This brief summarises results from a survey of 1,000 consumers in Australia in June 2010. The survey was given to respondents responsible for buying electricity in the household. Comparisons are made with responses from previous surveys conducted at a similar time of year in 2009 and 2008. The survey was conducted in the wake of media reporting of impending price increases.
Scope of the report:
- Analysis of the effectiveness of the key switching channels - Insight on the factors triggering the growth in switching - A breakdown of switcher behaviour and motivations for switching
Highlights:
Australia has some of the most competitive electricity markets in the world, and churn rates indicate that switching momentum is increasing, and is expected to gather pace as price rises are implemented in the new financial year (starting 1 July 2010)
Rising prices (or early indications thereof) are encouraging customer pro-activity and online sources (retailer websites and online price comparison sites) are becoming increasingly popular sources of information.
The key channel of door to door sales remains the most effective, but over one-fifth of switchers proactively sought out their supplier, with over one-third of households surveyed having proactively approached a supplier with the intention of switching
Reasons to buy:
- Assess to what degree consumers are becoming more proactive in seeking out a new supplier - Analyse the effectiveness of key sales channels - Understand consumer reactions to media reporting of impending price increases
