Leading Utilities Increase Customer Engagement Through Communication Despite Inflation

LIVONIA, Mich., Dec. 14, 2022 (GLOBE NEWSWIRE) -- A new Cogent Syndicated report from Escalent finds that despite rising energy costs, some stand-out utilities have scored well above their industry peers for building engaged customer relationships. As the impact of higher energy prices reverberates through the industry, overall perceptions that utilities are offering reasonable rates for the service they provide are declining, leading to an overall decline in customer engagement with utilities. Bucking this trend, leading utilities that have communicated with customers to help them find support in managing their energy use are building engaged customer relationships. Today, we name those 37 utilities as Escalent’s 2022 Customer Champions.

These findings are from the 2022 Utility Trusted Brand & Customer Engagement™: Residential study, which tracks the performance of 141 gas, electric and combination utilities to identify brand and customer experience opportunities and trends in the industry. The report is published semiannually by Escalent, a top human behavior and analytics advisory firm with extensive energy and utility experience.

The study also found that for the first time since 2018, more than half (53%) of residential customers are paying $100–$500 per month on their utility bill. Perhaps most significantly, this year marks the lowest percentage of customers (32%) who are paying less than $100 per month on their bill. Despite higher energy costs impacting customer bills, utilities have significantly decreased the level of their customer communication. Residential customers recall fewer overall communications from their utility this year and are less likely than last year to say that messaging about how they can lower their energy consumption is accurate and easy to understand.

However, in the face of these overall industry declines, the 2022 Customer Champion utilities are focused on clear communications about customer programs and are helping their customers find offerings that meet needs around managing bills. Also, unlike the industry as a whole, these utilities are sharing messaging around how to lower energy consumption that maintains a high degree of perceived accuracy and clarity.

“Customers buffeted by inflation and economic anxiety are looking for solutions to manage their energy spending,” said K.C. Boyce, vice president at Escalent. “While many utilities have approached rising energy prices by trying to explain why prices have increased, it’s clear that the utilities that have successfully navigated these challenges have instead focused on providing energy-efficiency, rate and billing programs that give customers more control over their budgets.”

Escalent is pleased to name these 37 utilities as our 2022 Customer Champions.

* Utilities named as Customer Champions are selected based on having Engaged Customer Relationship Index scores in the top decile of the industry, the top score within their respective benchmark segment, or an Engaged Customer Relationship Index score within 20 points of the top benchmark segment score and above the industry average.

EAST REGION: Customer Engagement Benchmark Performance

MIDWEST REGION: Customer Engagement Benchmark Performance

SOUTH REGION: Customer Engagement Benchmark Performance

WEST REGION: Customer Engagement Benchmark Performance

About Utility Trusted Brand & Customer Engagement™: Residential

Escalent conducted surveys among 78,905 residential electric, natural gas and combination utility customers of the 141 largest US utility companies (based on residential customer counts). The sample design uses a combination of quotas and weighting based on US census data to ensure a demographically balanced sample of each evaluated utility’s customers based on age, gender, income, race and ethnicity. Utilities within the same region and of the same type (e.g., electric-only providers) are given equal weight to balance the influence of each utility’s customers on survey results. Escalent will supply the exact wording of any survey question upon request.

About Escalent

Escalent is an award-winning data analytics and advisory firm that helps clients understand human and market behaviors to navigate disruption and business transformation. As catalysts of progress for more than 40 years, our strategies guide the world’s leading brands. We accelerate growth by creating a seamless flow between primary, secondary, syndicated, and internal business data, providing consulting and advisory services from insights through implementation. Based on a profound understanding of what drives human beings and markets, we identify actions that build brands, enhance customer experiences, inspire product innovation and boost business productivity. Visit escalent.co to see how we are helping shape the brands that are reshaping the world.