The journal of high-performance businessThis article originally appearedin the 2012, No. 3, issue of
Industry Report | Energy
(Smart) powerto the people!
By Gregory S. Guthridge, Nicholas Handcock and Naomi Manley-Casimir
Although the smart grid’s promise has yet to be ully realized,a new breed o energy consumers and innovative next-gen-eration technologies have combined to create resh oppor-tunities or providers and the many new irms competing tocapture value in the evolving energy marketplace.
accenture.com/outlook
2
Outlook 2012
Number 3
Is the smart grid ready or enlightened consumers?Compared to the an-like adorationsome online and consumer productscompanies routinely elicit romconsumers, the traditional electrical-grid-to-customer relationship lacks juice. Indeed, Accenture researchshows that until very recently,consumers have overwhelmingly viewed electricity as a low-value,commodity product, not worthy o much direct interaction withthe provider.In act, more than hal ailed toconnect with their utility at allduring a given year, and thosethat did spent, on average, justnine minutes doing so. For many,interacting with their electricalutilities was an aterthought thatoered industry players ew openingsto capture additional value or burnish brands.Now, however, we believe anincreasingly amped-up intimacy could be orming between theenergy marketplace and the peoplewho rely on it.During the last decade, concernsover climate change, volatile energy prices, blackouts and brownoutshave powered the rollout o newsmart grid technologies that manageinormation ows to make electricalpower observable, controllable,automated and integrated. What’sdierent now, though, are changeson the demand side—the emergenceo a new type o energy consumer who is increasingly defning theuture o the energy marketplace. As consumers become more mobile,connected via social media and moreconscious o their energy needs thanever beore, their preerences arechanging. As a consequence, increasingnumbers are beginning to expect morerom their energy experience than justkeeping the lights on.These new energy consumers aresearching more than ever or valuebeyond the traditional commodity product. They expect service anytime,anywhere (or instance, to rechargeelectric vehicles) and want targetedoerings and value propositions.Signifcant numbers want to reducetheir personal impact on the envi-ronment, more choices over their energy and usage management, andinnovative ways to reduce costs. Accenture global research—inNorth America, Europe, Asia Pacifcand Arica—shows that electricity consumers are increasingly interestedin products and services that alignwith their liestyles and values.In act, we identifed our valuepropositions that are rising to thetop o the list o consumer demands.
•
“Save me money.”
Give me thelowest possible cost and I’ll dothe rest.
•
“Make it predictable.”
Give meconsistent, no-rills service withoutany surprises on my bills.
•
“Save me time.”
Deliver set-it-and-orget-it solutions or managingmy energy needs.
•
“Save the planet.”
Give me peaceo mind with green options.Today, no single electricity provider delivers on all o these value propositions.Consumers are also embracingnew channels o communicationand changing the way they interactwith their providers. Our researchshows that when it comes to energy-related interactions, consumersoverwhelmingly preer web-enabledchannels and sel-service. They arealso showing increasing interestin leveraging social media as aplatorm or meaningul two-way communication and service, particularly in emerging economies.
3
Outlook 2012
Number 3
To accommodate these changing values and preerences, electricity providers are experimenting with new value-added products and services.But utilities no longer have this patcho the energy ecosystem to themselves.The cascade o new technologiesand oerings ocused on streamlining,integrating and expanding thecustomer’s relationship with electricity is in many cases coming romproviders new to the energy market-place. Consumer products companies,telecom carriers, big box retailers andothers are exploring possible roles in theindustry and introducing a wave o consumer-ocused innovation.
New players
Once the sole domain o utilities,the traditional energy marketplacehas begun to converge with other markets (see chart, opposite). Thisconvergence is attracting newchallengers vying or a share o consumer energy revenues, and many o their oerings extend beyond thetraditional delivery o electricity (that is, “beyond the meter”).For example, Florida-based ADT, whichcurrently has more than 6 millionhome security accounts, introduced ADT Pulse in 2010. The oeringmelds the company’s mainstay remote
Source: Accenture analysis
Value beyond the meter
Players from four different industries—the traditional utilities, commercial retailers, manufacturers and home servicesproviders—are all converging to offer products and services that extend beyond the traditional delivery of electricity.
UtilitiesCommercial retailersHome services providersManufacturers
GroceryretailerGeneralgoodsretailerHome improvementretailerElectronics retailerOnline services providerHomemaintenanceproviderInternetserviceproviderWirelessproviderHome securityproviderTelecommunicationsproviderDemand aggregatorElectronicsmanufacturerNetworkcommunicationsmanufacturerEquipmentmanufacturerAutomotivemanufacturerMulti-commodityutilitySingle-commodityutility
Beyond-the-metervalue
Represents significant movements from 2011 to 2012
Search History:
Result 00 of 00
00 results for result for
p.
(Smart) power to the people!
Although the smart grid’s promise has yet to be fully realized, a new breed of energy consumers and innovative next-generation technologies have combined to create fresh opportunities for providers and the many new firms competing to capture value in the evolving energy marketplace.
445
Reads
2
Readcasts
7
Embed Views
Recommended
MB_06022013
68 Reads
More From This User
Notes
Load more
