POWERGRAMS

POWERGRAMS May 27, 2013

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CUSTOMER SERVICE Independent survey shows APC most respected company in state A ON THE COVER: A direct current generator at Powell Avenue Steam Plant is now idled. Photo by Bill Snow PAGE 2 labama Power continues to be the state's most respected company, based on a recent telephone survey of residential customers by Hawthorn Research Services of Virginia. Hawthorn Group Chairman and CEO John Ashford said 57 percent of the 2,242 people polled in February and March named Alabama Power as the best company in Alabama, which marked an all-time survey high. Customers were interviewed in each of the company's six geographical divisions. Ashford said the survey has a 95 percent level of confidence, with a 2.9 percent sampling error. When asked how they "feel about some people and institutions, on a zero to 10 scale," the respondents gave Alabama Power their highest rating at 78 percent favorability, just ahead of their local gas company (77 percent) and the University of Alabama (76 percent). With respect to overall satisfaction with Alabama Power, 55 percent of customers said they were very satisfied, 31 percent said they were somewhat satisfied with their overall experience and 8 percent expressed dissatisfaction with the company. Ashford said those numbers compare favorably to the national benchmark of 42 percent very satisfied, 38 somewhat Ashford satisfied and 9 percent dissatisfied. More than one-third of Alabama Power customers said their satisfaction is determined by responsive/prompt service, while another third said the key is reliable power, and the remainder found their satisfaction rooted in good service and affordable rates. Among 87 national utilities, Alabama Power ranked No. 11 for favorable customer perception of rates, with 29 percent saying their bills are very reasonable, 46 percent saying the cost is somewhat reasonable and 14 percent answering that the electric rates are somewhat or very unreasonable. Ashford said nationally about 23 percent of customers believe their electric bills are somewhat or very unreasonable. Nearly seven out of 10 customers surveyed by Hawthorn said Alabama Power has done a good job of holding down costs. More than eight out of 10 said they believe the companies they do business with should "earn good profits." Nearly one-third of those surveyed believe incorrectly that Alabama Power's nonprofit charitable arms cause customers to have higher bills. Sixty percent of respondents said Alabama Power "should be allowed to earn a good profit" if the company provides reliable power at rates below the national average. Those respondents doubled the number of customers who believe the company earns too much profit. Nearly nine out of 10 customers surveyed said they believe energy efficiency is important, with 64 percent saying measures such as adding insulation, buying a heat pump and using fluorescent light bulbs are "very important." Nearly two-thirds of customers said Alabama Power has done a good job providing energy efficiency information. Eighty percent of the survey respondents said Alabama Power does a good job "in balancing Alabama's need for economical electricity with the need to keep Alabama's environment clean." Forty-four percent of customers surveyed said car emissions are a serious environmental issue, while 42 percent said emissions from electric power plants are not a problem for the environment and another 20 percent judged power plant emissions a "minor problem." In regard to billing methods, customers paying online jumped in 2013 to 22 percent of respondents, as paying by mail dropped to one-fourth of customers answering the survey. Cash or check payments at local Alabama Power offices accounted for 34 percent of customers, 13 percent said the bill payment is automatically deducted from their checking account and 4 percent said they pay by debit card. Nearly 90 percent of customers who are on budget billing said they are satisfied with the equalized monthly payments, including 65 percent who said they are "very satisfied." About one third of customers said they visit an Alabama Power office once a month, which was the same number who responded they "almost never" visit a company office.

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