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1.4 Million Australians on the Hunt for a New Electricity Retailer

By Luc Share, Senior Analyst - Marketing Effectiveness, Nielsen
Demographics | 21-03-2017
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This summer’s record-breaking heatwave stretched Australia’s energy supplies to unprecedented levels; intensifying consumers’ concerns about rising energy prices. In an attempt to reduce climbing power bills as many as 10% of Australians (or 1.4 million) aged over 18 plan to switch electricity retailers in the next two months.

So who are this group of intended ‘Electricity Switchers’ and how can energy retailers engage with them to persuade them to stay or convert them into new customers?

Profiling this group of consumers using data from Nielsen’s Consumer & Media View (CMV) survey reveals that they are 17% more likely to live in the metro areas of Australia; have a higher household income than the national average and they are more likely to be young families. Interestingly, 28% had already changed electricity providers in the past 12 months.

Finding a long-term solution for energy efficiency is high on the agenda of Electricity Switchers with 298,000 already having solar panels or a solar hot water system installed; an additional 130,000 plan to have at least one of these options installed in their home in the next year.

Reaching Electricity Switchers with a tailored message that speaks to their concerns is mission critical for energy retailers. So, which media channels are the best? They are particularly engaged by outdoor advertising (68% are exposed to over 17 outdoor touchpoints per week); 43% go to the cinema at least monthly and they are heavy magazine and newspaper readers. They are also twice as likely to say they are attracted by celebrity endorsements; and that exposure to advertising does prompt them to search the Internet.

The rising cost of energy continues to put pressure on household budgets. It highlights the need for energy retailers to better understand, reach and resonate with individual consumers in order to tailor product offerings, and in turn, attract new customers while preventing churn.

Tagged:  BRAND MARKETING  |  ADVERTISING  |  SHOPPER  |  DEMAND  |  GREEN
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