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New Energy Economy

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New Energy Economy

  1. 1. alertme creating smart homesPilgrim BeartAlertMe 23rd February 2012 February 2012Allen & Overy, One Bishops Square, London
  2. 2. Today• Consumer Energy Displays – 3 ways to engage and empower the consumer – Which do consumers prefer?• The Value of Data – The rise of the Smart Home – Turning Data into Value – Smart Meters are just part of the puzzle• AlertMe Smart Data
  3. 3. 1. In Home Display (live in the home) Translate Energy units into MoneyAesthetically pleasing(looks good in your kitchen) Comparative (consumption rising or falling?) Live “Speedometer” display Added-value features (Power, at a glance)
  4. 4. 2. Offline (historical e.g. on bills)
  5. 5. 3. Online (live, everywhere) You spent £200 heating an empty home last winter Intelligent heating gives 20% savings on your gas bill by only heating the home when you are there.
  6. 6. Energy Monitoring – IHD or Online? Given the choice, which one would you choose? Option 1 - Display 40% Option 2 - Online 40% Depends 12% Neither 8%UK market survey by Critical Research, May 2011. Sample size; 1,224
  7. 7. IHDs vs Online: StereotypesIHD Persona: Online Persona:• More likely to be 50+ • More likely to be ~30-year-old• More likely to be married • More likely to be male• More likely to be female • Has young children• Children have left home • Fully-employed• May be retired • Home mortgaged, or renting• Home mortgaged/paid off, probably hasn’t • Household income £2500/month moved for 15 years • Owns a Laptop and/or SmartPhone• Household income £1250/month • Uses computer at work to access internet• Owns a desktop Previous IHD experience: • People who’ve already had IHDs more likely to want Online • Especially those that have discarded their IHD
  8. 8. Access to data from SM HAN via CAD Smart Gas Meter Smart Electricity Meter In Home Display (IHD) 1 3 Comms Hub • Appliances • Services • Internet … 2 • Future stuff! Consumer DCC Access Device (CAD) Consumer HAN(s), managed by the Consumer SMHAN, managed by Utilities
  9. 9. The Value of Data (Smart Meters are just one of many new data sources)
  10. 10. Everything else now in the Cloud …why not your home? “The number of internet connected devices is set to explode in the next four years to over 15 billion, twice the worlds population” Suraj Shetty, Cisco VP global marketing, at its 5th annual trends forecast 1 June 2011
  11. 11. The Value of Data• Data is the lifeblood of any service• Must turn Data -> Information -> Value• “New economy” companies easily deal with: – Databases of millions of customers – Millions of hits/day• “Old economy” companies struggle with: – A patchwork of legacy IT systems & processes
  12. 12. The Value of DataFor the Consumer:• Information• Control• Automation• Insight• Simplicity (esp. interoperability & low friction)• Peace of Mind• Savings (reduced consumption, switching)
  13. 13. The Value of DataFor Retailers (of Energy and others):• New Services (brand presence, loyalty)• Higher added-value – Energy Services much higher margin vs. Energy Retail• Cross-sell, up-sell & e-commerce• Disintermediation (e.g. MVNO)• Bundling• One platform to unify the home
  14. 14. Ground Rules• Must be Permissive – It’s the consumer’s data – The consumer chooses to grant access – If it doesn’t benefit them - they won’t• It’s a trade (like gMail)• Don’t need to wait for Smart Meters!
  15. 15. AlertMe Smart Data 15
  16. 16. AlertMe Smart DataA model, able to use whatever data is available:• Zero data (assume national averages)• Basic data (demographics or postcodes)• Low-res Energy data (quarterly/monthly reads)• Medium-res Energy data (Smart Meter, ½-hourly)• High-res Energy data (10sec, via CAD)• Temperature• Other sources (e.g. customer-volunteered info) 16
  17. 17. AlertMe Smart DataProvides, for every customer, estimate of:• Size of bill (elec, gas)• Energy use profile over 24 hours• How bill breaks-down – Lighting, Cooking, Heating, Appliances, Hot Water,…• Which appliances consume the most power 17
  18. 18. alertme creating smart homes pilgrim.beart@alertme.com alertme alertme alertme2nd floor Heddon House Compass House 123 10th Street149-151 Regent Street 80 Newmarket Road San Francisco London W1B 4JD Cambridge CB5 8DZ CA 94103 +44 207 993 9500 +44 1223 361555 +1 415 409-9288