Five Different Process To Win Small Business Energy Management
The redheaded stepchildren of business energy management are small and medium-sized businesses. For large commercial and industrial energy consumers, there is a deluge of expert services available, as well as an unending pool of vendors fighting for homeowners’ attention.
The small and medium-sized business (SMB) market is stuck in the middle and often overlooked. Utilities and other energy management providers want to reach out to small businesses, but they don’t know where to begin because the industry is so fragmented.
However, in recent years, there has been more talk in serving this sizable market. Accenture released its first worldwide assessment of the sector to answer some key questions. Accenture surveyed businesses with one to 500 employees in nine countries for the report, New Energy Consumer Handbook.
According to the report, SMBs have a high churn rate, with roughly 35% of participants considering switching energy providers. In the future years, the opportunity for small businesses to gain and hold the energy management market will be enormous — and it will not be confined to utilities.
- Create own rate plans
In the industry, there is a perception that small business owners don’t have the time or willingness to enrol in variable rate plans. However, more than half of poll respondents said they would choose a variable rate plan if it saved them money.
- Personalize the experience
Small and medium-sized business energy desire targeted solutions for their company needs, according to 87 percent of respondents. Nearly half of the businesses don’t care if they’re industry-specific as long as they’re built for small businesses.
There are two actions that utilities can take, according to Guthridge, that do not require a significant investment. The first is to set up a call centre within a call centre dedicated solely to SMBs. The other option is to bring in a few more persons to act as industry representatives.
- Be aware of the business cycle
A bill insert may not be the most effective way to reach out to small business energy. Instead, whether it comes to budgeting for the coming year or renewing a contract with an energy supplier, SMBs would rather talk about energy-related items.
- Offer a variety of value-added services
SMBs want many of the same services that residential consumers want, such as bill alerts and payment plans, which make costs more predictable. More than half of small businesses have had or are interested in energy audits, and another 41% are interested in energy management equipment (automated lighting or HVAC with remote controls). Even more people, 74%, expressed some or strong interest in generating their own electricity. Not only are business owners eager in customised services, but they’re also willing to pay extra for them.
- Know Who Your Rivals Are
Many small firms have already had a difficult time surviving the crisis, so they will save money wherever they can. According to Accenture’s studies, while SMBs trust their utility, they would gladly accept energy management services from alternative providers such as retailers, energy brokers, or phone or cable companies. Guthridge also mentioned a “quite strong tendency” of aggregation, in which tiny enterprises join up to pool their purchasing power.