provide dining and spaces of comfort for patrons, at scale. Refrigeration, lighting, cooking and HVAC (air conditioning) systems are therefore where they consume the lion’s share of their energy – with energy accounting for around 6 to 10% of their total business costs. Venues, with 24-hour operations or rooms of gaming machines, exceed these figures by a considerable margin. Such venues also face the brunt of peak demand charges, where sudden surges in energy use can result in astronomical energy costs.
It goes to follow that energy efficiency – if it promises a way to reduce those hefty costs without compromising the quality of experience for patrons – is worth more than a look.
Why energy efficiency, why now?
Making every dollar count, just like patrons are
In 2024 in Australia, every industry providing for a want, rather than a need, is subject to the pressures of the cost-of-living crisis on its bottom line, and hotels, pubs & clubs are no exception. Where discretionary spending is being cut to the bone, hotel stays and meals out can be an unaffordable luxury for many. When this translates to revenue drops, pressure on margins tightens, meaning every saving that can be made on fixed costs like energy bills is a dollar that doesn’t need to be re-allocated to another budget, or worse still, passed onto patrons.
The RSL advantage
One unique advantage Australian RSLs have in the current economy is the age of their members, which tends to be older, many being part of the baby boomer generation. This group, most of whom have paid off their homes completely, are not negatively impacted by economic factors such as high interest rates and tend to have more disposable income for spending on hospitality – giving RSLs less of a revenue squeeze to deal with, and less upward pressure on membership fees and menu prices.
That said, RSLs are not-for-profit organisations who exist solely for the benefit of their members, so every saving is another dollar that can help them do just that.
3 key benefits of energy efficiency
Why cost savings are just the beginning
Energy efficiency is a strategic approach that promises a wealth of benefits, not just for a pub, club or hotel’s bottom line, but for its brand image and environmental footprint as well.
1. Cost savings
The most enticing aspect of energy efficiency initiatives are the potential financial savings. Simple changes, from updating lighting systems to optimising HVAC operations, can lead to immediate reductions in the energy bill. For hotels and pubs, for every dollar saved in energy costs, is a dollar earned in profit, and where profit margins are razor-thin, every penny of this makes a big difference.
2. Environmental benefits
Environmental benefits also flow naturally from energy-saving measures. Reduction in energy consumption translates to a decline in greenhouse gas emissions, and by extension, a lighter carbon footprint. In an era where corporate social responsibility is a major consideration, these eco-credentials are invaluable to businesses, and if they can achieve it whilst also saving a buck, all the better.
3. Brand appeal
When clubs, pubs and hotels embrace energy efficiency, they don't just save money – they show the world they're forward-thinking and responsible. A hotel experience, for example, represents a plethora of opportunities for positive brand messages that project a sustainable and progressive environmental stance – everything from water bottles to laundry bags, bathroom taps and air-conditioning units are potential canvases. These messages, with the right tone, can ensure that energy efficiency is never seen as a hotel ‘skimping’ on luxury or service, but rather providing a value-add for the customer who can rest easy knowing that their stay is making a minimal mark on the environment.
6 powerful energy savers
Making change where the biggest gains are
Every hotel, pub and club business has its own nuances affecting its energy efficiency opportunities – with everything from premises to location playing a part. However, for most, the energy saving opportunities fall into these six buckets.
1) Efficient lighting
An easy and obvious first step for a hotel, pub or club is to replace conventional incandescent bulbs with energy-efficient LED lights, which consume a fraction of the energy and have a far longer lifespan. Additionally, motion sensors and timers can ensure that illumination is used only when necessary, further cutting down electricity usage.
2) Temperature control & HVAC tactics
Regular maintenance of heating, ventilation, and air conditioning (HVAC) systems can make powerful improvements in how much energy is consumed in operating these systems. Ensuring they’re optimised for peak efficiency can result in substantial energy savings, while smart zoning can match energy use with the ebb and flow of patrons and guests.
3) Intelligent energy management
Adapting today’s energy management technology, allows hotels, pubs and clubs to monitor energy usage in real-time and make adjustments as needed. This level of control not only keeps energy consumption in check but also provides valuable data that can inform future energy-saving decisions.
4) Renewable energy options
If a hotel, pub or club’s premises are suitable, renewable energy sources like solar panels could present an opportunity for significant and long-term energy savings and efficiency. While the initial investment might seem steep, the long-term cost savings and potential for additional revenue through power generation could be game-changing.
5) Other building changes and upgrades
Sometimes there can be enormous energy efficiency benefits by taking a broader view and considering more building-related factors, such as roofing, insulation and other elements that are intensifying demands on your heating or cooling systems unnecessarily – such as with the Dubbo Memorial RSL Club Skycool project back in 2014. Funded by a modest $60,000 Federal Government grant, this project involved application of a specialised thermal coating to 5,414m2 of the RSL’s roof area, which cooled their buildings and resulted in an immediate 19.3% reduction in their energy costs for that year, and projected cost savings of $163,000+ per annum into their future.
6) Professional energy audit
A professional energy audit is probably the most powerful first step any business with complex energy needs can take on its pathway to dramatically improved energy efficiency. This involves energy experts looking in detail at a business’s energy usage, including its premises, meter data, energy bills and more to provide a holistic view of the opportunities and next steps.
An energy audit also gives your business an informed vantage point from which to consider all future energy efficiency ideas and approaches pitched – from consultants, business stakeholders and others.
Why energy efficiency is about more than just energy procurement
At Zembl, we offer energy procurement for many of Australia’s best-known pubs, clubs and hotel chains, but we know it takes more than energy procurement alone to make the biggest impact on a business’s bottom line in terms of energy efficiency.
That’s why, when you choose Zembl for energy procurement you’ll feel our energy well beyond signing your energy contract, with ongoing service to help you know more, use less and pay less for your energy, for your full contract duration. This includes:
• Zembl Energy Consultants – a team of local, expert people at your service.
• Energy intelligence – AI-powered insights from your own usage data to uncover and maximise your efficiency opportunities.
• Energy efficiency – using your energy insights, we’ll help power your business’s transformation to today’s most energy efficient options.
If you’d like to know more, it’s as simple as leaving your details and a Zembl Energy Consultant will call you right back.
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