Working with this index, we divided consumers into four groups ranging from the least engaged Unplugged to the most engaged Switched on consumers. Unplugged consumers are least likely to switch, but actually face some of the highest prices for their energy because they tend to use prepayment meters or pay their bills in cash instalments. They also face multiple disadvantages when it comes to getting the best deal: only two thirds are regular internet users; and they are more likely to be on lower incomes and rent their home. They might not be aware of their options to switch supplier or tariff, and those that do consider it to be a hassle.
More of us (38%) are On standby consumers – but this group is hardly more likely to switch than the Unplugged. The group is pretty representative of the population socially and they know they can switch or change tariff if they want to, but it rarely translates into action. It’s not because they are likely to be happy with their supplier – they feel the same as the most Switched on consumers – but because they are ‘sticky’ and don’t do much about it. About half say there’s no real difference in the prices that different energy suppliers charge anyway.
We then move up the scale to those who do act: the Tuned in consumers and the most active Switched on group. These consumers are the most advantaged and are on the internet regularly. Caring about getting the best energy deal also seems to be a characteristic of mid-life: nearly two thirds of this group are aged 35 to 64. Switched on consumers in particular are comparing suppliers online and shopping around to get the best deal for all sorts of services from bank accounts to car insurance.
