For consumers, the relationship they have with their utility providers is one of necessity. Since most modern conveniences require some form of energy, the consumer does not have a choice in their need to live ‘on-the-grid.’
In New Zealand there are 120,000 households that are willing to switch energy providers. A hot lead is those buying a new home, last year 40% of those who moved house changed their electricity or gas provider. And they are online checking out prices, around 30,000 consumers investigate energy cost savings via online tools on both Consumer Powerswitch and What’s My Number.
In this competitive environment it is important marketers and utility planners profile their customers – to identify who is willing to switch, their behaviours and attitudes and then how to reach them. More than half of customers are satisfied with their current energy provider, which is positive but for those brands who want to both maintain and grow their market position there is further opportunity.
Taking Contact Energy customers as an example, there are 28,000 households who would consider switching from them in the next 12 months. These ‘switch’ customers tend to be males in large households with higher incomes. They are influential and opinionated and technology savvy, 47% more likely (than the population) to own a tablet.
How can you stop them leaving? Examples could be having more emphasis on positive customer experiences and devise energy apps for tablets e.g. easy payment, power usage tracking.
How can you reach them? Potential switching Contact Energy customers can be most effectively reached by magazines, and online advertising. They are also heavy television viewers.
Customer Satisfaction Levels of Energy Provider (by main household shopper)
Nielsen’s Energy Report insights help you maintain and grow your customers. It includes a national market snapshot (market share of energy companies, customer comparisons by company including satisfaction levels, those willing to switch and website visitation. It also includes profiles of customers (all customers, your at risk of switching customers and competitors customers).