Most commercial customers don’t need a lecture on wholesale markets—they need clarity. A good explanation of procurement models should answer two questions:
- What changes over time?
- What risk am I taking on?
A simple mental model
- Fixed: price stays the same; risk is transferred to the supplier.
- Flexible: price moves with the market; you gain opportunity but accept volatility.
- Blended: split volume across both to balance stability and upside.
Practical guidance
For customers with predictable usage and low appetite for surprises, fixed contracts remain attractive. For larger portfolios, flexible models can unlock savings—but only if there is governance, reporting, and a clear buying strategy.