The energy and utilities industry in 2024 has been a year of pivotal transformation, marked by technological advancements, shifting market dynamics, and evolving customer expectations. From complex sales processes to the critical role of order management, and the ongoing pressure to improve forecasting capabilities, the industry is adapting to new challenges with innovative solutions. As companies seek to maintain competitive advantages, streamline operations, and enhance customer satisfaction, we’ve been keeping tabs on three major trends all year long: a surge in Configure, Price, Quote (CPQ) solutions for complex sales, a continued focus on order management as a driver of customer loyalty, and the unrelenting push for more accurate forecasting. Let’s dive into how these trends are shaping the energy and utilities industry in 2024.

 

Surge in CPQ for Complex Sales

Energy and utilities companies have always operated in an environment that requires sophisticated sales processes. With products and services ranging from energy supply contracts and infrastructure projects to smart grid solutions and renewable energy offerings, the sales cycle can be complex, requiring multiple stakeholders and intricate configurations. This complexity has made the need for advanced sales automation solutions more pressing, and in 2024, the surge in demand for Configure, Price, Quote (CPQ) solutions is unmistakable.

Salesforce CPQ has been a standout solution for energy and utilities companies looking to streamline their sales processes and improve operational efficiency. As these industries navigate the complexities of bespoke energy solutions, project timelines, pricing models, and regulatory considerations, having an intelligent CPQ tool is crucial for sales teams to manage such intricate processes with ease. Salesforce CPQ has quickly become the go-to choice, offering companies the ability to configure complex product offerings, generate accurate pricing based on dynamic factors (such as energy demand, regulatory changes, and contract terms), and provide instant quotes to customers.

This shift toward CPQ tools reflects the increasing need for precision and speed in sales processes. The growing adoption in the energy/utility industry of Salesforce CPQ highlights its ability to manage multi-layered contracts and pricing structures while ensuring compliance with ever-changing regulations. With its seamless integration into the broader Salesforce ecosystem, CPQ not only accelerates the sales process but also enhances collaboration across departments, from sales teams to finance, legal, and operations. As a result, energy and utilities companies can close deals faster, reduce errors in pricing, and deliver a more personalized experience to their customers—ultimately driving growth and improving their competitive positioning.

You can learn more about revenue management with Salesforce here. 

 

Order Management Remains Key for Customer Loyalty

In the highly competitive energy and utilities space, where customers often have numerous choices, providing seamless, hassle-free customer service is critical to building lasting loyalty. In 2024, companies have doubled down on the importance of order management to enhance customer retention and satisfaction. From initial service requests to ongoing billing and support, a well-executed order management system plays a crucial role in ensuring customers have positive, frictionless experiences throughout their entire lifecycle.

Effective order management means quickly processing and fulfilling service requests, tracking the status of orders, and ensuring timely delivery of products or services. In an era where energy consumers expect on-demand service and immediate responses, this level of operational efficiency is no longer optional. A single hiccup in order fulfillment can cause significant frustration and prompt customers to seek alternatives.

For energy and utilities companies, Salesforce’s Order Management solutions have become an essential tool in maintaining this efficiency. By centralizing order information and offering real-time tracking, Salesforce Order Management ensures that customer orders are processed accurately and quickly. This streamlined approach not only enhances the customer experience but also helps companies reduce operational costs, prevent delays, and increase customer satisfaction.

In 2024, companies that prioritize integrated, end-to-end order management systems are seeing notable improvements in customer retention and lifetime value. These systems allow businesses to capture detailed customer data and tailor future offerings based on past interactions, leading to more personalized service and stronger customer relationships. By getting order fulfillment right, energy and utilities companies can differentiate themselves in an increasingly competitive marketplace.

 

Improving Forecasting Capabilities: A Leadership Priority

Energy markets are inherently volatile, influenced by factors like geopolitical events, weather conditions, regulatory changes, and shifting consumer demands. Given the unpredictability of these factors, having robust forecasting capabilities has always been a key priority for industry leaders—and in 2024, this focus is more pronounced than ever. Accurate forecasting is critical for making informed decisions about capacity planning, resource allocation, pricing strategies, and risk management.

In 2024, energy and utilities companies are investing heavily in predictive analytics and AI-powered forecasting tools to improve the accuracy of their demand and supply forecasts. The aim is to anticipate customer needs, market fluctuations, and operational bottlenecks before they occur, giving companies a competitive advantage in responding to market dynamics.

One of the most notable advancements in this area is the integration of AI and machine learning algorithms into existing forecasting models. These technologies can analyze historical data, identify patterns, and generate highly accurate predictions for energy demand across various regions. This is particularly important as utilities seek to optimize grid management and ensure energy supply meets demand, especially in the context of renewable energy sources like solar and wind, which can be intermittent and difficult to predict.

Moreover, forecasting is not limited to energy demand alone. Companies are also using advanced tools to forecast pricing trends, regulatory changes, and even customer behavior. For example, AI can predict when customers are likely to shift to renewable energy sources or when energy consumption patterns might shift due to economic conditions or new government policies. By integrating these insights into their operational strategy, energy and utilities companies can minimize risk, maximize profitability, and remain agile in an unpredictable market.

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As we look back at the energy and utilities industry in 2024, it’s clear that technological innovation continues to drive significant change. The surge in demand for CPQ tools, particularly Salesforce CPQ, is revolutionizing the way companies handle complex sales processes, enabling them to deliver faster, more accurate quotes. At the same time, companies are recognizing the importance of order management in fostering customer loyalty, ensuring that their energy and utility services are efficient, personalized, and reliable. Finally, the push for better forecasting—powered by AI and predictive analytics—is a key strategic priority for industry leaders, enabling them to stay ahead of market fluctuations and customer demands.

For companies in energy and utilities, the need to innovate, streamline operations, and stay attuned to customer needs has never been greater. Those who embrace these technologies and trends will not only drive operational excellence but also enhance customer satisfaction, ultimately positioning themselves for success in the evolving market of 2024 and beyond.