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24 | 7TH - 13TH AUGUST 2015 | UTILITY WEEK Customers Market view O fwat's vision for the water sector in England and Wales is one where "cus- tomers, the environment and wider society have trust and confidence in vital public water and wastewater services". Trust is a key measure in the water indus- try and new evidence shows encouraging signs that water companies are performing well on customer trust compared with their counterparts in the energy sector. However, issues around charging and profitability remain – particularly in England – and the industry needs to do more to build trust among customers. The Consumer Council for Water ( CCWater) has been measuring household customers' trust in their water company for a number of years. The most recent meas- ure, published in its Water Matters: Annual Tracking Survey this week, puts levels of trust at their highest for five years. Customers' trust in their energy com- pany has also increased, although it remains lower than the corresponding measure for water. In a recent survey of 1,000 households in England and Wales, DJS Research looked into why customers trust or don't trust their water company. In line with the CCWater findings, it found that the majority of customers (64 per cent) trust their water company, with households in Wales more likely to trust their water company than those in England (75 per cent versus 63 per cent for England). The main reason why customers trust their water company is because their water and sewerage services are reliable. Two- thirds (67 per cent) of those who trust their supplier picked this as one of the top three reasons why, with this figure increasing to 87 per cent among those aged 65+. Whilst reliable service was selected most oen as a top reason for trust in every region of England and Wales, the percentage choos- ing this varied dramatically. For example, 81 per cent of customers in Wales select this as one of the top three reasons driving trust, while in London reliability is chosen by only 49 per cent. Water company trust issues How much do people trust water companies? And what can companies do to improve matters where trust is lacking? Ali Sims presents a summary of DJS research into customer attitudes. ICS viewpoint: complaints handling is where it all goes wrong The utilities sector has improved its level of customer satisfaction more than any other sector in the UK over the past 12 months, with the latest UK Customer Satisfaction Index revealing that satisfaction has risen by 2 points, since July 2014. Yet despite the rate of improvement that is evident, it must be said that utility companies started from a low base. It is still the low- est performing sector in the Institute of Customer Service Index and there is a huge degree of polarisation, with some of best performing utilities companies hailing from the water sector as well as some of those identified as the poorest. Utilities perform least well compared with the national average on a number of complaint handling measures such as staff doing what they say they will do and speed of resolving complaints. A third of customers, for example, said staff "seemed uninter- ested" when handling a complaint, compared with just 17.1 per cent who were sympathetic. They do, however, perform well with satisfaction around pricing showing the biggest improve- ment of any single measure. To keep moving in the right direction companies in the sector need to focus on all elements of the customer experience. Evidence suggests that when they do, satisfac- tion levels increase. Jo Causon, chief executive, Institute of Customer Service CCWater viewpoint: the past price review shows the value of engaging with customers DJS's findings reinforce our long-held view that customers' trust in the water industry is built on two essential factors: value for money and reliable service. That's why over the past decade so much of our work has focused on helping water companies understand and meet customers' expectations in these two areas. Our own research suggests this work is starting to bear fruit as water com- panies are beginning to achieve increasing levels of trust, mirrored by a rise in customer satisfaction with value for money. Water companies are now listening to their customers, with the price review demonstrating what can be achieved when the indus- try commits to authentic engagement with its customers. But while trust is difficult to secure, it can be quickly lost, which is why water companies can- not afford to be complacent. While the comparisons with energy are favourable, water remains only marginally ahead of an industry where consumer trust has suffered repeated setbacks and controversies. That's why over the next five years we want to see water companies build even greater trust by delivering on the promises made during the price review and continuing their "conversation" with customers. That includes communicating clearly to customers what they are getting in return for their money and showing greater transparency over their finances. Tony Smith, chief executive, Consumer Council for Water