With a growing population of 1.33 billion, India remains one of the most densely populated countries across the globe.
In latter years, advancing infrastructure and a move towards a free economy has enabled growth in key sectors such as Tech and FinTech, where, according to Statista, nearly 90% of individuals now have and utilise mobile devices and 29.5% regularly access the internet.
For forward thinking businesses and organisations, India is fast becoming a land of opportunity, enabling brands to expand their footprint by simply adhering to the advancing demands of the country’s growing population.
With 84.5% of the population having consistent access to electricity, this potential for growth is inherent within the energy Utility sector too. With increasing energy demands coinciding with the move to deregulation and regional concessions for electrical supply, it is the first movers amongst the private Utility companies who are set to reap the rewards.
With India being the third largest contributor of greenhouse gases, after China and USA, the Government is driving the world’s largest renewable energy programme with a target of 500 gigawatts of capacity by 2030 (increasing from just 80 gigawatts today).
This goes hand in hand with a desire to change consumer behaviour, such as switching from coal burning ovens, a contributor to high smog levels, and banning the use of plastics. In Mumbai for example residents face a fine of up to 25,000 rupees [£276] and three months jail-time for the use of single-use plastics, such as bags, cups or bottles.
Additional developments include the proposed ban on non-electrical vehicles by 2030 in key urban locations, like Kolkata. As one of India’s cities fighting the highest level of pollution, this move could significantly improve the country’s air quality, but comes with a number of clear issues that need to be addressed and resolved. This includes the implementation of consistent and efficient charging points that are supported by stable distribution, uninterrupted transmission and accelerated power generation.
Utilities must keep pace with this national green energy agenda. Energy company, CESC, has been gearing up for an EV charging pilot to test the viability of a charging stations network covering Kolkata and certain parts of the Howrah district. If successful, Kolkata will welcome 150 EV charging stations situated around an area of 567 square kilometres, which would be ground breaking for the country.
Maintaining consistent supply, managing inconsistent infrastructure, setting up new connections and servicing increasingly demanding customers can put a great deal of pressure on resources.
Equally, homeowners face challenges in keeping their lights on and home running. Electrical wiring which may be unsuitable for the increased burden of additional appliances electrical, and issues with finding reliable tradespeople for example.
In a recent homeowner survey commissioned by HomeServe in India, 78% of respondents felt that finding a suitable supplier for home emergency repairs at short notice is problematic. 81% were concerned about quality of workmanship and 78% had a fear of being over charged.
WITH CHALLENGE COMES OPPORTUNITY
With a fast changing landscape the key for Utilities achieving a competitive advantage is to adopt a more holistic approach to the use of energy in the home. Simple service offerings such as improving electrical wiring or providing maintenance and repair services, would not only protect consumers, but would also enhance customer relationships, shaping positive perceptions of Utility providers.
Installations services equally provide a significant opportunity with growing demand. The air filters market is forecast to grow 6.07 percent, reaching circa $393 million by 2023. The air purification market is predicted to grow at a CACG of 39% to $38.99m by 2023, and the water purification market set to be $4.1bn by 2024 (from $1.1bn in 2015). The air conditioner market is projected to grow at a CAGR of 13.7% from 2019-2025.
Not only would expanding energy related propositions such as this help customers manage their homes effectively and safely, but it would also drive customer loyalty, paving the way for the type of home assistance subscription programmes that HomeServe offers in partnership with Utility providers globally.
HOW CAN HOMESERVE HELP?
Home services propositions can help Utilities improve their relevance in customers’ homes. With subscription programmes designed to save customers money and bring peace of mind, they act as a retention and revenue driver building more valuable customer relationships.
In HomeServe’s survey of Indian homeowners, a staggering 91% say they are likely to buy a home assistance programme to provide access to emergency repairs, and 64% of consumers advise that they feel their Utility company would be a suitable provider of home emergency and repair cover.
With advancing infrastructure and a move to the privatisation of Utility supply, providers in India need to take a holistic approach to customer relationships, thinking far beyond the electrical meter and understanding what consumers want and need within their homes. Initially, this may be safer electrical wiring, but moving forward it will enable consumers to be safe in the knowledge that at any time their Utility provider is on hand to help with any issue or problem that requires professional assistance.
At HomeServe, we know from extensive experience that this innovative approach to home assistance not only drives customer loyalty, but more importantly, it drives long-term stability and growth.
Bringing you news, features and ideas. PLUS highlights of our new homeowner loyalty report.
HomeServe has been named as one of the top 100 companies in the UK as it enters the FTSE100 list on the London Stock Exchange.
HomeServe announces preliminary results for the year ending March 2020.