Digital channels are transforming the way customers interact with the services they use. Communications are happening 24/7, conversations are no longer simply one-on-one and consumers are developing a kind of do-it-yourself attitude. In the face of all this, many utility companies recognize the importance of embracing these digital channels, both in terms of raising customer satisfaction and in boosting profitability. After all, these channels cost significantly less to run than more traditional methods such as phone calls. However, simply hurrying the transition of communications from traditional methods to digital methods without proper strategy actually can have adverse impact on customer satisfaction. This is because utilities run the risk of forcing customers into channels they do not prefer and, on top of that, not maintaining continuity of information with the channels they have used in the past.
In order to determine the level of agreement between communication channels offered by utilities and the ones preferred by their customers , WNS DecisionPoint(TM) conducted a survey of over 60 energy utilities and their customers across the US, the UK and Australia regions. They survey clearly highlights a significant gap on the part of the utility companies in understanding their customers' channel preferences and which hold them back from realizing the benefits of a multi-channel approach. Based on this survey, key strategies are determined which utility companies can adopt if they want to be successful in the coming years.
These strategies include:
- Using analytics to gauge customer behavior and predict their current and future needs to increase marketing e¬ffectiveness
- Understanding channel preferences of different customer segments for varied types of interactions
- Off¬ering multi-channel options to customers and interacting with them through their preferred channels
- Providing seamless, relevant and personalized omnichannel experience across channels
- Optimizing omnichannel customer experience for better customer satisfaction and lower cost of operations
To discover more about the power of omnichannel experiences in utilities, read the report at https://www.wnsdecisionpoint.com/our-insights/reports/detail/62/boosting-customer-satisfaction-while-reducing-operating-costs
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Utilities are still unable to leverage multi-channel approach to realize
their business goals
Customer satisfaction by number of communication channels offered by utilities
73.5
74.6
67.2
66.6
62.0 64.0 66.0 68.0 70.0 72.0 74.0 76.0
Used one channel
Used two channels
Used three channels
Used more than three channels
CSATScores
(outof100)
Sources: 1 - International Customer Management Institute, 2 - Institute of Customer Service
Customers are increasingly demanding more channel choices which can potentially
underpin their satisfaction
A sizable number of utility companies accepted that emerging channels have a great
impact on customer service experience and overall relationship management1
Nearly 40% of companies stated that digital channels such as social media, mobile and
self-service have a positive impact on response time
Over 30% witnessed a significant increase in customer satisfaction (CSAT),
first-contact-resolution, and customer loyalty
Yet, utilities have actually witnessed a decline in customer satisfaction when multichannel
customer engagement strategy has been adopted
Surprisingly, customers who used lesser number of channels (one or two) to interact with
their utility providers were more satisfied as compared to customers who used three or
more channels2
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Lack of holistic understanding of customer preferences restrain utilities from
fulfilling the objectives of overarching customer relationship management strategy
Source: WNS DecisionPoint™ Survey and Analysis
There is a wide chasm between customers’ order of preference for channels and those
leveraged by utilities to interact with them
To assess expectation vs. reality mismatch, WNS DecisionPoint™ conducted a survey of
over 60 energy utilities across the US, the UK and Australia and their 350+ customers
Level of agreement and disparity between channels preferred by customers and
channels offered to them by utilities*
*The scale of agreement and disparity between customers’ preferred vs.
available channel options is examined through a correlation derivation
Channels Overall US UK Australia
Phone Calls
Emails
Website - Live chat
Website - Self service
Mobile Website
Mobile - Live chat
Mobile - Self service
Social Media
SMS
Direct Mail
Utilities Outlets
Greater than
0.69
Strong Agreement
Between
0.50 and 0.69
Moderate Agreement
Between
0.25 and 0.49
Weak Agreement
Between
0.00 and 0.24
Very Low /No Agreement
Between
-0.01 and -0.24
Weak Disparity
Between
-0.25 and -0.69
Moderate Disparity
Lesser than
-0.69
Strong Disparity
Region-wise
gap analysis
indicates the
inability of
utilities to
understand
customer
needs and
preferences
to offer a
tailored value
proposition
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Using analytics to gauge customer behavior and
predict their current and future needs to increase
marketing effectiveness
Understanding channel preferences of different
customer segments for varied types of interactions
Offering multi-channel options to customers and
interacting with them through their preferred channels
Providing seamless, relevant and personalized
omnichannel experience across channels
Optimizing omnichannel customer experience for
better customer satisfaction and lower cost of
operations
How can utilities have a winning edge?
Utilities who are lagging
behind should not only
begin a shift towards
omnichannel model but
also optimize
customer experience
to increase the efficiency
of support functions
Read full report to find the ways to successfully adopt and optimize omni-channel customer support
3 Wnsdecisionpoint.com
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A credible insights hub for companies looking to
transform their strategies and operations by aligning
with todays realities and tomorrow’s disruptions.
Email: perspectives@wnsdecisionpoint.com
Website: wnsdecisionpoint.com
@WNSDecisionPt
WNS DecisionPoint
WNS DecisionPoint
