Cogent Reports: Utilities Losing Ground to Third-party Providers for EV and Solar Offerings
CAMBRIDGE, Mass.--(BUSINESS WIRE)--Nov 15, 2018--Customer demand for new energy technologies like electric vehicle (EV) charging and solar power has more than doubled since 2017. Utilities across the country, with an eye on creating new revenue streams, are increasingly launching EV charging and solar power offerings to meet this growing demand. While many consumers view utilities as natural providers for these offerings, utilities are quickly losing preferred provider status to non-utility third parties.
Overall customer preference for the utility as a solar power provider among interested customers has fallen from 68% last year to 47%. While preference for utilities as a provider of EV charging offerings remains flat, preference for third-party providers has increased by 66%. If preference for third-party providers continues to increase at this rate, they will overtake utilities in consumer preference in three years.
“Utilities are on the verge of one of the greatest marketing and revenue opportunities they have ever had,” said Chris Oberle, senior vice president at Market Strategies International-Morpace. “If they want to capture significant EV charging and solar power market share, utilities need to quickly build and defend their brands as trusted providers of new energy technologies.”
Our energy industry research shows customers with low brand trust in their utility have a very high preference for third-party providers, while the utilities with the strongest preference tend to have higher Brand Trust scores as well as strong support for being “trusted energy advisers.”
Source: Market Strategies International-Morpace. Cogent Reports™. Utility Trusted Brand & Customer Engagement™: Residential study, September 2018.
Nationwide, 14% of utility customers say that they are likely to adopt rooftop solar, community solar, solar hot water or home battery storage within the next six months. While western states like California and Arizona are perceived to be the hottest solar markets, the greatest demand for solar offerings is actually in the South—stretching from Texas to Virginia. Similarly, customers in the South indicate the greatest interest in home or public EV charging offerings.
These and other findings can be found in the Cogent Reports™ 2018 Utility Trusted Brand & Customer Engagement™: Residential study by Market Strategies International-Morpace. The study measures the market dynamics of over 65 offerings and customer shopping behaviors of 18 customer segments.
About Utility Trusted Brand & Customer Engagement: Residential
Market Strategies-Morpace conducted surveys among 52,486 residential electric, natural gas and combination utility customers of the 130 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 in order to balance the influence of each utility’s customers on survey results. Market Strategies-Morpace will supply the exact wording of any survey question upon request.
About Market Strategies International-Morpace
Leading market research firms Market Strategies International and Morpace bring clients closer to their customers through exceptional insights. The firms specialize in brand, customer experience, product development and segmentation research, and are known for blending primary research with data from syndicated, benchmarking and self-funded studies to help clients succeed. They have earned the trust of many of the world’s top brands across the automotive, consumer & retail, energy, financial services, health, technology and telecommunications industries. Market Strategies and Morpace are combining into one firm, as part of an acquisition of both firms by STG, and will be rebranded under a new name to be announced later in 2018. With more than 450 research professionals, the collective firm is now the 15th largest market research firm in the US and top 25 globally.
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CONTACT: Anne Denz, 617.715.7611
KEYWORD: UNITED STATES NORTH AMERICA MASSACHUSETTS
INDUSTRY KEYWORD: ENERGY ALTERNATIVE ENERGY UTILITIES OTHER ENERGY
SOURCE: Market Strategies International-Morpace
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PUB: 11/15/2018 03:00 PM/DISC: 11/15/2018 03:01 PM