3 Digital Improvement All Utility Companies Must Make

In an age where most consumers interact with companies through websites, apps and other digital channels, the utility industry is constantly lagging behind.

A recent report from JD Power found that customer digital satisfaction in the utility industry is substantially lower than other industries. As companies in nearly every other industry, even notoriously antiquated industries like insurance and banking, prioritize the digital experience and provide innovative and convenient digital solutions for customers, utility companies lag behind with outdated channels and methods. According to Jon Sundberg, Senior Manager of Digital Communication at JD Power, utility companies update their websites an average of once every five years—a lifetime in the digital space—meaning that most websites look and feel outdated and offer a clunky user experience.

By not embarking on a digital transformation, utility companies run the risk of becoming digital laggards. Aside from dissatisfied customers, Sundberg says they are also missing a chance to become more efficient and reduce costs. Without convenient digital tools to find answers, track their energy usage or pay their bills themselves, customers are forced to call the company, which is one of the most expensive customer service methods.

To stay relevant and build a stronger experience, utility companies must prioritize these three digital areas:

Apps. Fewer than half of utility companies across the country have apps, meaning they are missing out on a convenient and cost-effective way for customers to track their account and energy usage. Even companies with apps need to take them one step further. Sundberg says apps need to go beyond the base-level of convenience and move towards offering advice and real-time notifications about how each customer can reduce their energy load to lower their bill and help the environment.
Online chat. In most other industries, online chat is standard practice, but 80% of utility companies don’t offer the service. Instead, customers are forced to connect with the company on the phone or in person, which is not only less convenient for customers, but also much more expensive for companies.
Mobile website. Because utility companies update their websites so infrequently, most sites aren’t optimized for mobile. Modern customers predominately visit websites on mobile devices, which means utility websites need to be streamlined to help customers find the updated information they need on the go.

Digital transformation is crucial for every company, no matter the industry. Because utility companies often don’t face as much competition, they tend to be slow to adopt new digital solutions, which makes life much more difficult for customers. As utility startups gain steam around the country, competition is increasing, which means it’s more important than ever for utility companies to offer a strong digital experience. The best digital experience is built around customers and starts with companies listening to customers to find out what matters to them. Prioritizing feedback and creating convenient digital solutions for customers can set utility companies up for long-term success.


This week’s podcast is sponsored by Zendesk.

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Blake Morgan is a customer experience futurist, keynote speaker and the author of the bestselling book The Customer Of The Future. Sign up for her weekly newsletter here.

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