Published On: 07.22.15 | 

By: Chuck Chandler

J.D. Power study places Alabama Power second in South for customer satisfaction

Alabama Power is second in the South in the J.D. Power 2015 Electric Utility Residential Customer Satisfaction Study, charting one of the nation’s highest scores.

“Utility companies are doing a better job at the fundamentals – minimizing service interruptions, communicating with customers and improving customer service,” said John Hazen, senior director of the energy practice at J.D. Power. “Proactive communication during power outages remains a challenge, suggesting that utilities should focus on improving in this area.”

Alabama Power crews battle topography and foliage to restore power in Mountain Brook. (Meg McKinney/Alabama NewsCenter)

Alabama Power crews battle topography and foliage to restore power in Mountain Brook. (Meg McKinney/Alabama NewsCenter)

The study, now in its 17th year, measures customer satisfaction by examining six factors:

  • Price
  • Power quality and reliability
  • Billing and payment
  • Corporate citizenship
  • Communications
  • Customer service.

Satisfaction is calculated on a 1,000-point scale. Oklahoma Gas & Electric took first place in the South, scoring 710 points, followed by Alabama Power (707), Georgia Power (705), CPS Energy (700), Entergy Arkansas (692), Dominion Virginia Power (684) and Entergy Louisiana (682).

Overall satisfaction for utilities averaged 668 points in 2015, a 21-point improvement from 2014, said Hazen. A 33-point increase in communications (625) and a 35-point improvement in price (595) are key contributors to the year-over-year improvement.

The study found that utility companies are providing critical information during power outages, such as the cause of the outage, the number of customers impacted and more accurate estimates on restorations. However, proactive communications (when a utility calls, emails, or sends a text message) are only reaching 7.3 percent of customers.

Alabama Power’s score for utilities serving at least 500,000 residential customers would have placed first in the East or Midwest regions.

The 2015 study is based on responses from 102,525 online interviews conducted from July 2014 through May 2015 among residential customers of the 140 largest electric utilities, which collectively serve about 100 million households.

Headquartered in Westlake Village, Calif., J.D. Power is a global marketing information services company providing performance improvement, social media and customer satisfaction insights and solutions.