THE CHANGING VALUE OF CUSTOMER

EXPERIENCE IN THE ENERGY CLOUD

WHITE PAPER | PUBLISHED 4Q 2018

TABLE OF CHARTS AND FIGURES

Chart 2.1 Annual Installed Total DER Power Capacity

by Region, World Markets: 2017-2026 ..........................5

Figure 1.1 Navigant Energy Cloud 4.0:

Network of Networks ..........................................................4

Figure 1.2 Value Shifts Downstream to the Customer ...............6

Figure 1.3 Transform or Perish ............................................................7

Figure 1.4 New Entrants Defining the CX

Standard in Energy ........................................................... 10

Figure 1.5 Customer Experience and

Capabilities Maturity ........................................................ 12

TABLE OF CONTENTS

1 INTRODUCTION .......................................................................3

1.1 Top-Tier Customer Experience is

Essential in the Energy Cloud ................................................3

1.2 Energy Cloud Defined ..............................................................4

2 DRIVERS OF CHANGE IN CUSTOMER EXPERIENCE .....5

2.1 Value is Shifting Downstream

Towards the Customer .............................................................5

2.1.1 Disruptive Technologies Empower Customers ......5

2.1.2 Disruptive Organizations Thrive in a

Customer-Focused Energy World .............................6

2.2 Good Enough CX is Not Enough Anymore ....................6

2.2.1 The Rise of Customer-Centric Thinking ..................7

2.2.2 Benchmarking with Other Industries is a Must ...8

3 TAKING CX TO THE NEXT LEVEL ..................................... 10

3.1 Learning from CX Disruptors in Energy ......................... 10

3.2 Proven Business Models Require Repositioning ........ 11

3.3 How Do Utilities Navigate This Transformation? ........ 11

3.4 Recommendations ................................................................. 13

4 ACRONYM AND ABBREVIATION LIST .............................. 15

5 SCOPE OF STUDY .................................................................. 15

6 SOURCES AND METHODOLOGY ....................................... 15

ENERGY

THE CHANGING VALUE OF CUSTOMER EXPERIENCE IN THE ENERGY CLOUD1 INTRODUCTION

1.1 Top-Tier Customer Experience is Essential in the Energy Cloud

Utilities are experiencing a paradigm shift as they move from regulated

commodity providers to sophisticated total energy solutions providers. Customer

experience (CX) sits at the heart of this transformation.

The Energy Cloud introduces a multitude of new platforms (Figure 1.1) from a

distributed, clean, and intelligent grid to deliver new revenue streams. For utilities

to cement themselves as the premier choice of energy service providers, leveraging

new Energy Cloud platforms alone will not be enough. New competitors are rapidly

emerging at the grid’s edge to address these platforms, and at the same time redefining

CX standards through efficient, low cost digital operations.

The pressure is on for incumbent utilities to transform how they interact with their

customers to find their place in this evolving market, but what is missing for many

utilities today is a top-tier CX. Transforming CX is foundational to extending utilities’

value propositions in the customer-centered Energy Cloud—selling customers on

evolving programs, products, and services that are becoming increasingly important for

utilities’ business models.

“The utility of the future is absolutely not going to look

like it does today. Even from a customer service point of

view. So we’re looking at customer service components,

and stickiness, how loyal are our customers? If there are

other providers out there, would they choose us as their

number one choice? We need to position ourselves to be

there, such that we are their number one choice.”

EILEEN CAMPBELL, ALECTRA UTILITIES

This white paper explores how CX changes in the Energy Cloud, and how utilities and

energy providers can begin to navigate the CX transformation in their organizations.

MICHAEL KELLY Research Analyst

TED WALKERManaging Director

AIDA HAKIREVICDirector

navigant.com

4

1.2 Energy Cloud Defined

During the next 5-15 years, Navigant expects massive disruption across the entire energy

value chain that will affect a broad set of stakeholders. Moving toward a multidirectional

network of networks and away from a linear hub-and-spoke model, this system will

support two-way energy flows in which customer choice (optionality), clean energy,

innovation, and agility command a premium. At Navigant, we call this the Energy Cloud.

In the Energy Cloud, the epicenter of disruption will focus on the customer as

demand for cleaner, more intelligent, mobile, and distributed solutions reaches

commercialization.

Figure 1.1 Navigant Energy Cloud 4.0: Network of Networks

© 2018 Navigant Consulting, Inc. All rights reserved.

© 2018 Navigant Consulting, Inc. All rights reserved.

Integrated DER

Internet of Energy Transactive

Energy

Neural Grid

Smart Cities

Building 2 Grid

Transportation 2 Grid

DER

Renewables

Big Data and AI

Storage

ConnectivityElectric Buses

Edge Computing

Smart Buildings

Smart Street Lights

Machine Learning

Smart Meters

Blockchain

EV Charging Stations

Electric Vehicles

Smart Homes

(Source: Navigant Consulting, Inc)

The combination of these innovative technologies, increased demand for new energy

products and services, and viable business models will give rise to dynamic, customer-

centered Energy Cloud platforms (Figure 1.1). Each Energy Cloud platform is expected

to generate billions in new investment in component technologies and infrastructure

development by 2030, each representing high growth opportunities over the next

decade. These platforms will significantly overlap with each other, creating even greater

synergistic value for energy consumers and energy stakeholders alike.

5

2 DRIVERS OF CHANGE IN CUSTOMER EXPERIENCE

The shift to the Energy Cloud presents a number of threats and opportunities that will

require incumbent utilities to rethink their traditional relationships with customers. Key

changes include a value shift to the energy customer, and the fact that a “good enough”

customer experience (CX) is, in fact, no longer enough.

2.1 Value is Shifting Downstream Toward the Customer

The shift to the Energy Cloud represents a shift in value to the customer as disruptive

technologies enable customers to more actively participate in the energy marketplace, and

non-traditional competitors enter the market to serve the growing needs of customers.

2.1.1 Disruptive Technologies Empower Customers

The rise of onsite generation, energy storage, and net metering could result in a greater

percentage of customers demanding the ability to self-generate and sell power back to

the grid. Amazon, Google, Honda, Walmart, and other large energy buyers are already

establishing grid-independent sustainable energy solutions across their building portfolios.

Commercial and industrial prosumers could eventually gain access to wholesale markets to

sell overcapacity renewables, led by organizations such as IKEA and Apple.

It is estimated that 132.4 GW of distributed energy resource (DER) capacity was

added in 2017, growing to 528.4 GW in 2026 at a 16.6% compound annual growth rate.

This rapid growth rate illustrates the short timeframe available for utilities to begin

addressing this transformation.

Chart 2.1 Annual Installed Total DER Power Capacity by Region, World Markets: 2017-2026

100,000

-

200,000

300,000

400,000

500,000

600,000

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026

(MW

)

North America

Asia Pacific

Middle East & Africa

Europe

Latin America

(Source: Navigant Research)

6

The implications of value shifting to the customer are significant and affect virtually

every aspect of the traditional power and utility industry. As shown in Figure 1.2, 75%

of $6.0 trillion in global value will shift downstream in the Energy Cloud. As a result,

the customer ecosystem will evolve into a more dynamic marketplace with a highly

diverse asset mix, unpredictable load, and increasing customer demands. Investing in CX

transformation and fostering CX will be critical to unlocking this value.

Figure 1.2 Value Shifts Downstream to the Customer

Generation Transmission andDistribution

EaaSEC Platforms

Value2030

Business As Usual(Conservative)

ENERGY CLOUD(Aggressive)

Energy Tech Telecom Retail Security DER AutoManufacturerOil & Gas

$4.7tr

$6.0tr

(Source: Navigant Research)

2.1.2 Disruptive Organizations Thrive in a Customer-Focused Energy World

Disruptive organizations are beginning to capitalize on this need for fostering

greater CX. These disruptors include well-established companies and startups across

many end customer-oriented industries, such as high tech, telecom, retail, heavy

and consumer product manufacturing, security and internet providers, and auto

manufacturers. These entities are often cash-heavy, run top-tier R&D engines, and own

the customer relationship.

Utilities risk ceding significant market share to these new market entrants, which are

already targeting opportunities focused on the energy customer. At stake is the highly

valued customer relationship that utilities currently enjoy. If utilities fail to recognize the

threat posed by disruptors, customer loyalty will be at risk.

2.2 Good Enough CX is Not Enough Anymore

Historically, utilities have been asked to keep the lights on at low and keep predictable costs

as their primary objective, along with ensuring safety and reliability. Operating this way

under typically monopolistic circumstances, North American utilities have delivered CX that

historically has been good enough. While this may be okay for a commodity player, it must

be great for a total energy solutions provider operating in the Energy Cloud.

7

2.2.1 The Rise of Customer-Centric Thinking

Customers are coming to expect higher levels of service from their utilities. This comes in

part from a shift in consumer expectations in other industries, whether it be media services

(Netflix), lodging (AirBnB), or retail (Amazon). The common thread in these industry shifts is

digital disruption, with customer-centric thinking winning out in the end. These revolutionary

business models have used technological innovation at the offerings—and platform—level to

provide seamless, fast, and convenient service to customers.

This drive for customer service comes from customer retention, and the idea of customer

lifetime value, or the net profit that can be attributed to an extended customer relationship.

According to American Express’ 2017 Customer Service Barometer report, 33% of

Americans say they will consider switching companies after just a single instance of poor

service.1 And according to NewVoiceMedia, $62 billion is lost annually due to poor customer

service.2 This is a clear driver for utilities in deregulated markets, and a potential sign of

things to come for those that have operated for decades under monopolistic models.

Figure 1.3 Transform or Perish

MUSIC TELECOMMUNICATIONS CAR/TAXI SERVICE

• 1989 – WWW invented

• 1999 – Napster initially

released

• 2001 – Napster’s

decline begins

• 2014 – Digital music

(Spotify, iTunes) sales

take lead

• 2004 – landline

subscriptions exceeded

92% in U.S. households

• 2014 – telephone

companies lose

estimated 60% of

access lines

• 2015 – smartphone

convenience drives the

tipping point in landline

vs. mobile subscriptions

• 2009 – Uber founded

to offer a black car

service via smartphone

platform

• 2012+ – App-based ride

services mainstream,

often preferred due to

convenience and better

experience

• 2015 – TAXI stock price

down nearly 50% since

2010

(Source: Navigant Research)

1. American Express, “American Express Global Customer Barometer 2017,” https://about.americanexpress.com/press-release/wellactually-americans-say-customer-service-better-ever.

2. Chris Bucholtz, “The $62 Billion Customer Service Scared Away [Infographic],” NewVoiceMedia, https://www.newvoicemedia.com/blog/the-62-billion-customer-service-scared-away-infographic.

20

15

10

5

0

2013 2014 2015 2016

Uber’s gross bookings

Billi

ons

(USD

)

0%

20%

40%

60%

80%

100%

2004 2008 2012 2016

8

Industries such as music, telecommunications, and taxis demonstrate

how technological innovation and meeting customer demands can

slice through traditional business models and regulations, leaving

long-standing incumbents behind (Figure 1.3). Well-known platform

companies today—such as Uber (car/taxi) and Spotify (music)—have

used technology innovation and data to deploy disruptive products

and services. The digital transformation of energy means that

regulated utilities should not expect to be shielded from the reality

faced by other industries.

In the more deregulated European markets, customer choice is

already driving investment in CX. In the UK, newcomers OVO

Energy and Bulb have both enabled easy supplier switching

and renewable-based procurement options through seamless,

digitally enabled customer journeys. Supported by low cost

structures and digital operating models, these companies

are seeing lower operating costs, cheaper prices, and higher

customer satisfaction.

In turn, these smaller, cleaner independent suppliers are seeing

high switching rates. In June 2018, nearly half of all switchers did

so from a Big Six supplier to one of the smaller alternatives.3 Cost,

sustainability, and customer service drove much of this activity.

And according to Ofgem’s Consumer Engagement in the Energy

Market 2017 survey, while cost was cited as the primary motivation

behind switching, 27% of respondents indicated that they would

pay slightly more if it came with improved customer service.4 Factor

in the rise of automated switching platforms like Flipper and Voltz,

which streamline and simplify this process, and a troubling scenario

presents itself for energy providers stuck in the status quo.

Energy providers are already demonstrating the value in putting

the customer first with sophisticated and seamless digital

customer journeys. Overcoming the traditional “good enough”

mindset will be essential to growing new business models and

integrating new customer journeys.

2.2.2 Benchmarking with Other Industries is a Must

Even when ushered into an age of on-demand and instant

access, utilities and customers still do not interact much

differently than 20 years ago. Customer experiences with other

retailers put utility retail performance in sharp relief. Customer

satisfaction is important for utilities today, but in the increasingly

customer-centered Energy Cloud there is a need to shift from

benchmarking against other utilities to instead benchmarking

against other industries where customer service is a priority.

3. Energy UK, Electricity Switching, July 2018.

4. Ofgem, Consumer Engagement in the Energy Market, September 2017.

9

If utilities are determined to evolve how they engage with their

customers, the gaps between digital best practices and current

utility accepted practices are an important place to start.

Digital offerings have been shown to have a tangible impact on

customer perceptions and experience. According to ForeSee’s

2018 Utilities CX Insights report, 80% of customers would forego

the call center if provided with an ideal online experience. This

works to not only placate customer expectations, but also help

utilities’ bottom lines, with up to $8 million in annual call center

savings per provider.5

In a benchmark study earlier this year, J.D. Power, in collaboration

with Centric Digital, evaluated customer perceptions of the

websites, mobile apps, social, chat, email, and text functions of

the 67 largest US electric, natural gas, and water utilities. The

study was the first of its kind, incorporating biometric analyses

(which tracks eye movements, facial emotions, and voice tone),

video verbatim interviews, and detailed surveying to extract real-

world customer perceptions.

The survey showed that, when benchmarked against other

consumer-facing industries, utilities delivered the lowest-performing

digital experiences. According to the Centric Digital DIMENSIONS™

score, which evaluates digital proficiency, the utility industry scored

an average of 571 on a 1,000-point scale. By contrast, the retail

sector scored an average of 771.6

On average, utility brands scored well below parity in product and

channel functionality best practices, while claiming high marks in

the experiences they provide to consumers. This means that utilities

provide websites and experiences that look great at first glance,

but lack staying power. Digital experiences must be more than

pretty, user-friendly websites; they should provide functionality not

available on any analog channel.

5. Foresee, Foresee Experience Index: Utilities CX Insights, 2018.

6. J.D. Power Press Release, “Utilities Lag Other Industries in Digital Experience, but Standouts Are Emerging, J.D. Power Finds,” March 21, 2018.

10

3. TAKING CX TO THE NEXT LEVEL

Incumbent utilities must find a way to foster a truly seamless CX through digital best

practices, starting from core services and expanding to new, value-added products,

programs, and services. The need to reduce legacy-driven business process and

enterprise architecture complexity is greater than ever. This will require a deeper

transformation that ultimately reinvents the current state of CX for utilities.

3.1 Learning from CX Disruptors in Energy

Energy Cloud technologies produce vast amounts of data. Utilities are incumbents in

a unique position to harvest, mine, and analyze Energy Cloud data to deliver targeted

energy services that track customer lifestyle and business needs. Utilities can anticipate

customer needs and propensities to offer the best option for customers through

seamless customer journeys.

Pioneers across other industries (e.g., Amazon, Netflix, Uber) use data and digital,

on-demand innovation to streamline CX. There are companies in the energy sector

attempting to do just the same. These examples, highlighted in Figure 1.4, are discussed

in more detail below.

Figure 1.4 New Entrants Defining the CX Standard in Energy

Trifecta of disruptive DERs under powerful brands (rooftop solar, EVs, and battery storage), and consumer interest is accelerating

Peer-to-peer power companies are emerging that own no generation or wires (utility customer disintermediation)

Combining rooftop solar power with smart learning capabilities allows customers to achieve net zero homes

(Source: Navigant Research)

One of the more innovative case studies of this transformation in the energy industry

comes from Drift, a hybrid between an energy services company and a DER manager.

Using artificial intelligence and machine learning to forecast energy demand, Drift turns

to its network of peer-to-peer energy producers to procure power for its customers.

Users can access a dashboard to choose whether to prioritize cheap or low carbon

energy sources and are able to terminate their relationship with Drift at a moment’s

notice. Drift currently operates in New York City, but has business models that identify

pricing opportunities built for the entire state of New York and 16 additional states.

Vivint Solar is another emerging disruptor; this DER provider combines rooftop solar

with smart learning capabilities to help customers achieve net zero homes. More

recently, the company shifted from a pure solar offering to a residential DER solutions

provider—which includes Mercedes Benz batteries and home management tools.

+

11

SolarCity, well known under the powerful Tesla brand name,

offers the trifecta of disruptive DERs—rooftop solar, EVs, and

battery storage. From a DER technical standpoint, it is intriguing

to consider the possibility of what Tesla could do. For example,

Tesla could couple the energy capacity of plug-in EV (PEV)

batteries with solar, PEV charging infrastructure, and virtual

power plant software all at the home of a single customer.

3.2 Proven Business Models Require Repositioning

Utilities must begin thinking about how to remain relevant in an

Energy Cloud future that positions them as more than simply

wires and poles companies. Many utilities are struggling to

keep pace in this volatile environment, as they must balance

increasing revenues while lowering operations and maintenance

costs. Repositioning around a customer-centered identity can

help catalyze this necessary transformation.

Helping customers with energy conservation and DER solutions

may cannibalize the traditional utility business model, but it

also encourages new business model development and lifetime

customer value. By effectively speeding up one’s own demise,

utilities can better position themselves as total energy solutions

providers for the Energy Cloud future.

Vermont-based Green Mountain Power (GMP) is taking this

to heart, repositioning itself as a “customer-obsessed” utility.

Rather than viewing DER as an encroaching liability against the

bottom line, GMP sees DER as a tool to create deeper customer

loyalty. Much of this change in corporate culture and business

operations is attributed to Mary Powell, the utility’s CEO. This

highlights the importance of customer-focused strategy at the

executive level. GMP has revised its traditional business model to

emphasize the customer. As a result, the utility has added new

revenue, reduced costs, and improved its customer satisfaction

scores to 91% as of year-end 2017.7

3.3 How Do Utilities Navigate This Transformation?

Moving beyond “good enough” CX is dependent on a business’s

ability to conduct its operations via a digital, on-demand, fully

automated, and intelligent platform, leaving any kind of live

customer service interaction as an exception. This is the standard for

the Energy Cloud. This progression toward a total energy solutions

provider is captured in Figure 1.5.

7. Research America Inc., Green Mountain Power Commissions Summary Report, 2017, https://greenmountainpower.com/wp-content/uploads/2017/12/2017-Green-Mountain-Power-Commissions-Survey-Executive-Summary-Report.pdf.

12

Figure 1.5 Customer Experience and Capabilities Maturity

OPTIMIZING THE CUSTOMER LIFECYCLE

EXTENDING THE VALUE-ADD

PROVIDING TOTAL ENERGY SOLUTIONS

• Optimized channel containment

• Proactive alerts and insights

• Customer preference center and outbound notifications

• Customer analytics and next best action

Sophisticated energy service provider running on digitally enabled platform; price premiums for bundling, competitive consolidation, and new alliances:

• Solar PV and storage installation, finance and repair, and maintenance contracts

• Smart EV charging station sales

• HEM equipment and related services

• Data products and services

• Transactive Energy platformDIGITIZING CORE SERVICES

• Billing & Payments

• Outage Communications

• New Connections

• Correspondence

• Self-serve transactions

Cus

tom

er E

ngag

emen

t

Capabilities Maturity

• New pricing products

• Personalized products & services through segmentation (warranties, rebates, product upgrades, etc.)

• Energy-related advice & consulting

• Energy contract management

(Source: Navigant Research)

We are starting to see examples of this progression. In Texas, for example, energy

retailers are exploring creative digital solutions that create differentiation in the

marketplace and enhance the customer experience. Grid+ is leveraging Ethereum

blockchain to give consumers direct access to wholesale energy markets. Reliant Energy

offers a digital marketplace where customers can purchase various products (e.g.,

generators, light bulbs, thermostats) and services (e.g., air conditioning, heating, home

security). And the Texas energy company, Griddy, is targeting millennials by fostering an

app-first approach that connects them with the wholesale market and provides insights

around historical and forecast energy usage.

In Germany, power supplier E.ON is taking a multi-tiered approach to customer

engagement in response to flattening revenue profiles. This includes a partnership with

Microsoft to develop a home energy management system, and signing bonuses (iPads,

washing machines, cash payments) as a means to mitigate customer switching. Across

Germany, other utilities are taking a digital marketplace approach, offering a range of

products from smoke alarms and EV charging kits to broadband internet and Amazon

Prime delivery service.8

These examples provide some initial visibility into what will be required in the Energy Cloud,

but there are many paths for utilities and energy providers to take toward the future.

Incumbents operating under the status quo can continue to invest and maintain the bulk

grid as a public good while accepting lower margins and slower growth. Alternatively, these

companies may chase higher margins and growth in energy/non-energy products and

services that may deviate significantly from their core business. Pursuing both is possible—

through maintenance of the regulated business and adding new unregulated business

divisions—but difficult to execute effectively. One or the other typically dominates the

corporate identity and culture.

8. Reuters, “E.ON Targets Innovations for Smart Energy Future,” https://www.euronews.com/2018/09/29/eon-targets-innovations-for-smart-energy-future.

13

Best-in class utilities pursue both tracks as independent ventures

in parallel. They use digital opportunities to improve existing

operations while taking steps to define future business models

anchored to CX, DER strategy, and new products and services.

Customer trust is critical to this evolution. If a utility fails to

provide a seamless experience in terms of transactions and

services, it is unlikely that it would be trusted by its customers to

perform the sophisticated evolution needed to become a total

energy solutions provider.

3.4 Recommendations

There is significant value up for grabs in this evolving Energy

Cloud ecosystem and new entrants will ensure that incumbent

utilities are under constant threat of disruption. In the Energy

Cloud, the foundation for customer trust and loyalty is to create

the kind of plug-and-play and dynamic platform environment

that enables customers to achieve their goals—such as cost

savings, reliability, resiliency, sustainability—while also remaining

a customer of the energy company or utility. Next steps for

utilities and energy companies include:

Innovate with Agility: No one knows what the utility of the future

will ultimately look like, so utilities will need to take chances to

decipher what works best for their customers. This does not

require massive initiatives, but rather smaller bets and following-

up on those that deliver value to the customer and the utility.

Utilities must accept higher levels of risk, and be able to fail

fast and recover quickly, in this rapidly changing environment.

Utilities must rethink many of the time horizons and approaches

that have anchored strategic planning in the past. Long-term

integrated resource planning and 5-year strategic plans are not

sufficient to address a more dynamic Energy Cloud.

Build a Brand Customers Love: Today’s culture is viral; the

number of touch points has expanded for both devices (phones,

tablets, computers) and outlets (Twitter, Facebook). The idea

of coolness has taken on a premium in this culture. Utilities are

just now asking the question of how they can improve brand

loyalty and customer sentiment through innovative and cool

solutions. Utilities should explore creative tools and solutions,

such as the gamification of energy savings, voice-activation

capabilities (such as using Alexa for engagement) and online

utility marketplaces.

14

Use Digital Channels: There has been a dramatic shift across all

generations toward the digital way of interacting in a simple, low

effort manner for customers. If a customer must call multiple times

to follow up on the status of their new connection, utilities should

seek out ways through digital and proactive communication to

make this journey easier both for the customer and the utility.

Customer journeys in the case of new offerings will especially

be sensitive to user experience (the ability to provide a seamless

experience).

Prioritize Integration: Having the correct connections and

endpoints for third-party integration between energy usage and

a smart home or smart thermostat creates internal efficiencies,

enables stronger data analysis, and empowers a brand to more

seamlessly interface with its customers. Moving forward, utility

brands should prioritize building these integration points if they

are looking to emerge as industry leaders and capture more of

their customers’ attention.

Partner or Perish: The market is adding new players rapidly and

established market players are expanding their capabilities and

finding ways to partner across industry sectors to formulate new

go-to-market strategies—a clear sign of an opportunity—rich

market. Notable examples (acquirer/acquired) include:

• Google/Nest

• Samsung/SmartThings

• Alarm.com/EnergyHub

• British Gas/AlertMe

There are also capabilities developed in-house, licensed, or

offered through exclusive partnerships, such as Lowe’s Iris

(cloud-controlled automation device).

15

5 SCOPE OF STUDY

Navigant Research prepared this white paper as part of its Energy

Cloud thought leadership series (For further reading, see The

Energy Cloud, Navigating the Energy Transformation, and Energy

Cloud Playbook). The focus of this paper is to provide current

and interested stakeholders at all levels of the electricity value

chain—including utilities, regulators, technology suppliers, service

providers, investors, and policymakers—with an overview of the

opportunities and challenges that the industry will face during

the transition to an intelligent and distributed future. Note that

the report does not aim to offer detailed assessments of industry

transformation. Such analyses are discussed in more detail in

Navigant Research’s in-depth market and technology reports.

6 SOURCES AND METHODOLOGY

Navigant Research’s industry analysts utilize a variety of research

sources in preparing Research Reports. The key component of

Navigant Research’s analysis is primary research gained from phone

and in-person interviews with industry leaders including executives,

engineers, and marketing professionals. Analysts are diligent in

ensuring that they speak with representatives from every part of

the value chain, including but not limited to technology companies,

utilities and other service providers, industry associations,

government agencies, and the investment community.

4 ACRONYM AND ABBREVIATION LIST

CX .................................................................................Customer Experience

DER ............................................................. Distributed Energy Resources

GMP ..........................................................................Green Mountain Power

R&D...................................................................Research and Development

Additional analysis includes secondary research conducted

by Navigant Research’s analysts and its staff of research

assistants. Where applicable, all secondary research sources are

appropriately cited within this report.

These primary and secondary research sources, combined

with the analyst’s industry expertise, are synthesized into the

qualitative and quantitative analysis presented in Navigant

Research’s reports. Great care is taken in making sure that

all analysis is well-supported by facts, but where the facts

are unknown and assumptions must be made, analysts

document their assumptions and are prepared to explain their

methodology, both within the body of a report and in direct

conversations with clients.

Navigant Research is a market research group whose goal is

to present an objective, unbiased view of market opportunities

within its coverage areas. Navigant Research is not beholden to

any special interests and is thus able to offer clear, actionable

advice to help clients succeed in the industry, unfettered by

technology hype, political agendas, or emotional factors that are

inherent in cleantech markets.

©2018 Navigant Consulting, Inc. All rights reserved. W86032

Navigant Consulting, Inc. (“Navigant”) is not a certified public accounting or audit firm. Navigant does not provide audit, attest, or public accounting services. See navigant.com/about/legal for a complete listing of private investigator licenses.

This publication is provided by Navigant for informational purposes only and does not constitute consulting services or tax or legal advice. This publication may be used only as expressly permitted by license from Navigant and may not otherwise be reproduced, recorded, photocopied, distributed, displayed, modified, extracted, accessed, or used without the express written permission of Navigant.

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clients take control of their future.

Navigant’s professionals apply deep

industry knowledge, substantive technical

expertise, and an enterprising approach to

help clients build, manage, and/or protect

their business interests. With a focus on

markets and clients facing transformational

change and significant regulatory or legal

pressures, the firm primarily serves clients in the

healthcare, energy, and financial services industries.

Across a range of advisory, consulting, outsourcing,

and technology/analytics services, Navigant’s

practitioners bring sharp insight that pinpoints

opportunities and delivers powerful results. More

information about Navigant can be found at navigant.com.