Most utilities' websites fail to please

Andersen Consulting has followed up its study of the growth of e-commerce applications, reported here 23 September, with a review of the websites of major utilities companies. The lack of sophistication and functionality, say the consultants, means few of these companies are ready to compete effectively in the online marketplace.

Sites in the UK, US, Australia and Hong Kong are generally characterised by shortcomings that leave companies vulnerable to new players who can move more quickly to capitalise on gas and electricity deregulation.

Andersen investigated quality of content, usefulness, range of interactivity and ability to conduct transactions. Tremendous variation in performance was found, with the majority unready to operate in an e-commerce environment.

Says associate partner Ian Gibson, "e-commerce gives companies the opportunity to greatly extend their relationships with customers by interacting with them on a very personal and customised level. Unfortunately, many utility companies are not taking steps to do this despite the fact that most are either already or soon will be facing a much more competitive marketplace."

In the worst cases, site visitors are presented with an email 'black hole' where requests for information produce no response.

Companies that do not devote adequate resources to their websites, once created, are choosing - consciously or not - to risk losing customers, forfeit revenue, waste the investment and see their brand values eroded, says Andersen.

Elliott Chase