JA finds opportunity for profit with analysis

College Station, TX, Nov. 18, 2005 — As the developer of MAISY utility customer hourly energy use databases, Dr. Jerry Jackson, president of Jackson Associates (JA), has a front row seat on competitive electric market developments.

Based on recent activity, Jackson sees a sharpening of competitive marketing focus. “In the last six months we have provided hourly load data and analysis for ten states; with the Texas market getting the lion’s share of attention,” says Jackson. “We’ve been asked to provide everything from individual customer hourly loads to headroom estimates, market segmentation and target market analysis.”

JA analyzed utility customer data, including 8760 hourly loads, to evaluate market profit potential and target market segments. “Only a few of the largest retail electricity providers (REPs) have the resources to pursue all customers; most REPs focus on one or several target segments where they have or are developing a competitive advantage,” says Jackson. “In fact, targeting all customers is not the best strategy; some REPs are expending considerable marketing effort to acquire customers who actually cost money to serve — not a good strategy in markets with shrinking profit margins.”

“As margins have fallen, REPs are getting more serious about identifying high profit customers and market segments. A surprisingly large number of competitive energy providers have no idea how their customer base profit compares to the entire market, how to target profitable customers or why their customers leave for other suppliers. We provide the hard data and analysis to support marketing profit maximizing decisions,” says Jackson, whose clients sell well over half of Texas competitive market electricity.


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