Customer Support of Energy Utilities Directly Related to Brand Trust

44 Utilities Named Most Trusted Brands Among Residential Customers

CAMBRIDGE, Mass.–(BUSINESS WIRE)–Support of utility rates and attracting consumer use of alternative
energy offerings requires brand trust among residential electric and
natural gas utility consumers, according to a new Cogent Reports™ study
by Market
Strategies International. This annual study highlights a statistical
relationship between brand trust and rate support, and shows customers
expect utilities to expand support for new offerings and community
outreach as a result of rate increases. The study’s findings, which
designates 44 utilities as “Most Trusted Brands,” can be found in the
2017 Utility
Trusted Brand & Customer Engagement™: Residential study.

“Building a brand that customers trust and offering products and
services customers will use are the new utility challenges. Brand trust
is truly the difference between customers supporting or resisting new
utility income opportunities,” said Chris Oberle, senior vice president
at Market Strategies International.

High brand trust scores are required to attract customer use of
alternative energy offerings and to increase the preference to use
utilities as providers of these products. Additionally, customers who
trust their utility are twice as likely to recommend those alternative
energy products to other customers.

“Our research clearly shows utility brand trust levels are closely tied
to financial success, customer advocacy and market support for rate
changes,” continued Oberle. “High brand trust benefits customers,
shareholders and stakeholders, and positions utilities as credible
players in shaping the evolving utility market.”

The study’s brand trust index has declined by one point this year to 692
(on a 1,000-point scale). The study, now in its fourth year, benchmarks
brand performance of 130 utilities on a quarterly basis among 59,823
utility consumers. The brand trust index is based upon 35 rating
questions that relate to a suite of emotional attachment and management
performance factors.

This year, Cogent has designated 44 utilities as 2017 Most Trusted
Brands. This group of utilities scores 40 points higher on brand trust
than their industry peers. As a result of the brand trust garnered among
customers, Most Trusted Brand utilities experience a 7 percent
improvement in support for rate increases and a 27 percent boost in
positive customer comments than industry peers. Additionally, Most
Trusted Brands are viewed by customers as better stock investments.

The following four tables show benchmark scoring among the utilities
surveyed.

2017 Brand Trust Scoring by Benchmark Segments: EAST REGION

2017 Brand Trust Scoring by Benchmark Segments: MIDWEST REGION

2017 Brand Trust Scoring by Benchmark Segments: SOUTH REGION

2017 Brand Trust Scoring by Benchmark Segments: WEST REGION

About the Utility Trusted Brand & Customer Engagement: Residential
report

Cogent Reports conducted surveys among 59,823 residential electric,
natural gas and combination utility customers of the 130 largest US
utility companies (based on residential customer counts). The sample
design uses US census data and strict quotas to ensure a demographically
balanced sample of each evaluated utility’s customers based on age,
gender, income, race and ethnicity. Utilities within the same region and
of the same type (e.g., electric-only providers) are given equal weight
in order to balance the influence of each utility’s customers on survey
results. Market Strategies will supply the exact wording of any survey
questions upon request.

About Market Strategies International

Market
Strategies International is a leading provider of research and
consulting services to utility management, trusted by the world’s most
successful organizations to help them thrive. We blend primary research
with data from our syndicated, benchmarking and self-funded studies to
provide clients with exceptional research insight that helps solve their
challenges. Our research specialties include brand, communications, CX,
product development and segmentation. Our syndicated products, known as
Cogent Reports, help clients understand the market environment, explore
industry trends and monitor their brand within the competitive
landscape. Founded in 1989, Market Strategies is one of the largest
market research firms in the world. Read Market Strategies’ blog at FreshMR,
and follow us on Facebook,
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and LinkedIn.

Contacts

Market Strategies International
Anne Denz, 617.715.7611
[email protected]