CUSTOMERS BY TYPE
SUPPLIES BY TYPE OF CUSTOMER
Edison manages the end market with three divisions responsible for the profitability, costs, development and management of the new contractual solutions offered to customers on the business market, SME market and residential market.
A network of Sales Account Managers and a supply management function manage and control the business segment. Tools were created for a simplified, real-time response to the needs of business customers, which are increasingly aware of energy market dynamics and opportunities to best combine service quality and cost savings.
In 2016, a specific function was launched to search for business opportunities in the creation of infrastructures and logistics for LNG sales for both industrial customers and transport fuel customers, thereby creating the opportunity to replace fuels with more environmentally friendly fuels (diesel and fuel oil) and laying the foundation for the creation of a new line of operations.
The SME segment has enhanced its market position by offering smart agents to manage customers from contract activation to expiration, alongside the channels already in place, such as door-to-door agencies, the internet and inbound / outbound telephone operators.
The residential segment has seen growth in the online channel, which now accounts for over 30% of sales. Both inbound and outbound telesales channels and agent sales remain in place, along with SME sales handled by select agencies to ensure the quality of the sales process.
In addition to selling electrical and natural gas consumption monitoring tools, tests have been conducted for the launch of new home automation and comfort tools on the residential market.
To expand and diversify the channels on which new customers are acquired, partnerships have been forged with certain key players on the Italian market in the real estate, consumer appliance and digital service sectors, with differentiated offers and services for customers.
Following incentives to use e-billing and pay via interbank direct debit, the quality of new customers in the residential and SME segments is extremely high. In 2016, the use of direct debit payments rose 5% on 2015 and the use of e-billing grew 14%.
Edison offers a solidarity bonus, in line with the provisions of AEEG (the Italian Regulatory Authority for Electricity and Gas), to around 12,500 customers. The solidarity bonus enables disadvantaged households and those with a member affected by a serious physical problem to save on their energy bills. Edison provides information about the bonus and how to apply for it on various active communication channels (edisonenergia.it, the service quality charter and customer service).
Edison also allows households with financial problems to pay their bills in instalments.
Edison began e-commerce operations in May 2016 to sell its products to customers and non-customers, separating the sale of these products from the sale of electricity and natural gas supplies. At present, the main product families available in the e-shop relate to energy savings and home automation. Its e-commerce goals are to ensure a high-quality customer experience while also helping customers reduce their energy consumption and improve their environmental impact.
The development roadmap for e-commerce entails new advertising campaigns already planned for the first few months of 2017, which will focus on the sale of new products in areas that are of increasing interest to customers, such as comfort at home, customer safety and wellness.
Edison Energy Solutions and Mediocredito Italiano, an Intesa Sanpaolo Group bank specialised in supporting the development of companies, signed an agreement to offer financial services to Edison customers planning to carry out energy efficiency projects.
This support targets companies that want to reduce their energy spending and the environmental impact of their activities by implementing efficiency solutions.
Edison Energy Solutions customers will therefore have access to Mediocredito Italiano’s financial services and its Energy Desk specialists for investment assessment and the identification of the financial solutions best suited to their needs.
Together with other players in the sector and with the collaboration of a few consumer groups, Edison has sponsored the Manifest for the energy of the future, the aim of which is to create the rules for a more open and innovative energy market, more in line with the needs and requirements of domestic consumers and SMEs.
The Manifest proposes four fundamental principles that could guide and characterise the complete deregulation of the energy market: Savings, Sustainability, Innovation and the Inclusiveness of All. This approach will enable residents and companies to benefit from a fully competitive market, according to simple, effective rules that help make consumers knowledgeable decision-makers.
In 2016, the Manifest was enriched by meetings with stakeholders to contribute to creating an innovative, competitive market that protects the parties with the greatest need for support. Edison intends to sponsor a new model centred around the customer and capable of meeting the needs of people and businesses by offering innovative services, considering their specific needs and lifestyles.
Customer satisfaction
Customer satisfaction is a priority for Edison and this is why it constantly monitors customer satisfaction to track service quality and pinpoint any areas that need work, as it strives for continuous improvement.
COMPLAINTS RATE (%)
2016 saw further stabilisation of the positive effects of technological investments, process reviews and training carried out in 2014 and 2015 to increase service quality. The improved performance of the complaints rate confirms that the actions taken have been effective.
Surveys conducted during the year paint a positive picture: customers appreciate service quality, consider Edison a reliable operator that takes their needs into account and have positive expectations with respect to the innovations and advantages that Edison could offer the market (e.g., smart homes, energy efficiency services, etc.).
Monthly monitoring of customer service shows that both households and businesses have a positive view. Customers who contact Edison for information and to request assistance are satisfied: even with the automatic charging of the government television fee directly in power bills, they recognise Edison’s significant attention, professionalism and expertise.
In 2016, Edison Energia’s outstanding receivables were reduced further, for a positive performance in the retail portfolio, whose outstanding receivables now account for 2.5% of turnover, while collection within three months of the due date is now up to 95%.
The collection process in the retail sector has been optimised through with more automation and credit recovery actions continued with better performances following the engagement of specialised credit recovery agencies for out-of-court procedures and court proceedings.
Outstanding receivables due from industrial customers in the business segment are also well under control and account for 1.5% of turnover. Outstanding receivables due from public administrations are also kept in check through factoring without recourse.
Development maintenance continued on the GDC project for the use of a specific application environment to monitor and execute payment reminders. Furthermore, in 2016, the Credit Management Division was involved in implementing the new government television charge directly in power bills.
In 2016, AGCM (the Italian anti-trust authority) issued a specific measure fining Edison Energia €1,725,000. The measure also alleges unfair commercial practices in post-sales services, particularly with respect to the invoicing of consumption, credit recovery and customer refunds.
Edison Energia filed a specific appeal with the Lazio regional administrative court petitioning for the cancellation of the measure.