motivating energy consumers to action - aceee · 10 opower confidential behavioral segmentation...

Opower Confidential1

Motivating energy consumers to action

December 7, 2015


We’ve all experienced ads that follows us around the web…


This is called retargeting, and here is what Google is doing behind the scenes

A customer searches for a brand or visits the brand’s site

1They learn about the productsbut leave before purchasing.

2

Google displays ads on sites they visit later, bringing them back and keeping that brand top of mind

3


Behavioral segmentation enables Google to target broader audiences

Analyze the past behavioral history of visitors to the advertiser’s website

Statisticallyjudge the characteristic intents and attributionsof visitors

Target usersonline with similar behavioral characteristics


50% of visitorssee variation A

23%Conversion

50% of visitorssee variation B

11%Conversion

Variation A

Variation B

A/B testing determines the messaging we see


Increase enrollment inEE programs

What if we could use this technology to promote energy efficiency instead of a Rolex?

Promote new products and

services

Successfully introduce new technologies,

like AMI

Drive deeper digital

engagement

72


Consumer Rate Behavioral Demographic Psychographic Weather

Utilities have an amazing amount of data at their disposal to do just that!

Avg. Usage

Peak Usage

Load Curve

Age

Sq. Ft

Income

Green

Frugal

Techy

Avg. Temp

Peak Temp

Current Temp

Rate Code

Rate ID

Rate History

Cust ID

Premise

Account

Opower Confidential8 Opower Confidential8

So, how do we put this data to work?


Case Study 1: Behavioral Demand Response


Behavioral segmentation – Using proactive communications to reduce peak

This is an alert from UtilityCo:

Tomorrow, Wednesday, July 10th is a peak day.

From 1:00 PM to 7:00 PM join UtilityCo customers

by reducing your electric use. Simple ways to save

on peak days include postponing dishwashing and

other large appliance use until the peak day is over.

Thank you for helping us save!

To opt out of phone alerts, press 9.

You may also reach us at 1-800-800-8000.

Under the hood: Using machine learning to segment customers into archetypes


Quiz: Which AMI archetype saved the most?

Steady Eddies

Pro

po

rtio

n o

f u

sag

e

in e

ach

ho

ur

0.00 4.00 8.00 12.00 16.00 20.00 24.00

3%

4%

5%

6%

Hour of the day

Evening Peakers

Pro

po

rtio

n o

f u

sag

e

in e

ach

ho

ur

0.00 4.00 8.00 12.00 16.00 20.00 24.00

3%

4%

5%

6%

Hour of the day

Night Owls

Pro

po

rtio

n o

f u

sag

e

in e

ach

ho

ur

0.00 4.00 8.00 12.00 16.00 20.00 24.00

3%

4%

5%

6%

Hour of the day

Twin Peaks

Pro

po

rtio

n o

f u

sag

e

in e

ach

ho

ur

0.00 4.00 8.00 12.00 16.00 20.00 24.00

3%

4%

5%

6%

Hour of the day

Day Timers

Pro

po

rtio

n o

f u

sag

e

in e

ach

ho

ur

0.004.00 8.00 12.00 16.00 20.00 24.00

3%

4%

5%

6%

Hour of the day

EveningPeakers: 3X


Key result: Consistent peak savings across multiple utilities

Key findings

Average reduction 3.0%

Maximum reduction 5.04%

Time of day

Control Test

Peak

kW

3% peak savings

5% during hottest

hour

1/3 the cost of

other DR


2015 expanded on 2014’s BDR success

2014 2015

Utilities 4 7

Households 1.0M 1.5M

Countries 1 2

Events 12 29

Communication

s4.4M 11.7M

MW >200 >300


Finding: Savings persist year-over-year

Savings over two seasons at

one utility in California

Savings over two seasons at

one utility in Michigan

4.1%4.3%

3.9%3.6%

4.4%

Aug 28 Sept 5 Sept 16 Aug 27 Sept 10

1.8%

1.5%1.7%

2.0% 2.0%

1.8%

2.4%

1.7%

July23

Aug21

Aug22

July28

July31

Aug14

Sept2

Sept3

2014 2015Key:


Engaged and happy customers


Case Study 2: Points and Rewards


A/B testing – Can loyalty points apply to saving energy?

Using their credit cards

Booking hotel rooms

Flying across the country

Shopping for groceries


National Grid set out to find the answer


Affect

Quiz: Which message was most effective for getting customers to sign up?

Affect: 0.5X

Loss FramingScarcity

Scarcity: 3.0X Loss Framing: 5.4X

Gain Frame (Control)

Control: 1.0X


Key result: Improvements in satisfaction and efficiency program participation

46%

56%

Control Offered Rewards

Customer satisfaction Value perception

Program participation

Online audit

completion

9.2% completion rate

Electronic

billing

enrollment

8% uptake


Where do we go from here?


Where we’re going: Utilities as trusted advisors to their customers on all energy decisions

Promote efficient behavior

Market new programsand service

Drive adoption of best pricing scheme

Load shape

Web behavior

Income

Home data

Customer

Engagement

Platform

Monthly usage

Customer

Engagement

Platform


Thank you!

motivating energy consumers to action - aceee · 10 opower confidential behavioral segmentation...

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