IntroductionAs energy markets have liberalised across the world, the pricing function within utilities has changed from being one of cost recovery to being the major strategic tool for managing demand and targeting retail margin.
Uncovering the tactics suppliers employ in liberalised markets and the knock on effects on the business as a whole is paramount.ScopeCovers how both B2B and B2C pricing decisions are made.
The impact of changing wholesale market dynamics on the retail landscape is considered.HighlightsWholesale price is the largest and most volatile component of end user price and heavily influences retail strategies.
Price is a strong lever for managing the Industrial and Commercial portfolio.
In competitive markets, B2C customers have to date been less sensitive to price than B2B customers and utilities strategies reflect this fact.Reasons to PurchaseUnderstand how market liberalisation has revolutionised the role of the pricing function in utilities.
Interpret utility pricing behaviour across various end user market segments.
Understand how certain end user segments respond to price signals.