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Energy efficiency marketing best practice July 2012 for E-ON conference

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Most energy efficiency marketing fails because it has a one-size-fits-all approach. This presentation, first given at a conference organised by E-ON, looks at how segmentation models can be used to understand the audience and better target people for energy efficiency marketing.

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Energy efficiency marketing best practice July 2012 for E-ON conference

  1. 1. Energy efficiency marketingbest practicePhil BeardmoreLocalise West Midlands
  2. 2. Localise West Midlands• A not-for-profit think-tank, campaign group and consultancy, which promotes localisation for social, environmental and economic benefit• Developed the Green New Deal model with Encraft for Birmingham City Council – now Birmingham Energy Savers• Action research projects – Using a Green Deal approach to tackle fuel poverty, Green Deal Opportunities for Social Enterprise• www.localisewestmidlands.org.uk• www.twitter.com/localisewm
  3. 3. Watch your meters Watch your meters
  4. 4. Homes behaving badly – meet Dave Meet Dave
  5. 5. The adoption cycle
  6. 6. The energy saving adoption cycle Loft/cavity Condensing insulation boilers PV Solid wall insulation
  7. 7. Does AIDA apply to energy saving?• Attention – Interest – Desire – Action• 80% of factors influencing environmental behaviour do not stem from knowledge or awareness (Blake, 1998 – the Value Action Gap)• The remaining 80% stem from behavioural psychology
  8. 8. Defra Climate Challenge Fund
  9. 9. Defra Climate Challenge Fund Benson School - Tomorrows Climate, Todays Challenge
  10. 10. Defra & environmental segmentation
  11. 11. Chris Rose and Values Modes
  12. 12. MINDSPACE A checklist of non-coercive behavioural influences (Cabinet Office, 2010) • Messenger – we are heavily influenced by who communicates information • Incentives – our responses to incentives are shaped by predictable mental shortcuts such as avoiding loss • Norms - we are strongly influenced by what others do
  13. 13. MINDSPACE• Defaults – we ‘go with the flow’ of pre-set options• Salience – our attention is drawn to what is novel and what seems relevant to us• Priming – our acts are often influenced by sub- conscious cues• Affect – our emotional associations powerfully shape our actions
  14. 14. MINDSPACECommitments - – we seek to be consistent withour public promises, and reciprocate actsEgo – we act in ways that make us feel betterabout ourselves
  15. 15. Does nudge economics apply?
  16. 16. Does nudge economics apply?
  17. 17. DECC Green Deal Consumer ResearchUNPROMPTEDRESPONSENot wasting energy 14%Lower energy bills 20%Saving money 18%Warmer/more comfortable 14%homeLower carbon 7%emissions/better forenvironmentOthers 27%
  18. 18. DECC Green Deal Consumer ResearchUNPROMPTED RESPONSE PROMPTED RESPONSENot wasting energy 14% Not wasting energy 37%Lower energy bills 20% Lower energy bills 67%Saving money 18% Spread payments 18%Warmer/more comfortable 14% Warmer/more comfortable 46%home homeLower carbon 7% Lower carbon 24%emissions/better for emissions/better forenvironment environmentOthers 27% Increase property value 17% Make property easier to sell 11% Installations less expensive 4%GfK NOP / DECC, April 2011 than I thought
  19. 19. Defra Greener Living Fund• Phone Coop - 150 members saved 52 tonnes of CO2 (0.35 tonnes per person) plus 2.1 tonnes of waste diverted from • Total Coverage - 49 members saved 26 landfill tonnes of CO2 (0.53 tonnes per person) plus 1 tonne of waste diverted from landfill
  20. 20. Green Streets – British Gas
  21. 21. Challenge 100 – E.ON
  22. 22. Affinity Sutton
  23. 23. Old Home, Superhome
  24. 24. Social media
  25. 25. Social media
  26. 26. Smart phones
  27. 27. DECC – LEAF projects
  28. 28. Eco Teams
  29. 29. Stay Warm, Stay Well in Birmingham
  30. 30. ConclusionsLearn from theories such as MINDSPACELearn from good practice e.g. LEAF projects, Stay Warm Stay WellWe need a strategic approach to community marketing not a race to the bottomBirmingham is already a leader on community marketing and behaviour change as well as carbon saving, BES can become a centre of excellence
  31. 31. Phil Beardmorephilbeardmore@virginmedia.comwww.twitter.com/philbeardmore

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