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Understanding and Influencing Consumer Behaviour
Josephine Maguire 6 March 2017
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The Consumer Decision Making Process
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Creating and Influencing Habitual Behaviour
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Home Energy Kits Pilot Raise awareness and foster engagement
Pathway to action on home energy upgrade Surveys and focus groups to measure effect Change habits and behaviour
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What’s Inside the Home Energy Saving Kit?
Plug-in Energy Monitor Stopwatch Fridge/Freezer Thermometer Thermal Leak Detector Temperature & Humidity Meter Radiator Key
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Creating Awareness and Engagement
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3 in 5 households have carried out home improvements in the last 3 years
Q:Did they consider energy efficiency in these works?
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High awareness of energy initiatives
Home Improvements Options available % Aware 2014 % Aware 2016 Attic insulation Cavity wall insulation Double or triple glazing for windows and doors Internal wall insulation External wall insulation Lighting upgrade (energy efficient bulbs, etc) Draught proofing (e.g. seal doors/windows, attic hatches, etc.) Boiler upgrade/replacement with heating controls Heating controls/heat zoning Underfloor insulation Solar hot water heating panels Solar PV (Solar cells for electricity) Heat Pump (a renewable technology that converts energy in the ground or the air into heating and hot water for your home) None of these n/a n/a
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But…. Energy initiatives undertaken in last 2-3 years ANY
% ANY Attic insulation Double or triple glazing for windows and doors Lighting upgrade (energy efficient bulbs, etc.) Draught proofing (e.g. seal doors/windows, attic hatches, etc.) Cavity wall insulation Internal wall insulation Boiler upgrade/replacement with heating controls External wall insulation Heating controls/heat zoning Underfloor insulation **Heat Pump Solar hot water heating panels Solar PV (Solar cells for electricity)
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And……. Only about 10% of people indicated that they were thinking of carrying out home energy upgrade work! And for those who don’t intend to upgrade the main reasons given were…. Measure Cost Availability of Funds Not wanting to apply for a loan at present Disruption and lack of knowledge
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Emotions linked to doing a project
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Where do people get their advice?
Around 1 in 6 look for help from their builder or contractor 1 in 3 go to BER assessor for advice More than 15% seek advice online. A further 1 in 6 seek advice from neighbours, family and friends ?
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Budget: Payment Methods & Loan Repayments
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Interest Rate is most important feature
Savings preferred, but 45% would consider a loan % Savings Credit Union loan Bank loan One off cash available (e.g. work bonus) Credit card Other loan* Any loan Interest Rate is most important feature ….then payback period
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Uptake rate affected by:
Payback Cost/Benefit Analysis Choice Modelling (Loan/Grant)
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Actions from what we’ve learnt…..
Leverage new BER Seek to use Intermediaries and Trigger points More trials and pilots – new and low cost finance End to end support offering Scaled Deep Retrofit pilot Behavioural Economics Unit
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Thank you…Questions ?
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