Financial institutions do not want the task of conducting energy renovations. For financial institutions to become successful one-stop-shop efficient collaboration models with third parties, e.g. energy advisors and installers, are needed.
Partnering with a company that is able to pick up leads and carry out energy renovations is on most financial institutions' agenda. The behavioural aspect of this collaboration model is that the customer journey should be behaviourally optimised and experienced as smooth and comfortable. The financial institution should generate the most promising leads for the external partner and the external partner should promote the loan terms in a fruitful way when giving the offer. The details of who does what when and how across financial institutions and external parties are crucial for obtaining the best results.
Apart from external partners installing green solutions, another relevant partner might be real estate agencies. These have daily contact with thousands of house buyers of which many should – but do not – adequately consider energy renovations. New ways of addressing this issue might unlock this potential.
The main advantage of commercial partners is that they can carry out installations themselves. By having a commercial entity visit the household, the household can receive an offer for the task to be solved and does not need to seek further information. In addition to this, the partnership can be made such that the only economic incentive for the commercial party is driven by potential sales to the household.
A disadvantage of choosing a commercial player can be that they are motivated by creating profit, hence selling what they have to offer. If the commercial partner cannot fix the problem of the household, it might never be addressed as a topic. Further, if the salespeople visiting the house are too pushy or give a negative impression in another way, this will put the financial institution in a bad light since they were the ones to recommend them.
The main advantage is that the service of having an advisor give objective input is likely perceived as valuable and trustworthy. Such a partnership will put the financial institution in good light and help the household in making the best decisions on which green solutions to go for.
There are two main disadvantages. The first is the limitation of only giving ‘advice’ and not a solution that the household can accept. After a visit from the advisor, the household is left with the task of searching the market for craftsmen and engaging with a suitable partner – something which is complex and may never happen. The second is that advisors cost a fee, and this fee the financial institution has to pay. This is a huge challenge as the pay-off has to be significant to compensate for paying objective advisors for visiting houses.
This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement N° 101032653.
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