We’ve augmented the EMI website's switching reports to include a filter on switch types. This enhancement provides further insight into the switching activity that takes place in the retail electricity market.
The three switch types are ‘trader’, ‘move-in’ and ‘half-hour’. Trader switches follow the switch process that applies when the customer of an electricity retailer (customer) has an existing contract with the losing trader at the ICP. Move-in switches follow the switch process that applies when the customer is new to an ICP. Half-hour switches are switches of ICPs with larger metering categories. More information is available in the report notes.
The augmented retail reports are: switching trends, switching breakdown, switching summary, and relative switching.
Looking at the switching trends report we observe the following:
- Trader switches peaked in 2011 when the What’s My Number campaign began and show a strong seasonal correlation to the winter months, which is also when this campaign runs.
- Move-in switches have steadily increased and are the main contributor to total switching increasing over time. These results align with our surveys which show that moving house prompts a residential customer to consider their electricity supply choices. An increasingly competitive market structure underpins this increase, as do customers with both awareness and increased choice. Switches are a count of traders supplying ICPs changing, not customers changing traders. Some move-in switches will be loyal customers who decide to sign up with their previous supplier at their new ICP.
Examples of insights that can be drawn from the augmented reports are highlighted at the following links:
