With increased scrutiny from the government and authorities like – Australian Competition and Consumer Commission (ACCC), Victoria’s Essential Services Commission (ESC); and the independent inquiry into the Victorian energy retail market (the Thwaites Review), energy retailers have more to think about than just battling stiff competition.
With energy users becoming increasingly weary of words such as ‘special pricing’ and ‘discounts’, energy retailers need to win back the trust of their consumers, while assuring them that their brand is better than their competitors’.
In a research study run by Global Reviews in Q1 2018, for the Energy industry, it was found that:
- Consumers continue to rank costs and rates as the most important factor when making their purchase decision. But with increased awareness of hidden costs, consumers seek transparency and upfront information on prices.
“Just give us good prices without all the extra discounts.”
“I could not find daily charges anywhere on the website.”
“I just wanted the rates clear and simple.”
“All too hard. Just give me the rates and not propaganda.”
- However, retailers continue to display estimate costs instead of exact prices.
- Another major aspect that consumers found hard to deal with was when evaluating their options. It was found that some energy companies don’t have a clear starting point from their homepage to their price plans or to detailed information on rates and costs.
- To top that off, plans and rates are sometimes hidden under the fold and are presented in a way that consumers can’t understand. Owing to this, important features that consumers need to be aware of are sometimes lost amidst jargon and the complex presentation of information on the website. (Eg AGL).
What can you, as an energy retailer do, to overcome this situation?
- Be as transparent as possible with the information you provide to your consumers and
- Offer a clear starting point and a guided process to reveal pricing information.
Dodo does a great job with providing consumers with all the information about product prices:
Similarly, OVO (UK) provides consumers with the ease of locating a specific cost:
These are a few starting points to combat competition and offer your consumers exactly what they want. But not every brand has the same obstacle to overcome. As consultants offering data led solutions, we provide insights that help brands overcome obstacles and achieve their end goals.
Get in touch with us for data that can help brands like yours achieve the targets that they’ve set for themselves.
Darren Watson – Senior Commercial Director
T: +61 3 9013 0390
M: + 61 413 017 959
Tony Carveth- Senior Commercial Director
T: +61 3 9013 0390
M: +61 438 081 496