Utility Week

UTILITY WEEK | 8TH - 14TH JUNE 2018 | 27 Customers Produced in association with: "We must work to understand the causes of customer mistrust." T he struggles of UK utility companies to raise and sustain trust are nothing new. For many years now, individual companies and the industry as a whole have been grappling with persistently low levels of trust compared with other sectors, and experiencing the busi- ness challenges this entails, including high customer churn, difficulty engaging with customers to communi- cate new offers and opportunities, and reduced access to regulatory rewards for high customer satisfaction. Across the sector, companies – and regulators – have been working consistently to counter this problem. They have tried to introduce new and more transparent billing formats, invested in marketing and brand cam- paigns, expanded support for vulnerable customers and undertaken a range of other actions designed to promote legitimacy in the eyes of customers. But still, issues with trust – and especially trust in the way prices for utility services are set and why – persist. And with the sector undergoing significant transformations, including a shi to smart metering and digital customer relationships, this could become a real limiting factor on companies' ability to evolve for the requirements of tomorrow's market. With this in mind, WNS Global Services was delighted to support the request of our utilities Trust Council – established in partnership with Utility Week – for an in-depth piece of qualitative research into the dynamics surrounding trust and pricing in the sector. As a global business process management solu- tion provider that enables exceptional and consistent customer experiences, we are keen to work with the industry to understand the political, regulatory and social sentiment context in which such platforms must perform. We hope the insights provided by this report will ena- ble companies to take tangible action to improve their customer relationship management, pricing approaches and communications strategies in order to enhance their brand in the eyes of customers and promote trust. Where the research highlights the need for reviews of industry mechanisms or regulation, we hope too that such insights will help to shape the thinking of regula- tors so that companies are increasingly empowered to take control of the factors impacting trust. Thank you to all the industry leaders and experts who contributed to creating this unique report. Comment Chris Lloyd Senior vice president & utilities practice lead UK & Europe, WNS Global Services Regulator view: Ofgem "Price is key to encouraging consumers to shop around for their energy supplier, decide on the right supplier for them and to build loyalty. However, price is not the only contributing factor to building consumers' trust and engagement in the energy market. Our consumer survey results show consumers value both price and service. It matters to consumers how their energy provider deals with problems and complaints, and how they fix things that go wrong. There are real opportunities for suppliers to think innovatively and offer services and products geared to different consumers, including vulnerable people. The rules we set for suppliers are designed to create greater market accountability – to make sure suppliers offer clear terms and treat custom- ers fairly. For example the Confidence Code, a voluntary accreditation scheme for domestic price comparison websites, requires sites to be clear on whether suppliers offer Warm Home Discount so that consumers can make an informed switching deci- sion. It is for companies to account for these rules in their business strategy." Meghna Tewari, head of retail market policy, Ofgem A smart future could aggravate and complicate vulnerability issues, leading to further erosion of trust.

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