Exhibit to Agenda Item #1 Board Strategic Development Committee and Special Board of Directors Meeting Tuesday, August 14, 2018, scheduled to begin at 5:30 p.m. Customer Service Center, Rubicon Room Powering forward. Together. 1 2018 J.D. Power. All Rights Reserved.
2018 Electric Utility Residential Customer Satisfaction Study SM Andrew Heath, Senior Director August 14 th, 2018
J.D. Power 2018 Electric Utility Residential Customer Satisfaction Study 104,777 TOTAL RESPONSES NATIONALLY KEY INDEX FACTORS 20 TH YEAR OF THE STUDY POWER QUALITY AND RELIABILITY BILLING AND PAYMENT PRICE CORPORATE CITIZENSHIP COMMUNICATIONS CUSTOMER SERVICE 28% 16% 14% 5% 138 BRANDS WITH 100,000+ RESIDENTIAL CUSTOMERS sample size: 1,022 total completes 254 customer service completes WHEN INTERACTION IS PRESENT 20% 3 2018 J.D. Power. All Rights Reserved.
Cross Industry Satisfaction 2017 Cross-Industry Satisfaction Appliance Retailer Home Security Rental Car Full Service Investor Auto Insurance Hotel Retail Banking Vehicle Service (Dealership) Homeowners Insurance Credit Card Life Insurance Self-Directed Investor Wireless Carrier Airline Airport Telephone Service Gas Utility Television Service Electric Utility Internet Service Water Utility 600 650 700 750 800 850 Gas Utility Electric Utility Airline Internet Service Retail Banking Hotel Television Service Telephone Service Rental Car Credit Card Wireless Carrier Full Service Investor Vehicle Service (Dealership) Homeowners Insurance Appliance Retailer Auto Insurance Self-Directed Investor 5 Year Change +0 +15 +30 +45 +60 +75 +90 +105 +120 Historically utilities have scored lower than other industries in overall satisfaction. However, they have closed some of the gap in the last five years. 4 2018 J.D. Power. All Rights Reserved.
Overall Ranking 2017 Rank 2018 Rank SRP 782 1 1 ranks 18th in the industry; 2 nd in the segment Portland General Electric NV Energy Rocky Mountain Power Southern California Edison Pacific Power Puget Sound Energy 729 725 725 723 722 743 760 2 2 3 3 10 4 6 5 4 5 5 7 9 8 Xcel Energy-West 718 7 9 714 -- -- APS San Diego Gas & Electric L. A. Dept. of Water & Power Pacific Gas and Electric 702 699 687 687 12 10 11 11 13 12 8 12 5 2018 J.D. Power. All Rights Reserved.
6 2018 J.D. Power. All Rights Reserved. 725
Overall CSI Power Quality & Reliability Billing & Payment Price Ranking compared to industry 9 8 15 16 18 15 11 19 25 25 2014 2015 2016 2017 2018 Corporate Citizenship 6 6 8 10 11 10 7 24 27 14 2014 2015 2016 2017 2018 Communications 15 9 21 20 20 7 8 19 27 26 2014 2015 2016 2017 2018 Customer Service 20 9 43 57 29 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Industry increased 10 in overall satisfaction, but the industry ranking decreased 2 760 714 720 Overall Customer Satisfaction Index 806 817 763 770 780 783 Power Quality & Reliability 690 642 725 708 654 661 662 667 672 Billing & Payment Price Corporate Citizenship Communications 809 782 780 Customer Service 7 2018 J.D. Power. All Rights Reserved.
Ranking this year compared to last for overall satisfaction and the factors driving satisfaction Quartile Comparison to the Industry Top Quartile 2 nd Quartile 2018 2017 3 rd Quartile Bottom Quartile Overall Customer Power Quality & Billing & Payment Price Corporate Satisfaction Index Reliability Citizenship Communications Customer Service 8 2018 J.D. Power. All Rights Reserved.
PQR Ranking POWER QUALITY & RELIABILITY SRP Portland General Electric NV Energy Pacific Power 834 806 794 790 776 CommunicationsCust 14% Serv 5% Corporate Citizenship 16% Power Quality and Reliability 28% Rocky Mountain Power APS Xcel Energy-West 775 774 772 Price Billing & Payment Puget Sound Energy Southern California Edison San Diego Gas & Electric Pacific Gas and Electric L. A. Dept. of Water & Power 768 764 763 761 735 719 25% Supply electricity during extreme temperatures 17% Promptly restore power after outage Attribute Gap to 17% Provide quality electric power 15% Avoid brief interruptions 13% Avoid lengthy outages 13% Keep you informed about outage +0.40 +0.51 +0.40 +0.41 +0.45 +0.49 9 2018 J.D. Power. All Rights Reserved.
PQR Index Outage Disruption Analysis Does Utility maintain current infrastructure? 73% Best in Class Contacted after power restored 37% 27% Power Restore Before or On Time 91% 82% 65% Entergy Mississippi 100% Pedernales Electric 849 65% 827 Outage map is effective 86% 85% 97% Intermountain Yes Did not get any outage information 29% 33% 10% Entergy New Orleans 10 2018 J.D. Power. All Rights Reserved.
Billing & Payment Ranking BILLING & PAYMENT SRP NV Energy Portland General Electric Rocky Mountain Power 835 817 798 795 787 Cust Serv 5% Communications 14% Power Quality and Reliability 28% Billing & Payment Southern California Edison Puget Sound Energy Pacific Power 786 783 781 Corporate Citizenship 16% Price 780 Xcel Energy-West 775 Attribute Gap to APS 772 28% Ease of paying bill +0.29 L. A. Dept. of Water & Power 770 25% Amount of time given to pay bill +0.42 San Diego Gas & Electric 769 24% Usefulness of information on bill +0.33 Pacific Gas and Electric 758 24% Variety of methods to pay bill +0.47 11 2018 J.D. Power. All Rights Reserved.
Ways to Pay your Bill Key performance Indicators: 817 833 835 856 826 822 869 840 797 799 797 780 Overall Billing & Payment Have online account Receive electronic bill No estimated bills Fixed budget bill plan Utility offers to choose due date 12 2018 J.D. Power. All Rights Reserved.
Price Ranking Price SRP Portland General Electric Rocky Mountain Power Southern California Edison Xcel Energy-West 719 690 674 673 664 659 Power Quality and Reliability 28% Cust Serv 5% Billing & Payment Price NV Energy Puget Sound Energy 657 656 Communications 14% Corporate Citizenship 16% Pacific Power 653 L. A. Dept. of Water & Power APS San Diego Gas & Electric Pacific Gas and Electric 642 615 606 606 605 35% Total monthly cost of electric service 17% Ease of understanding pricing 16% Availability of pricing options that meet needs 16% Efforts of utility to help manage monthly usage 16% Fairness of pricing Attribute Gap to +0.52 +0.38 +0.41 +0.41 +0.62 13 2018 J.D. Power. All Rights Reserved.
Price Index Price Satisfaction is Driven by More Than Just the Electric Bill. It s About Value Not Just Cost. 800 750 700 650 600 550 500 450 400 Price satisfaction is improving-industry $132 $132 $129 560 595 611 $135 $136 659 654 2014 2015 2016 2017 2018 $150 $140 $130 $120 $110 $100 $90 $80 $70 $60 $50 Average monthly bill ($) High price satisfaction is achieved by: Affordable power Communication clear and effective messaging Clarity of pricing information Efforts to help manage monthly usage Awareness and participation in pricing options Energy efficiency program awareness 14 2018 J.D. Power. All Rights Reserved.
Energy Efficiency Impacts Many of the Factors and Attributes Driving Overall Satisfaction Impact of Energy Efficiency Awareness on Not Aware +9 Aware +36 Participate Price Satisfaction 751 698 Yes 612 No 583 Brands with the Highest Awareness of Energy Efficiency Programs OG&E 59% BGE 57% Southern Maryland Electric Cooperative 57% SRP 57% Indianapolis Power & Light/Kentucky Utilities/ 56% 56% Communication Satisfaction 772 728 626 Yes No Corporate Citizenship Satisfaction 792 721 640 603 598 National Average 45% Yes No 15 2018 J.D. Power. All Rights Reserved.
Communications Ranking Communications SRP Portland General Electric 708 694 730 Price Corporate Citizenship 16% Southern California Edison Pacific Power Puget Sound Energy NV Energy Rocky Mountain Power 691 669 669 667 667 667 Billing & Payment Power Quality and Reliability 28% Communications 14% Cust Serv 5% Xcel Energy-West 663 Attribute Gap to San Diego Gas & Electric 651 22% Communicating how to be safe around electricity +0.32 Pacific Gas and Electric APS L. A. Dept. of Water & Power 643 641 636 21% Usefulness of suggestions on ways to reduce energy 20% Efforts to communicate changes Keep you informed about keeping costs low 18% Creating messages that get attention +0.40 +0.42 +0.42 +0.52 16 2018 J.D. Power. All Rights Reserved.
Communication Recall from Utility Most Frequent Communications Recalled Industry Comm. Index Energy conservation tips Paperless billing Product or service offers 17% 25% 40% 38% 37% 34% 738 721 743 750 700 Impact of Key Topics on Communications Satisfaction Industry 698 708 733 716 Energy efficiency rebates/financing Renewable energy 23% 18% 20% 14% 756 775 650 644 Company information/news Customer service 18% 16% 18% 749 745 600 None One 2-3 4-5 6 or More Number of communication topics recalled Emergency preparedness 17% 13% 768 17 2018 J.D. Power. All Rights Reserved.
Impact of Media News Stories It s a red flag when negative media is over 10% SRP Portland General Electric Pacific Power Rocky Mountain Power Southern California Edison Puget Sound Energy NV Energy Xcel Energy-West L. A. Dept. of Water & Power San Diego Gas & Electric Pacific Gas and Electric APS -20% -14% -11% -11% -7% 0% -1% -1% -2% -2% -3% -4% -3% 6% 5% 10% 9% 8% 8% 8% 7% 7% 6% Note: % s exclude no media and neutral recall. Based to entire population. 10% 10% 11% Communications Index (News story recall) 769 768 747 729 721 715 710 691 677 665 649 642 638 Price or rate change Price or rate change Price or rate change Local accident or emergency Power reliability or outages Price or rate change Local accident or emergency Price or rate change Top Positive News Brands EPB JEA Florida Power & Light Gulf Power Lakeland Electric OG&E South Carolina Electric & Gas Kentucky Power Santee Cooper Duke Energy Carolinas Pacific Gas and Electric 21% 21% 18% 17% 16% 16% Most Negative News Brands 22% 22% 20% 20% 35% 18 2018 J.D. Power. All Rights Reserved.
Corporate Citizenship Ranking Corporate Citizenship SRP Portland General Electric 731 725 701 Billing & Payment Price Puget Sound Energy Southern California Edison Pacific Power NV Energy Xcel Energy-West 675 670 668 662 662 661 Power Quality and Reliability 28% Communications 14% Cust Serv 5% Corporate Citizenship 16% Rocky Mountain Power L. A. Dept. of Water & Power 657 642 28% Involvement in local charities/civic organizations Attribute Gap to +0.67 APS 640 24% Actions to take care of the environment +0.66 San Diego Gas & Electric 639 24% Variety of energy efficiency programs offered +0.58 Pacific Gas and Electric 638 23% Efforts to develop energy supply plans for the future +0.66 19 2018 J.D. Power. All Rights Reserved.
Highest Awareness of Volunteerism Top Performers CPS Energy OG&E SRP Alabama Power Westar Energy Entergy Louisiana Portland General APS Ameren Missouri Dominion Energy DTE Energy Georgia Power NV Energy Tampa Electric Large Brands 29% 26% 26% 26% 22% 22% 21% 21% 20% Supporting Economic Development Top Performers MidAmerican Energy Large Brands SRP Alabama Power CPS Energy OG&E Rocky Mountain Dominion Energy KCP&L Portland General 79% 79% 77% 76% 76% 75% 75% 74% 74% 74% Efforts to Improve Impact on Environment Top Performers Large Brands Portland General Pacific Power Consumers Energy Florida Power & Light SRP DTE Energy MidAmerican Energy Puget Sound Energy Xcel Energy-West 44% 43% 41% 40% 40% 40% 39% 39% 38% 38% +144 Citizenship Satisfaction Increase +170 Citizenship Satisfaction Increase +147 Citizenship Satisfaction Increase their people are very active in community events. I always see vehicles and employees in my neighborhood and around town keeping up with power lines and meters. They are all very friendly too! They are reliable, reasonably priced, proactive, communicative and active in my community. Keeps prices low, offers alternative energy sources to help the environment 20 2018 J.D. Power. All Rights Reserved.
Customer Service Ranking SRP Rocky Mountain Power Portland General Electric NV Energy Pacific Power Puget Sound Energy 809 804 798 797 794 792 840 CUSTOMER SERVICE Price Billing & Payment Corporate Citizenship 16% Communications 14% Power Quality and Reliability 28% Customer Service 5% San Diego Gas & Electric 787 L. A. Dept. of Water & Power Southern California Edison Pacific Gas and Electric 7% 7% APS 9% 10% 769 15% 16% Xcel Energy-West 21 2018 J.D. Power. All Rights Reserved. 745 782 777 776 771 26% Timeliness of resolving problem, question, or request 18% Clarity of information provided 12% Courtesy of the representative 11% Ease of navigating phone menu prompts 11% Ease of understanding phone menu instructions 9% Promptness in speaking to a person 7% Representative's concern for needs 5% Knowledge of the representative 31% Timeliness of resolving your problem, question, or 26% Ease of navigating the website 22% Appearance of the website 21% Clarity of the information provided Attribute Gap to +0.04 +0.14 +0.20 +0.28 +0.34 +0.31 +0.26 +0.28 +0.43 +0.42 +0.40 +0.39 1st Quartile 2nd Quartile
Phone Top Performers Thank you for calling, for English Press 1, Spanish Numero 2, for all other languages Press 3 Please Press or Say 22 2018 J.D. Power. All Rights Reserved.
Questions? Andrew Heath, Practice Lead, Utilities Practice andrew.heath@jdpa.com 720-352-9471 23 2018 J.D. Power. All Rights Reserved.