GSummit SF 2014 - Power Plants vs. Saving Energy: Changing behavior in a low engagement environment by Wayne Lin @wane1024

GSummit SF 2014 - Power Plants vs. Saving Energy: Changing behavior in a low engagement environment by Wayne Lin @wane1024






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  • Americans waste – WASTE – over $30B per year. That’s big money! <br /> That translates to about $20 per household every month. Wasted. <br /> And that’s real money, too. <br /> But we all know Americans aren’t really good at saving. And this message – that you could save a lot by reducing your consumption – isn’t resonating. <br /> Me? I like comfort and I’m willing to pay for it.
  • So, then people decided to describe energy savings in other terms: <br /> Like trees saved <br /> I mean, who doesn’t like trees? <br /> And if you like trees, then you have to love… <br />
  • Polar bears <br /> Although this is kind of a mean one… right? <br /> This point is… we talk about the environmental impact of energy use <br /> More energy demanded -> more energy produced -> more coal burning -> more CO2 <br /> And melting polar ice caps! and greenhouse this and that! <br /> And the message gets lost along the way <br /> <br /> And while I am personally passionate about environmental change, I have to say, images of polar bears don’t make me actually turn off the lights when I leave the room.
  • Why isn’t this working? <br /> Aren’t all these things true?
  • 6 minutes per year <br /> Not per day, not per month. 6 minutes per year! <br /> Why? <br /> <br /> Quick show of hands: <br /> How many of you checked your email this past week? <br /> How many of you checked Facebook or Twitter this past week? <br /> How many of you are on Facebook or Twitter right now? <br /> Now how many of you went to your utility’s web site to check on your energy use this past week? <br />
  • Of course not. <br /> Because it’s boring!
  • Here is a real energy bill <br /> See? Boring! <br /> And confusing. <br /> What is a kWh?
  • And energy is inexpensive <br /> 11 cents per kWh
  • OK, so talking about real impact like money and CO2 and the environment isn’t effective. <br /> And people aren’t spending any time thinking about it, it’s boring, and confusing, and too inexpensive. <br /> So how can we drive energy efficiency?
  • 12 reads/year <br /> Smartmeters – 35,000 reads/year <br /> 3000x more data
  • parallel to regular architecture <br /> landscape of options
  • voting example

GSummit SF 2014 - Power Plants vs. Saving Energy: Changing behavior in a low engagement environment by Wayne Lin @wane1024 GSummit SF 2014 - Power Plants vs. Saving Energy: Changing behavior in a low engagement environment by Wayne Lin @wane1024 Presentation Transcript

  • Power Plants vs. Saving Energy: Changing Behavior in a Low Engagement Environment GSummit 2014 Wayne Lin, Sr. Director Product Management
  • We have an energy problem
  • What if we didn’t use all that energy?
  • Why isn’t this working?
  • So what can we do?
  • Opower: A big data customer engagement platform for the world’s leading utilities Working with 93 utilities in 8 countries to engage 32 million homes 500 Oployees Washington DC | San Francisco Tokyo | Singapore | London Big data customer engagement platform
  • Data + Behavioral Science vs. Power Plants
  • Energy usage data Reads/Year 12 Reads/Year 35,0003000x MORE DATA
  • Many different approaches to meeting demand Levelized costs of electricity resource options
  • The price of power skyrockets at peak times $300 $250 $200 $150 $100 $50 $0 $/MWh 2A M 4A M 6A M 8A M 10A M 12P M 2P M 4P M 6P M 8P M 10P M 12A M PJM Day-Ahead, Wholesale Electricity Prices 1100INCREASE (from lowest point)
  • Power Plant
  • Improve customer relationships Sustained energy savings Peak demand reduction (demand response) Opower Customer Engagement
  • Behavioral Energy Efficiency & Demand Response email IVR SMS mail email
  • $203/kW-yr
  • $25/kW-yr
  • NOx CO2 CO SO2 VOC s
  • Zero Emissions
  • 20-40% Efficiency
  • 100% Efficiency Rapid pre-event communication
  • Significant reduction at peak
  • Sustained energy savings 2008 2009 2010 2011 2012 Today 4.2 TWh 9 GWh 53 GWh 204 GWh 773 GWh 1.9 TWh $470M in consumer bill savings 2.9M tons of CO2 abated
  • Delighted utility customers 55% 64% 73% 62% 72% 76% My utility wants to help me save money My utility wants to help me reduce my home energy use My utility is a trustworthy source of information on energy efficiency Control Opower recipients
  • Data + Behavioral Science Wins!
  • 1. Get my attention 2. Help me make a decision 3. Help me follow through with an action When to use behavioral science?
  • 1. Hey designer, get my attention (I dare you)
  • Social norming We don’t like to be out of the norm.
  • Loss Aversion The pain of giving up an object is greater than the joy associated with acquiring it.
  • Collection/completion We are motivated to complete or correct.
  • 2. Hey designer, Help me make a decision
  • Social proof We do things that other people (like us) are doing.
  • People’s decisions are influenced by how options are presented to them. • Anchoring • Priming • Defaults Choice Architecture
  • Select your thermostat temperature
  • Priming We can be influenced by things we see before making a decision.
  • 3. Hey designer, I want to do this. help me follow through!
  • Commitments If we commit to a goal, we are more likely to honor it because it’s now part of our self- image.
  • Plan-making We’re more likely to follow through if we’ve unpacked a plan.
  • Use social proof Ask users to commit or make a plan Frame options as a loss Apply choice architecture Appeal to collection/completion tendencies When to use behavioral science?