The challenge

With Extra Energy going into administration, ScottishPower was appointed Supplier of Last Resort (SoLR), Data quality from Extra Energy was poor which meant ScottishPower was unable to issue all welcome packs and accurately bill customers. As a result ScottishPower was nonetheless experiencing higher than anticipated inbound calls from transferring customers.

In addition, customers had unrealistically low expectations of ongoing consumption and payment value, while some expected credits to carry over from Extra Energy (which did not materialise), resulting in high complaint volumes.

With customers retaining the right to leave without any exit fee, retention was a critical success factor.

The solution

Sigma, which already provided customer and collections services to Extra Energy and ScottishPower, was subsequently asked by the administrators to collect Extra Energy’s outstanding debt. This included supporting the welcome process for over 100,000 customers.

Sigma was able to provide a solution. Focusing on first contact was crucial to ongoing retention, customer loyalty and enhancing data quality, and sufficient advisors needed to be on hand to manage call volumes and avoid putting pressure on average handle time.

Where customer transfer experiences had been negative, advisors were given additional time to listen and empathise.

The result

The success of this campaign is evident in the figures.

Repeat call rates were down to 25% within two weeks, well below target.

First contact resolution was achieved by Sigma’s Complaint Team, acting on behalf of ScottishPower, for 70% of complaints.

Customer dissatisfaction was mitigated through empathy, positive conversations and first contact resolutions.

Excellent customer retention was ensured, with 76% of all new fixed tariffs agreed over two years, securing customers long term.