Utilities face a significant challenge in reaching and engaging low- and moderate-income (LMI) customers, a group often burdened by high energy costs and limited access to assistance programs. Despite the availability of various programs designed to alleviate this financial strain, many LMI customers remain unaware of or disengaged from these resources. This blog explores effective strategies for improving LMI engagement and enrollment rates, leveraging innovative approaches and technologies.
Check our LMI case studies before deep diving into our strategies and solutions:
Boost Low-Income Engagement with AI-Driven Customer Intelligence—Increase Engagement by Up to 670%
Connecting the Dots Between Energy Burden and Engagement
Understanding the significant impact of energy burden is essential for developing effective strategies to assist LMI customers. The high costs associated with energy place a substantial strain on these households, making it imperative for utilities to adopt targeted approaches that address these financial challenges. Recognizing these challenges sets the stage for utilizing advanced tools and strategies to improve engagement and support. BlastPoint’s solutions are designed specifically to bridge this gap, offering utilities the ability to act on these insights and tailor their outreach efforts to the unique needs of LMI customers.
Understanding the Energy Burden
Energy burden is a crucial factor affecting LMI customers, defined as the percentage of gross household income spent on energy costs. According to data from the LEAD tool, the national average energy burden for low-income households is 6%, which is three times higher than that of non-low-income households, estimated at 2%. In some areas, energy burdens can exceed 30%, depending on location and income levels. With 42% of U.S. households, or about 51 million, identified as low-income, addressing this issue is critical for utilities striving to support their communities effectively.
BlastPoint’s Strategies and Solutions
BlastPoint’s innovative platform offers utilities the tools needed to enhance engagement and enrollment among LMI customers effectively. By leveraging data-driven insights and personalized communication, BlastPoint enables utilities to better understand their LMI customers’ needs and preferences. This understanding allows utilities to deliver targeted, relevant outreach that resonates with these customers, helping to break down barriers and increase program enrollment rates. Through a combination of advanced targeting, upcoming feature: centralized campaign management, and predictive analytics, BlastPoint empowers utilities to connect with LMI customers in meaningful ways, fostering stronger relationships and more successful program participation.
Let’s explore how BlastPoint’s innovative tools transform LMI customer engagement:
- Micro-Segmentation and Personalization
BlastPoint’s platform excels in delivering highly personalized engagement through advanced data analytics and micro-segmentation. By analyzing customer data and behavior, BlastPoint identifies LMI customers’ unique needs and preferences, allowing utilities to tailor offers and communications. This personalized approach ensures that LMI customers receive relevant information about programs and assistance that best meet their needs.
- Mapping
The platform includes advanced mapping features that visually represent data and customer insights, allowing utilities to identify geographic patterns and trends in LMI customer engagement. This capability enables more targeted outreach and resource allocation, improving the effectiveness of engagement efforts.
- Tailored Machine Learning Models
Unlike broad, national datasets used by our competitors, BlastPoint builds bespoke machine learning models tailored to specific territories and data sets. These models are trained on both internal data and enriched with external sources, including publicly available and proprietary data. This customization helps to accurately predict energy burden and engagement needs for various customer segments.
Predictive Analytics
Utilizing predictive analytics, BlastPoint helps utilities anticipate customer needs and proactively offer relevant programs. Our models not only identify low-income customers but also assess their energy burden, payment struggles, and propensity to engage with different programs.
By predicting which customers are likely to benefit from specific programs, utilities can reach out with tailored messages and offers, increasing the likelihood of engagement and enrollment.
Next Best Program
The Next Best Program is an AI-powered module provided by BlastPoint that identifies the most suitable programs for each customer based on their unique needs and preferences. This tool enables businesses to proactively target customers with relevant offerings, enhancing engagement and satisfaction. By incorporating these insights into customer service and marketing strategies, utilities can improve customer interactions, decrease the volume of service calls, and boost overall satisfaction. The module continuously updates as customers convert, ensuring that program recommendations remain relevant and effective over time.
- Comprehensive Reporting and Subscription features
Custom Reporting
Users can generate detailed reports and dashboards tailored to their specific needs. This includes visualizations of campaign performance, customer engagement metrics, and segmentation analysis.
Subscription-Based Updates
Regular updates and reports can be scheduled and delivered via email or integrated with other systems through APIs. This feature ensures that stakeholders receive timely insights and can make informed decisions based on the latest data.
- Upcoming feature: Centralized Campaign Management
This upcoming feature will allow for comprehensive tracking and management of all campaigns from a single platform. It will include tools for monitoring progress towards key performance indicators (KPIs) and attribution modeling, which will help evaluate the effectiveness of each campaign. Additionally, it will enable the tracking of omni-channel campaigns to prevent customer fatigue and over-communication, ensuring that customers receive a balanced and effective communication strategy. By consolidating these functions, it will become easier to identify areas for improvement and optimize strategies for better results.
- Seamless Data Management and Compliance
BlastPoint offers comprehensive data integration and enrichment by combining internal data with external sources, ensuring the data is thoroughly cleaned, consolidated, and prepared for machine learning applications. All data is stored and processed within the United States, which guarantees compliance with regulatory standards and safeguards against data security issues. Our regulatory-first approach ensures that all models and processes are fully auditable and compliant with regulatory requirements. Additionally, the system is designed to be bias-aware, using only permissible inputs to maintain fairness and transparency in targeting.
Learn more about how BlastPoint ensures data security and regulatory compliance: BlastPoint is now SOC 2 Compliant
Energizing LMI Engagement with BlastPoint
Boosting engagement and enrollment among LMI customers requires a strategic blend of innovative technology, personalized communication, and streamlined processes. BlastPoint’s platform delivers the necessary tools and strategies to ensure LMI customers receive the support they need. By harnessing the power of advanced analytics, and upcoming feature: centralized campaign management, utilities can connect with LMI customers more effectively, increase program participation, and ultimately alleviate energy burdens.
Ready to transform your LMI engagement strategy? Contact us today to learn how BlastPoint’s solutions can help you achieve your goals and better serve your community.
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