A world where a single utility operates without competition is a thing of the past. Customers in some markets can now pick from dozens of energy providers or even choose to source electricity from renewables like solar or wind power. They can also decide to abandon “dead-tree-format” billing and receive their invoices via mobile applications on their latest smart phone or tablet device.
What all of this adds up to is a growing consumer expectation of choice and convenience. In this environment, energy companies–in a battle for survival of the fittest–will need to raise their communications game in order to connect with customers where and when they want.
Don’t assume everyone knows what “demand response monitoring” or even “renewable energy” mean. And aim to educate before you try to persuade.
This communications challenge is made even more intense by how tech-centric the utility industry has become. If online billing once seemed like a hot new feature, now customers are being asked to understand and embrace smart meters, plug-in vehicles and services with cumbersome names like “demand response monitoring.” There is no doubt that these innovations deliver real benefits. But they add to the communications challenge because customers need to be educated about these innovations before they can be motivated to try them.
Fortunately, energy providers have choices too. There is a rich array of new options for communicating with customers in today’s world, from tweets and texts to apps and viral videos. Here are a few promising examples, both from inside the industry and from forward thinkers in other sectors:
1· Bounce Energy – not surprisingly a contender in the highly deregulated Texas market – says that it’s the first electricity company to create a full sign-up experience on Facebook. Companies outside the industry–from Zappos.com helmed by customer service evangelist Tony Hsiehto to Best Buy’s Twelpforce–have already blazed this trail and have created a model that energy companies concerned about customer care might consider following.
2· Another energy company is responding to the growing presence of smartphones and tablets with a frustration-reducing mobile app that lets customers report or check on the status of a power outage.
3· Crowdsourcing is another smart example of using the Internet in an industry always looking for innovation. GE’s Ecomagination Challenge drew 70,000 non-employees worldwide to contribute 3,800 ideas proposing solutions for the next generation power grid.
Breaking Energy covered this year’s Ecomagination challenge and featured some of the winners. Read the full story: Use Your Ecomagination.
In short, energy companies should stop thinking bill stuffers and start thinking blog posts and mobile apps. At a time when 95% of Millennials have cellphones, it’s clear that future customer communications will take place anytime and anywhere. It’s time to shift your customer interactions from a one-way information push to a two-way conversation that frequently takes place on online channels your company does not control. Indeed, customer conversation may be the energy industry’s new killer app. It’s about talking with customers, not at them, in their language, through their preferred medium.
These new delivery tools can help preserve customer loyalty in an industry in flux. However, there is one thing to keep in mind: social media and websites don’t solve communication problems. They’re just the delivery mechanisms. Energy companies that need to persuade consumers to adopt new technology such as a smart meter or time-of-use pricing need to start with the basics. Use layman’s terms. Don’t assume everyone knows what “demand response monitoring” or even “renewable energy” mean. And aim to educate before you try to persuade.
Our communications mantra at all times should be “Let’s talk. Your language.” It’s one way to make sure that you remain relevant to your customers and competitive in the marketplace.
Andrew Robertson is President and CEO of BBDO.
