How Brand Appeal Can Boost Perceptions of Restoration Effectiveness

Image courtesy of Jernej Furman under Attribution 2.0 Generic License, resized to 700 x 391 pixels.

A recent J.D. Power survey reveals how brand appeal correlates with higher levels of customer satisfaction.  Simply put, if customers find your brand appealing, they tend to be more satisfied.  And if customers are more satisfied to begin with, it stands to reason that their perceptions of recovery efforts will be better because they will give you the benefit of the doubt…at least initially.

The Halo Effect of Strong Brand Appeal

According to the inaugural J.D. Power Utility Brand Appeal Index Study, which analyzed survey responses from approximately 80,000 utility customers from Sept. 2022 to May 2023, favorable brand appeal leads to “significantly higher levels” of customer satisfaction and facilitates higher levels of rate case acceptance.

But how exactly is “brand appeal” defined?  Well, it goes beyond just reliability, although that is obviously a component of it.  Simply put, it’s the aggregate of reliability, service interactions, community engagement, communications, and similar factors.  These factors help shape perceptions and, if positive, help promote a sense of trust and goodwill.

This heightened sense of trust is something that all utilities should covet.  It means the utility’s reputation is strong, and it indicates that customers are supportive of the utility’s operations.  It’s akin to a strong first impression, and once this positive perception has been formed, it fosters a belief that the utility is doing things in the best interest of its customers.  And this includes outage restoration and recovery.

In the final analysis, if someone likes you, they will be more understanding and less critical of your perceived shortcomings.  The same goes for utility companies.  If a utility’s brand is appealing, it indicates that customers and regulators “like” the company, leading to a greater level of tolerance and a lower level of scrutiny around utility operations.  Brand appeal is important, and it’s definitely something that utilities need to be aware of and nurture.  Good luck!