KSV

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Your Customers Don't Trust Your EE Financial Messaging.

When it comes to inspiring the EE customer to participate in programs or to purchase an EE product, the typical industry message is rooted in the benefit of financial savings. And it makes sense.

Who doesn’t want to spend less on their energy bill?

But, KSV’s proprietary research tells us that the typical customer response to “savings” messages is rooted in distrust. Fundamentally, there is a lack of understanding and skepticism in why a utility would want customers to save money on their monthly bills.

Customers are thinking “How do I know I will actually save money, or actually be paid back for these expensive upgrades? And how long will that actually take?”

One residential homeowner is quoted “I’m just not sure if there will be a financial payoff to making the adjustments or that it would actually add value to my home.”

In a situation of uncertainty and distrust, how can you relieve these barriers?

One solution: Provide a guarantee.

92% of research participants state the lack of an energy and cost reduction guarantee as one of their top three barriers to EE program participation.

What guarantee can you provide? A reasonable payback period? Annual savings? Convenience?

Without a guarantee, you’re asking customers to trust you. Do better than that. Give them no option but to trust you, and be accountable for that. 

Building customer trust in your programs will only lead to increased customer satisfaction. And this is how you transform your energy company into an energy brand.

Lauren Bell / lbell@ksvc.com / 802.862.8261

 

What Resonates with the EE Customer: Saving Money or Wasting Money?

How do you inspire customers to participate in your EE programs? Do any of these sound familiar? "Lower your monthly bill!" or "Save on energy costs!" or "Save energy. Save money!"

We, as marketers, are communicating the benefit of financial savings to our customer. And for the most part, this message works.

So, we guide customers on ways they can save money program by program... But do they all really value this idea of savings?

The Consumer Federation of America reports that only 50% of Americans have good savings habits.

There's no denying that selling the financial benefits of participation or purchase can and do work. But is the message saturated, and uninspired?  

In a society of spenders, why do we constantly provide ways for our customers to save money? What happens if we talk to customers about the very opposite? 

While conducting proprietary consumer research, KSV asked utility customers all over the Northeast what inspired them more when it comes to taking action in EE program participation and/or purchase: Saving money? Or not wasting money? 

We were surprised to find an even split.

50% stated they were more inspired to participate and/or purchase when the result was financial savings. Is this an old habit response?

50% stated they were more inspired to participate and/or purchase when the communications were focused on not wasting money. Is this an opportunity response? 

Because we're spenders, one could argue that wasting money wouldn't resonate. (After all, we live in the Starbucks generation of $5 coffees.) But the truth is that customers want to spend their hard-earned money on things they want, not on the things they need.

Either way you spin it, your message is resonating. But if you find that your message is saturated, now could be your opportunity to reach that other 50% with just a simple change. 

Food for thought. Get in touch if you're interested in the full research report. We can even chat about it over a Starbucks. 

Lauren Bell / lbell@ksvc.com / 802.862.8261