CASE STUDIES

Market Segmentation Helps a Renowned Energy Provider Improve Pricing Points for Product Segments in the UK

Jan 29, 2018

Globally, the demand for power is expected to grow by 58% by 2040.

Over the last decade, increasing regulatory pressures have started forcing prominent energy suppliers to shift toward a more decentralized and intelligent energy system. The energy sector, at large, comprises of resources that help sustain the economic development of a country. Growing concerns pertaining to emission reduction, while delivering a stable and secure supply of energy, is compelling companies in the energy market to look for promising alternative renewable resources. In addition, digitization, sturdy economic growth, and greater efficiency will drive the growth of the energy market in the coming years. Although the energy market is expected to witness considerable growth, owing to the growing number of players, some factors may influence its growth over the next few years.

The transition towards renewable sources: The recent years have witnessed a growing need to reduce carbon emissions while maintaining the quality of the services rendered. Leading companies are facing pressures to shift towards renewable sources to ensure the secure and reliable supply of energy. Also, the growing demand for renewables among the consumer segments is forcing companies to bridge the demand-supply concerns and enhance the supply of the services.

Digital disruption: While technology is instrumental for improving inter-connectivity between energy systems, it makes such systems more vulnerable to cyber attacks. Prominent technologies such as batteries and gird-embedded generation require more technical expertise; thus, making it essential for organizations to stay up to date and handle large-scale cyber attacks.

Rebalancing energy and supply demands: With the recent economic recovery, organizations are facing the need for rebalancing the energy and supply demands. Also, stringent government regulations to curtail the use of unconventional resources and improve the efficiency of the products offered are forcing companies to bridge the demand-supply concerns.

To address these challenges and identify the potential opportunities in the energy market, organizations are utilizing market segmentation studies. Market segmentation aims at identifying different groups of purchasers in the market and targeting specific products and services for each segment – Request a free proposal to know more.

The Business Challenge

  • The Client: A renowned energy provider
  • Area of Engagement: Market segmentation

The client, a prominent firm in the energy market, wanted to classify the products based on different groups and precisely meet the needs of the customers in the UK. The energy supplier wanted to analyze the market, identify the key segments, and implement a segmentation strategy to deliver the required products and services to each customer segment. With the help of Infiniti’s market segmentation solution, the firm in the energy market wanted to re-align their products and services based on each segment and adequately allocate their marketing resources to meet their target audience’s needs. The primary concern of the client was to profile the key competitors in the UK and their offerings and make informed business decisions.

Market segmetation

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Our Approach

To track and target each group, the market segmentation experts at Infiniti followed an extensive research methodology comprising of interviews and discussions with prominent stakeholders in the energy market across the UK. To implement a segmentation strategy, the experts also compiled information from a wide array of secondary sources such as trade shows, paid industry databases, and company presentations in the energy market.

The Solution and the Business Impact

The market segmentation solution helped the client in the energy market segment the market in terms of usage and needs. The solution helped the client design their marketing campaigns such as advertising and media to drive sales and improve market attractiveness. The client in the energy market was able to understand the commonalities in opinions and leverage the use of statistical techniques to profile people with similar attitudes. Moreover, the client in the energy market also sought ways to determine the prominent branding strategies and keep the brand in tune with the customers.

The Future

The future of the energy market will be marked by innovations, with a considerable number of players offering energy from renewable sources. The future of the energy market will also depend on public-private collaborations as it will help energy companies achieve sustainable growth.


A must-read case study for strategy specialists and decision-makers looking to develop an understanding of the energy market. For more information request a free brochure.


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