1. www.vaasaemg.com Carbon savings of 56m tons would be generated if 10% of European business energy consumption and 30% of public authority energy consumption met Eugene renewable electricity criteria (source: WWF)

2. www.vaasaemg.com Wind Power Capacity in EU grew by 34% in 2002 (source: Ewea) and will continue, But, excluding Germany (55% of EU Wind Capacity), Spain & Denmark, capacity is still tiny. We believe in a Carrot & Stick approach to expanding the market further

3. www.vaasaemg.com U N I V E R S I T Y O F V A A S A vaasaemg nordic centre for expertise in energy & utilities marketing In co-operation with Dr Philip E. Lewis, Merja Pakkanen, Matthieu Griffioen & Constance Bönsch Pan-European research to find how to substantially increase business customers’ demand for green electricity Green By Demand Merinova Tuulivoima Seminaari 12 Helmikuuta, Vaasa

4. www.vaasaemg.com Explore why some businesses have purchased green electricity whilst others have not Suggest marketing strategies and approaches which might lead to increases in demand Understand processes and conditions leading to or preventing purchase of green electricity Objectives

5. www.vaasaemg.com Methodology 92 In-depth telephone interviews with businesses & some other organizations (green buyers) 61 Questionnaire responses from businesses which currently buy green electricity (green buyers) 1042 Questionnaire responses from businesses which currently do not buy green electricity (non-green buyers) ++ ++

6. www.vaasaemg.com Countries Germany Britain (UK) NetherlandsSwedenFinland Research in 5 languages

7. www.vaasaemg.com The research was entirely collected and analyzed by the University of Vaasa and is funded entirely through the sale of the report and the University of Vaasa. The research was entirely collected and analyzed by the University of Vaasa and is funded entirely through the sale of the report and the University of Vaasa. Independence of the Research

8. www.vaasaemg.com Over 33% of businesses feel they are quite or very likely to specifically purchase ’green electricity’ in the foreseeable future Some Results – Non-Green Buyers’ Intentions

9. www.vaasaemg.com Some Results – Non-Green Buyers’ Behaviour yes, but intentions are one thing and action is another So, What Affects Action ?

10. www.vaasaemg.com Some Results – Non-Green Buyers’ Opinions DIFFERENT OR MIXED VIEWS

11. www.vaasaemg.com Offer It Pool It Produce It Some Results – Success Factors Understand The Complex Decision Process Integrated Ethics Price Discrimination Approach the Right Targets Customized Offerings Improved Labelling & Communication Re-think the Argument & Imagery Communication of Commercial Benefits More Inspired, & Direct Marketing PragmatismLocalityPatienceOpportunism ETC.

12. www.vaasaemg.com GROUPS OF BUSINESSES identified through factor analysis Some Results – Non-Green Buyers Confused PositivesSceptical MassesGreen Intentions

13. www.vaasaemg.com UNAWARENESS ”Green electricity is a new concept to us. It has never been offered to us by any of the suppliers we annually approach for contracts” Some Results – Non-Green Buyers 20% of businesses have not purchased green electricity because (partly) they have not even known about the possibility

14. www.vaasaemg.com OPEN TO OFFERS ”We recently tendered for a £2m per year contract, NO potential supplier offered any green electricity” Some Results – Non-Green Buyers 64% of businesses have not purchased green electricity because (partly) no supplier has even offered it to them

15. www.vaasaemg.com PRICE SENSITIVITY ”Questions about ’green electricity’ do not have a high priority in a company that has its hands full with surviving and avoiding bankruptcy” Some Results – Non-Green Buyers But 38% of businesses likely to buy green electricity consider price not particularly or at all important

16. www.vaasaemg.com LACK OF TRUST & RESPECT ”The green electricity industry is badly organized, dysfunctional and un-transparent. Too many offers, too little product” Some Results – Non-Green Buyers

17. www.vaasaemg.com vaasaemg nordic centre for expertise in energy & utilities marketing VaasaEmg is a leading, internationally recognized centre of research and expertise in electricity and related utilities marketing strategy. We have 6 years of experience in deregulated marketing, focusing especially on issues such as customer behaviour, pricing, relationship marketing, loyalty and switching behaviour, service quality, customer satisfaction and new business areas. Our expertise comes from a unique mix of practical experience, marketing & research skills, original research & specialization. Our list of client references contains more than 130 businesses and other organizations including Fortum, ABB, Nokia and the Finnish Ministry of Trade and Industry. VaasaEmg is a key partner in the new Global Round-Table of Energy & Utilities Marketing Experts which currently contains 12 leading groups of experts from around the world. We are also the chief editor of the Energyforum Global Report, produced by the Global Round-Table of Energy and Utilities Marketing Experts. We are a part of Finland's leading consumer behaviour research centre at the University of Vaasa & Finland's official Centre for Expertise in Energy Technology & Economy.