BGE Customer Choice Communications Objectives

BGE Customer Choice
Communications Plan
2000
Submitted to the
Maryland Public Service Commission
January, 2000
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BGE Customer Choice Communications Objectives
The BGE-specific educational customer choice communications plan has four primary objectives.
 Meet all Commission and legislative requirements for consumer education.
 Reduce customer confusion by creating a thorough customer understanding and
awareness of BGE-specific messages. Three messages are:
1. Transition Payment Options (Competitive transition charge / price freeze service
options)
2. New itemized BGE bill and “price to compare”
3. Enrollment procedures unique to BGE
 Implement the program, utilizing enhanced technology, to respond to customer
request for information from the BGE Call Center.
 Provide leadership, support and coordination to the Commission’s statewide
consumer educational effort through involvement with the Consumer Education
Advisory Board (CEAB).
Statewide Program and BGE’s Support Program
Two distinct communication roles exist to provide an effective customer choice educational
program to customers in Maryland: the Statewide Program and the utility specific program. BGE
is committed to educating our customers with a program that effectively complements the
statewide program. BGE’s understanding of the distinction between the utility’s role and that of
the State or Public Service Commission is summarized in the chart below.
Public Service Commission / State Role
Purpose:
To educate Maryland electric consumers about
the changing electric industry and to assist
them in making informed choices in the new
marketplace.
Main messages:
 Electric choice – inform yourself, know
your choices – a sense of individual
responsibility and control
 LDC continues to restore service and
handle emergencies
 Reinforce rational benefits of choice –
saving money; helping the environment;
and the ability to join a buying group
 Customer Protections
 Customer complaints – who to call
 Supplier authorization
 Universal service generic information
 Glossary of terms
Target Audience:
 Residential (including “hard-to-reach”:
low-income, rural, elderly, illiterate and
residents for whom English is their second
language.
 Small Commercial
BGE Role
Purpose:
To educate BGE customers on aspects of
customer choice that are unique to BGE
(itemized bill, CTC options, and enrollment
procedures) as well as complement and support
the statewide effort.
Main messages:
 New, easy to understand, itemized bill to
help you shop
 Price to compare
 Competitive transition charge / price freeze
service options
 Enrollment procedures
 Reliability & restoration commitment
 Commitment to protecting the environment
Target Audience:
 All customers (Residential, General
Business, Industrial/Commercial)
 Employees
 Suppliers
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Administrative responsibility for the Commission/State role in consumer education is vested in
the Consumer Education Advisory Board (CEAB). The CEAB is made up of eight voting
members, four from the electric industry (investor-owned utilities, municipals, cooperatives, and
the competitive electricity suppliers) and four representing the consumers (Office of People’s
Counsel, Maryland Association of Community Action Agencies, American Association of
Retired Persons, and Maryland Retailers Association). Since the Commission’s formation of the
CEAB in April 1999 a great deal of progress has been made in selecting consultants and planning
the overall statewide effort. CEAB meetings have been open to interested persons to attend and
the CEAB has ensured that all views are considered in the program development. BGE is pleased
to participate on the Consumer Education Advisory Board (CEAB) and is honored to have
Malinda B. Small as the Commission’s appointee as the investor-owned utility representative.
Ms. Small was elected Chair of the CEAB by its membership.
Past Deregulation Educational Activities
BGE initiated a non-promotional, informational, customer education effort on electric
deregulation in 1996 in response to customers’ needs for general information and to answer their
questions. Market research was the basis for understanding customer concerns and perceptions in
order to build effective messages and communication tools. BGE also evaluated the educational
initiatives of states that have already deregulated electricity (primarily California, Pennsylvania,
and Massachusetts), as well as BGE’s Gas Options program communications, to establish lessons
learned. The program targeted two large customer segments – Industrial/Commercial and mass
market (residential and small commercial customers) as well as BGE employees. Below is a
summary of the deregulation educational activities that have taken place.
Industrial/Commercial
Issue Briefings – Internal training
to Account Executives
Issue Papers – A 1-page summary
of deregulation topics provided to
Account Executives and targeted
BGE personnel.
1:1 Customer Meetings –
Account Executives visit large I/C
customers.
Customer Group Meetings –
targeted I/C segment customer
meetings.
Trade Shows – Deregulation
discussed and literature distributed
BGE Connection Newsletter –
Newsletter to I/C customers
Mass Market (Residential &
Small Commercial
Customer Information Line – A
toll-free number called the Electric
Answer Line was established in
1997 (1-877-PHON-BGE).
Brochures – Four brochures
produced covering key topics: (1)
basic components of deregulation,
(2) restoration/reliability, (3)
pricing, and (4) most commonly
asked questions and answers.
Bill Inserts – Non-promotional
basic deregulation topics addressed
in both Service eXpress and
Business eXpress.
Web Site – Deregulation
information made available on the
BGE internet site.
Call Center – Employees in the
Call Center trained
Speakers’ Council – Targeted
business associations and
community groups
Employees
Intranet – Information on BGE
intranet page.
VIP/Quest newsletter –
Employee newsletter to inform
employees on various deregulation
activities and events
Leadership Exchange & This
Just In – e-mail communication
tools
Bulletin Board Notices – To
inform employees on current
events.
Video – A general deregulation
video was produced and updates in
monthly video
Supervisory Briefing Sheets –
Updates to leadership.
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Residential Customer Awareness Research
Customer awareness of electric utility industry deregulation has been tracked since May 1997. It
is based on customer responses to the following question: “Specifically, have you seen or heard
anything about the ability some time in the future to buy electricity from another supplier in
Maryland, that is, from a company other than BGE?” This is considered aided awareness, since
customers are prompted about the meaning of deregulation.
Overall, about one out of two respondents (52%) were aware of electric deregulation in Maryland
and the impending opportunity to purchase electricity from suppliers other than BGE. This is
consistent with the findings of the prior three BGE Omnibus surveys conducted during 1999, and
substantially higher than the results reported by the 1998 and 1997 Omnibus surveys. These
residential results are also very similar to the General Business customer segment overall.
Residential Customer Aided Awareness of Changes in the Electric Industry in Maryland
60%
52%
50%
51%
52%
50%
38%
40%
30%
41%
37%
28%
20%
10%
0%
May '97 Mar' 98 July '98 Nov '98 Apr '99 June '99 Sept '99 Dec '99
Research, primarily focus groups, are a key component to the development of all BGE-specific
customer choice communications. It is essential in message development and creating the
communication tools that works best for each customer segment.
Planned BGE-Specific Activities for 2000
A detailed communications implementation plan has been developed (see Attachment A) on the
planned BGE specific activities and the timing of each significant endeavor. The plan focuses on
the target audience of customers, employees and suppliers; however, it also identifies other key
stakeholder groups that will be provided educational information. The integrated plan is
structured by each stakeholder group -- customer, employee, supplier, elected official, regulator,
investor, and media. The plan shows activities that focus on the three primary messages of (1)
competitive transition charge/price freeze service options (CTC/PFS), (2) itemized bill and “price
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to compare”, and (3) enrollment procedures. This timetable is subject to change pending the
Commission’s approval of this Compliance Filing and subsequent Commission orders. BGE is
committed to complementing and coordinating with the statewide effort to educate electric
customers on choice.
The graphic below shows a summary of BGE’s plan to communicate to all business customers on
CTC/PFS options. The core of the plan evolves around a direct mail package that will include a
letter, fact sheet by tariff schedule, CTC/PFS selection form and return envelope. The first
mailing is currently planned for March with a follow-up mailing in May, and the packet will be
available to customers upon request. A significant number of communication tools are planned to
support this direct mail to create a strong understanding of their choices and encourage all
business customers to select their option by June 1. These additional communication tools are
displayed below around the core direct mail initiative. The complementary tools include the
following: employee training, articles in Business eXpress (bill insert to business customers), a
special issue of BGE Connection newsletter to large industrial and commercial customers, BGE
web site, targeting BGE Speakers Council presentations to business associations, a print
advertisement in selected business publications, customer meetings (both group sessions and oneon-one meetings), media and PR efforts to encourage positive news articles, and engagement by
the BGE call center. BGE will proactively attempt to meet with targeted business associations
to discuss CTC/PFS options and provide information through the BGE Speakers’ Council. Once
the customer selects the option by business account, that selection will appear beginning with the
July 2000 bill as a bill message.
Integrated CTC Communications Plan for
Business Customers (February - May, 2000)
Employee Training
Business
eXpress
(bill insert)
Call Center
Media/PR
BGE Connection
Newsletter
Direct Mail
- Initial
- Follow-up
- Upon Request
BGE
Web Site
Speakers
Council
Customer Meetings
(group & 1:1)
Print Advertisement
The second primary BGE-specific message is the new itemized bill and “price to compare”
information. The essence of this communication plan is the bill itself with supporting bill inserts
and messages. We plan to begin noting the customer’s price to compare on the April bill with a
special price to compare bill insert. In June, a full-page insert will be sent with the current bill to
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educate customers on the changes that they can expect to see in their new itemized July bill. A
similar insert will be sent with the new itemized bill in July and again in August to further
enhance customer understanding of the new bill. Other communication tools that will be utilized
are shown below.
Itemized Bill Communications Plan
(April - September, 2000)
Employee Training
Bill Insert on “Price
to Compare”
Call Center
Bill Insert - full page
for 3 months
New Itemized
Bill
BGE
Web Site
IVR/On Hold
Messages
Media/PR
The third BGE-specific message will include unique aspects on enrollment to support the
statewide campaign and assist in reducing customer confusion. The nucleus of this
communication plan is a brochure that will be mailed to customers upon request. This initiative
will be supported with information on the web site, interactive voice response system (IVR)
messages at the call center, employee training, media/PR activities, and bill inserts.
Enrollment Process Communications Plan
to Support the State (beginning April 2000)
Direct mail to
customers to confirm
supplier choice
Bill Insert
Call Center
BGE
Enrollment
Brochure
Media/PR
BGE
Web Site
IVR Messages
Employee Training
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Appendix A
Implementation Plan
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