HomeMy WebLinkAboutINS-13-097 - Natural Gas Supply Program - Public Engagement Process Options Staff Rep►�►r
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REPORT TO: Finance and Corporate Services Committee
DATE OF MEETING: December 2, 2013
SUBMITTED BY: Wally Malcolm, Director Utilities, 519-741-2600 ext.4538
PREPARED BY: Tammy Gerber, Marketing Strategist, 519-741-2600
ext.4628
WARD(S) INVOLVED: All
DATE OF REPORT: November 26, 2013
REPORT NO.: 13-097
SUBJECT: PUBLIC ENGAGEMENT PROCESS OPTIONS
RECOMMENDATION:
That staff be directed to proceed with requests for proposal to hire the services of a
Research Consulting firm to develop and conduct quantitative and qualitative research
related to our natural gas supply program with Kitchener residents in 2014.
BACKGROUND:
Kitchener Utilities values the opinions of their customers and regularly conducts customer
research to obtain customer insight on our programs and services. They undergo both
quantitative and qualitative research to help them understand customer's opinions and
satisfaction levels. Kitchener Utilities hires the services of external market research experts for
these projects to ensure the research is obtained through unbiased, third party expertise. The
research experts recommend the strategy and methods to be used to achieve statistically
significant research results.
Kitchener Utilities has engaged in third party customer research regularly and since the
inception of its competitive programs. This allows customers to speak freely and share their
true opinions of Kitchener Utilities programs and services in an unbiased, anonymous manner.
REPORT:
Kitchener Utilities and the City of Kitchener are committed to their customers and residents —
and customer feedback on our programs and services is important. Kitchener Utilities respects
their customers' opinions, and feel it's important to regularly check with them to ensure staff has
a good understanding of views on their programs and services.
Kitchener Utilities is recommending hiring the services of external third party research
consultant experts. Staff will work with Supply Services to go through the Request for Formal
Quote process to obtain project quotes and select a Consultant for this work.
The focus of this research project will be on Kitchener Utilities' natural gas supply program,
specifically to gain insight on our customers' perception of our gas rates. The research
consultants will test to see if Kitchener Utilities current natural gas pricing strategy is still the
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preferred option for customers. The consultants will also obtain feedback on customers'
satisfaction with Kitchener Utilities.
The following is staff's plan and timeline for Natural Gas Supply Program research,
should council approve.
Kitchener Utilities Public Engagement Process Timeline
Dec-13 Jan-14 Feb-14 Mar-14 Apr-14
Purchasing Issues Request for Formal Quote
Pre-Research Planning mum
Focus Groups
Utility bill insert promoting online survey
Online Survey I ]]
Telephone Survey II
Community Outreach to promote survey
Optional Focus Groups Rim
Analysis of Results
Summary of Results and Recommendations
In December, staff will work with Supply Services to issue a Request for Formal Quotes for this
project. Kitchener Utilities staff will work together with the Purchasing Department to select and
award a consultant for this project.
Kitchener Utilities will then meet with the hired research consulting firm to review the project
scope and begin planning the research project. Staff will work with the consultants to develop a
questionnaire to test with customers in the focus groups to ensure all questions are understood
and interpreted properly by customers. A call script for recruiting focus group participants will
also be developed.
The customer research outreach will begin with focus groups to gain customer insights and
views and to test the proposed telephone/online survey questions with customers to ensure the
questions are well understood and interpreted correctly.
Upon completion, the focus group qualitative research will be reviewed to help refine the
telephone/website questionnaire to incorporate the customer feedback gained in the focus
groups.
A bill insert will be included with the February utility bills promoting the option for customers to
go online to complete the Kitchener Utilities survey or request a printed copy of the survey to
complete.
The research consultants will randomly select and call Kitchener Utilities customers in February
to conduct the survey with accepting callers. The research consultants will need to complete
600 telephone interviews to provide statistical validity at an above industry standard level. By
exceeding the industry standard with our sample size, more flexibility is achieved to organize
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and analyze the results into sub-groups, allowing for better understanding of different
perceptions or perspectives.
Kitchener Utilities will work with Corporate Communications and Community Services to
determine strategic events and outreach opportunities for this project. Staff will engage citizens
in strategic community outreach opportunities to speak with them about what Kitchener Utilities
does, offers, and to promote how customers can take part in the survey. Staff will bring surveys
to the selected community events and completed surveys will be included in the results
analysis.
The website survey will be posted online at the beginning of February and will remain open until
mid-March. When the survey closes, responses will be tabulated and analyzed by the third
party research consultants.
Additional focus groups may be completed to expand our understanding of customer
perceptions. This step in the process is optional, and the third party research experts will advise
if this step is required, once the telephone and online data is compiled.
Upon completion of the research, the Research Consultants will review and tabulate the results
for us.
Kitchener Utilities will analyze and share the research results with the Corporate Leadership
Team and Kitchener Council. Key research findings will be included within 2014 natural gas
rate change communications such as a media release, newspaper ad and bill insert.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
The public engagement process aligns with the strategic foundation of effective and efficient
government - communication and customer service. Good customer service, within the
corporation, responds to the changing needs and expectations of stakeholders.
FINANCIAL IMPLICATIONS:
The estimated cost of the external customer research project is approximately $30,000. This
program will be funded through Kitchener Utilities 2014 marketing budget. The project is
currently included within the 2014 budget.
COMMUNITY ENGAGEMENT:
This project relates to the consult theme of the Community Engagement Strategy. Kitchener
Utilities will consult with customers in both qualitative and quantitative formats. Our third party
research consultant will recruit customers to be involved in focus groups and telephone surveys.
Kitchener Utilities will send a bill insert out to all customers encouraging them to go online and
fill out the survey or request a paper copy to complete. Staff will also be out in the community
explaining Kitchener Utilities programs and services and encouraging citizens to complete the
survey.
ACKNOWLEDGED BY: Pauline Houston, Deputy CAO, 519 741 2600 ext. 4646
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