Unlock savings: The Hidden Opportunity in Switching Household Services Amid the Cost-of-Living Crisis
Help with better understanding the switching process
In the face of the ongoing cost-of-living crisis, UK households are grappling with financial strain. Many are curbing daily expenses, but a significant avenue for savings often goes unnoticed—switching household services, such as broadband, gas, electricity, insurance, and mobile phone.
UW’s comprehensive report, supported by Opinium Research and Dr. Martha Newson, delves into the prevailing attitudes toward switching, identifies barriers, and suggests solutions for a better understanding of the switching process.
Savings Opportunity: Over 25% of Households Missing Out on £200 Annually
Despite economic challenges, a staggering 26% of households (equivalent to 12.7 million people) have refrained from switching energy, broadband, mobile, or insurance for over three years. This inertia translates to an average annual savings loss of £200. As three-quarters of bill payers anticipate rising household utility prices, the question arises: why don’t more people seize the opportunity for a better deal on their household utilities, by switching their utility provider?
Breaking the Inertia: Overcoming Apathy and Simplifying the Switching Process
A common belief that all suppliers are the same fuels switching inertia, with apathy being the primary obstacle, closely followed by concerns about complexity and time. This inertia is costly, contributing to an annual expenditure of over £2.5 billion in unnecessarily high bills.
A Unique Approach: Utility Warehouse Unlocks Significant Savings
While many suppliers appear similar, standout players like Utility Warehouse (UW) offer a distinctive approach. UW Customers can bundle energy, broadband, mobile, and insurance into one consolidated bill, unlocking significant savings.
Making Switching Easier: Addressing Consumer Concerns
To facilitate switching, consumers seek simpler communication options, such as speaking to someone on the phone or in person, and a faster application process. Personal recommendations from friends or family also play a pivotal role in influencing choices when it comes to moving to a new utility provider.
Empowering Consumers: A Call to Action Amid Economic Uncertainty
In conclusion, UW’s insights from this research, and as a provider of all four surveyed services, offers valuable guidance for enhancing industry support. Empowering consumers to explore the market and save on household bills is not just possible but essential in these challenging economic times. It is hoped that this state of the nation research will empower more consumers to seize the opportunity of unlocking savings, and help more UW Partners to better understand the value of what they offer.
Read the full report: State of the nation switching report.