Are Octopuses Slowing Consumer Adoption of Heat Pumps?

Nathan Gambling · 2024-05-03T09:23:49Z

In the meetings and conversations I have with heat pump engineers, installation companies and others around the UK, a theme is emerging: people who are unable to get an Octopus installation drop off the journey completely and stop considering getting a heat pump altogether. This is completely anecdotal and it would be good for the relevant entities and associations to do some research on this. If you’ve experienced what I describe below, please leave a comment. From what I’ve been able to establish, there seems to be a few things going on that’s causing this to happen: A Customer Gets Told Their Home Is Not Suitable Some customers correctly view this as their home not meeting Octopus' criteria but still consider a heat pump as an option. Others wrongly think their home is now unsuitable for a heat pump altogether, causing potential customers to drop off completely. They are unaware that independent installers don't have such strict criteria and can make a heat pump work effectively in their home. Customers Think SMEs Are Exploiting Them Octopus' communications around cheap installs don't inform the customer why they can be cheaper than local installation companies. Octopus has various revenue streams, and sources indicate their heat pump installation business runs at a loss. Local installers don't have the option of loss leaders to attract customers. This leads to an emerging situation where customers, who initially became aware of heat pumps via Octopus's marketing but don't meet their criteria, are reluctant to consider other companies, despite now having an interest in heat pumps. Even Worse Some customers try an SME installer after not meeting Octopus’ criteria but view the SMEs as exploitative and charging too much once they see the quote comparing it Octopus’ pricing. This is due to the fact that the customer does not understand why Octopus can charge so little. There's a risk of installers being viewed as rogue traders, which could spiral out of control and have a massive effect on the uptake of heat pumps. With thousands of people starting their heat pump journey at the entrance of Octopus' vast sales funnel, it's concerning that their interest in low-carbon technology may end abruptly if they encounter obstacles. Proper social science research is needed to understand these dynamics, even if they're considered big and scary topics. It's a transition, and there are bound to be significant challenges emerging that shouldn't be shied away from.

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Air Source Heat Pumps (ASHPs)

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Davesoa

(@davesoa)

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10/10/2024 9:31 pm

@gunboatdiplomat The T&Cs do say the refund will take up to 20 days. And there’s always the option of a Section 75 claim if there is any difficulty. I’m sure there won’t be.

This post was modified 11 months ago by Mars

Ideal HP290 10kw heat pump, 2.99kw PV, Powerwall 2, Zappi charger, EV. Midlands location hybrid house part 1911, part 1970, part 2020s.

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Mars

(@editor)

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11/10/2024 8:51 am

Posted by: @davesoa

↑

@gunboatdiplomat The T&Cs do say the refund will take up to 20 days. And there’s always the option of a Section 75 claim if there is any difficulty. I’m sure there won’t be.

And if you do experience any issues, I’ll contact Heat Geek on your behalf, but I’m sure it’ll be fine because they do run a very professional operation.

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Davesoa

(@davesoa)

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11/10/2024 9:04 am

@editor Thanks. They have come across as very professional and I would have every faith in the installer who has quoted to fit a system that performs as stated. But at the price quoted it just is just prohibitive - especially as there are other significant costs on top. Still if I win the lottery tonight...

This post was modified 11 months ago by Mars

Ideal HP290 10kw heat pump, 2.99kw PV, Powerwall 2, Zappi charger, EV. Midlands location hybrid house part 1911, part 1970, part 2020s.

ReplyQuote