Unlocking eBill Adoption through Email Success at Piedmont Presented by: Mia Haynes & Chad Somodi

Some Background: Piedmont and Striata

Piedmont Natural Gas Service Area 2012 Contribution to PNY 2012 Pre-Tax Contribution by Venture Assets EPS Regulated Non-Utility 2% 5% Unregulated (SouthStar) 1% 7%

Stable Customer Diversification Margin (2012) Volumes (2012) __________________________________________________________ 324 MMDt $575 Million

About Striata: 300 clients in 14 countries USA Utility clients include: National Grid 8 brands Nicor Gas Piedmont Natural Gas Questar Gas United Water CPS Energy City of Tallahassee Denver Water Baton Rouge Water Whitby Hydro IREA Just Energy City of Virginia Beach American Water

PUSH eBilling via email No proactive enrollment – KEY DIFFERENTIATOR Only need email address No username / password required No website visit / registration required Automated eConsent opt-in or opt-out emails Send first secure document or bill: One click to open, One click to decrypt Looks identical to paper bill, all detail included One click to pay (no website to visit) Include personalized marketing opportunities Total of 3 clicks to decrypt, view and pay without linking to a single webpage

Why Piedmont chose PUSH eBills: the stats

Major Benefits identified by Piedmont Reduce Hard Costs Decrease in Print, Postage, and Labor costs, Improved Green Footprint Increase Customer Satisfaction Ease of Use, Improved Feel of Communication, Become the Standard Shorten Time to Delivery Decrease Bill Delivery Timeline More Electronic Payments Reduced Labor Costs and Related Expenses, Ease of Use, More Options to Pay Better Communication Improved Customized EMAIL Communication at a Reduced Cost

Customers want their bills delivered “The Future of Electronic Bill Presentment & Payment in North America, InfoTrends” Question: Through which channels would you prefer to receive your bills?

Email best way to reach customers Customers are more likely to use their smartphone for email than for making calls Q: For which of the following do you typically use a tablet/smartphone? 72% 67% Source: Adobe 2013 Digital Publishing Report

Customer Experience - The Email

Opt-in introductory email: Paper customers The biller proactively delivers intro email 1-click sign-up! Just click “Choose eBills.” Sample eBill attached to “touch and feel” No barriers to enroll. No registration No username No password Works on mobile

Introductory email: Existing eBill customers Conversion for existing portal eBill customers. Explanation they will start receiving PUSH eBIlls unless they choose otherwise All emails = opportunity personalized marketing to customers 13

Email body with encrypted PDF attached Exact replica of paper bill is attached as a secure PDF Authentication box for customer security Clear, intuitive instructions on opening PDF Customizable marketing real estate Customer can unsubscribe back to paper at any time

Customer Experience - The Encrypted Attachment

Shared secret unlocks the bill Attached PDF secured with Bank-Level Encryption

Customer enters ‘shared secret’ to decrypt Piedmont customers enter billing zip code to decrypt and open bill PDFs are designed to be mobile-viewing ready – can be opened by any mobile-capable device

Pay directly from PDF eBill Striata inserts BillPay on page 1. Exact bill follows on next PDF pages Multiple accounts can be consolidated in one bill. Multiple payment options provided to customers. Save payment info with Western Union.

Payment Confirmation: Great Marketing

Piedmont’s Success – The Results

Paperless Adoption Stats   Dec 2011 Oct 2012 2013 Goal eBill adoption as % of total customer base 4.4% 8.4% 15% eBill adoption as % of email addresses 16.8% 32.0% 30% Not sure about the relationship between email addresses and total adoption

$21,123.23 in monthly cost savings Cost Savings Analysis $0.45 cents per paper bill $0.192 per eBill $0.258 in savings per bill February volumes = 81,873 $21,123.23 in monthly cost savings $253,478 in annual savings Cost per eBill decreases as eBill volume increases Not sure about the relationship between email addresses and total adoption

Questions?