Achieving Real Estate Procurement Success
Dive into our case studies below to see how we have empowered real estate owners and operators across the country to deliver savings and make data-driven decisions.
Case Studies
Case Study: ProcuRET partnered with a top 20 multifamily housing owner/operator to save $4.3M (10%) across the MRO category in under two years
SITUATION
- With a portfolio exceeding 250 properties, our member faced significant challenges in consolidating and optimizing MRO spend across their operation
- Facing the complex challenge of managing over 16,000 SKUs across their property portfolio, the member grappled with inconsistent supplier coordination, fragmented inventory tracking, and rising operational costs
ACTION
- ProcuRET evaluated our member’s spend and supplier SKU usage data to pinpoint opportunities in MRO
- ProcuRET ran a competitive RFP, engaging trusted distributors equipped to manage complex order flows and implement effective cost-control measures
- ProcuRET partnered with two national distributors to secure MRO supply contracts, achieving favorable pricing and ensuring reliable, streamlined delivery for high-impact SKUs
RESULT
- Streamlined compliance with two leading MRO distributors, delivering $4.3 million in direct savings in under two years
- Implemented a comprehensive rebate program that grew earned rebates by 50% Y-O-Y
- Designed and launched a data-driven reporting program to optimize operations, ensuring consistent supplier performance and enhanced performance tracking
Case Study: ProcuRET helped consolidate vendors and achieve a 15% reduction in Remediation category spend for an existing member
SITUATION
- Our member had been leveraging ProcuRET across other categories and sought an additional cost reduction opportunity for their Remediation category ($5M in spend across FL and TX)
- Member’s Remediation category spend was locally managed and fragmented across markets, with a lack of standard agreements and data visibility
- Incumbent vendors were utilizing Xactimate as a resource to provide pricing for services provided to member
ACTION
- ProcuRET analyzed invoice and claims data across all local vendors to create comparative rate cards
- ProcuRET solicited proposals from several national vendors to compare against incumbent providers
- We partnered with Servpro to secure a cost-competitive national deal for our member and achieve a discount from standard Xactimate pricing
RESULT
- Reduced the weighted average cost of Remediation services in FL and TX markets by 15%
- Implemented a standard agreement with best-in-class service KPIs to comply with industry standards such as insurance and labor requirements
- Developed and implemented a reporting dashboard to ensure billing consistency and performance tracking
Case Study: ProcuRET delivered 17% net savings on the Flooring category for an onboarding member
SITUATION
- Our onboarding member had an exclusive flooring agreement with one manufacturer and relatively high compliance rate
- They spent approximately $20M on installation costs, with 80% of installation costs going to five installersÂ
- Over the past two years, the member faced multiple significant price increases from both the manufacturer and installers
- No price transparency within dealer contracts for cost of materials, labor and other costs
ACTION
- ProcuRET assessed our member’s spend and supplier data to identify opportunities for improvement across the flooring category
- ProcuRET ran competitive events in multiple regional markets simultaneously and gathered installation bid pricing on current specification and alternate manufacturers
- Our team negotiated directly with manufacturers concurrently to secure price protection and manufacturer rebates
RESULT
- Consolidated installer base from five to two installers, achieving 10% annualized savings
- Secured an additional 7% savings by switching to an alternate manufacturer and aligning on a preferred product specification to optimize volume discounts
- Executed master contracts requiring cost breakdown, price protection and improved service level commitments