The UK water industry stands at a crossroads, with a pressing need to foster a more customer-focused culture. This shift is not just about improving public perception; it’s about rebuilding trust that has been eroded over years of environmental missteps and perceived indifference to customer needs. So, what steps are necessary to turn the tide?
Firstly, there is no quick fix. It will take a series of changes, time, and a unified effort from everyone in the sector. Water companies must make customers central to their thinking, actions, and decisions. This isn’t just about lip service; it’s about embedding customer focus in behaviours, processes, systems, and policies. It’s about leadership and management teams consistently demonstrating this commitment.
“We’re already doing a lot of work with water companies in this space,” says a spokesperson from the research firm. “A key thing to stress is that customers have to become central to how the business thinks, acts and the decisions it makes.”
However, bold brand statements often outpace actual behaviours and actions. From the boardroom down, every decision and action must build customer trust, not erode it. Companies need to connect with their customers, actively listen to their sentiments, and show genuine empathy. Trust is also earned through transparency and accountability, especially when things go wrong.
Public distrust has grown due to environmental issues like storm overflows. Water companies need to acknowledge the strength of public anger and stop blaming regulators, past price settlements, or the weather. People want action, not excuses. They want to see the health of rivers, lakes, and seas improving.
“We know from our research only around a third of customers trust water companies to protect the environment,” the spokesperson adds. “Changing that perception is going to be pivotal to the industry winning back customers’ trust and confidence.”
The latest price settlement offers an opportunity. It will unlock unprecedented levels of investment, providing a chance to end the harm caused by storm overflows. But companies must deliver on both infrastructure and performance. Past struggles with less ambitious investment programmes serve as a cautionary tale. The stakes are high, with customers footing the bill through much higher prices. Investors want a return, but so do customers.
This news could shape the sector’s development in several ways. It could accelerate the shift towards a more customer-focused culture, with companies prioritising customer needs and environmental performance. It could also increase scrutiny, with customers and regulators closely watching how companies spend their investment and deliver on promises. Moreover, it could spark a debate about the balance between investor returns and customer benefits, with calls for greater transparency and accountability.
However, the path forward is not without challenges. Companies must walk the talk, consistently demonstrating their commitment to customers and the environment. They must also navigate the complexities of delivering ambitious investment programmes while managing customer expectations and maintaining public trust. It’s a tall order, but one that the sector must rise to if it is to rebuild public confidence and secure its future.
