Wisconsin Public Service Persuasive Campaign

1. Wisconsin Public ServicePersuasive Campaign Phil-Is-Sophical Adam Behnke, Marisa Greguoli, Ryan Sikma, Susan Theisen

3. Agenda Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

4. Stated Problem “WPS asked your team to critique its current campaign to encourage home owners to conserve energy.  Based on that critique they want you to develop a new and improved campaign to persuade more customers to take conservation steps.” Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

5. Actual Problem “Develop ways to raise awareness on energy conservation, and persuade customers to adopt small steps to save money and the environment.” Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

6. Introduction Formed in 1883 as the Oshkosh Gas Light Company Incorporated as Wisconsin Public Service Corporation in 1922. Purchased by Integrys Energy Group in February 2007 Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

7. Introduction-continued • Wisconsin Public Service operates: • Coal (64% of 2005 revenue) • Natural gas (36% of 2005 revenue) • Hydroelectric generating plants • The company: • 2,410 employees • 11,000-square-mile, 20-county service territory. (Northeast and central Wisconsin, Upper Michigan) Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

8. Purpose • Hired as a consulting firm • To analyze the current campaign for energy conservation • To recommend changes or additions to the current campaign Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

9. Scope • Analyzing WPS • None of Integrys’ other subsidiaries • Focused on company’s energy conservation campaign • Does not pertain to other sections of WPS (Advertising, Customer Service, Billing Processes, Website Design, etc.) Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

10. Assumptions • Energy conservation campaign targets only current customers of WPS • No campaign can effectively persuade all customers Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

11. Assumptions-Continued • Most customers are concerned about conserving energy • Must prove that energy conservation is cost effective for the consumer • Must prove that energy conservation has a manageable learning/transition cost Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

12. KISS Chart

13. Audience Analysis Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

14. Audience Analysis • Primary Audience -Inefficient Energy Consumers (WPS Customers) • Secondary Audience -Consumers beginning to “go green” • Tertiary Audience -Children, who are able to influence their parents http://youtube.com/watch?v=cr6YDOBnYXA Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

15. Audience Analysis The United States is the world's largest energy user, using close to one quarter (24% in 1998) of the world's commercial energy, followed by China (10%), Russia (7%), and Japan (6%). Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

16. Audience Analysis- So What? • Issue is pertinent both locally and worldwide, so it affects everyone • Our focus is on Wisconsin energy users since we are analyzing and improving WPS’s current campaign • Interest in topic is high because the “Going Green” movement is gaining momentum Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

17. Need, Remedy… • Need • The company serves more than 429,000 electric and 311,000 natural gas customers within an 11,000-square-mile, 20-county service territory. Therefore, since the customer base is so large, even small changes can make a great impact when it comes to conserving energy. • The average household spent more than $5,100 on all energy costs in 2007 (includes home energy bills and gasoline). • In 2008, the average household will spend more than $5,500 on energy - $2,200 on home energy costs, and more than $3,300 on gasoline. • Remedy • Get users to visit the website to get energy-saving tips. • Create a more user-friendly website to assist customers. • Stress the benefits of going green to customers. Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

18. …Disadvantage, Devil • Disadvantage • There are some people that are not going to change their energy use regardless of persuasive tactics. • Energy-saving products are generally more expensive than traditional products. • Consumers may think they have to change their whole lifestyle. • Devil • Big/influential businesses who are doing nothing to conserve energy • Consumers who aren’t ready of willing to change their lifestyles Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

19. Campaign Analysis • Type: • Ideologically-orientated • Persuasive Position: • Being less expensive • Versus non-environmentally based products • Being Better • Compared to non-environmentally based products/companies Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

20. Campaign Analysis-Identification • Graphic logo/Name • Color Coding • Vision: • "People Creating a Premier and Growing Energy Company" • Mission: • "Provide Customers with the Best Value in Energy and Related Services" Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

21. Campaign Analysis-Legitimacy • Well Recognized and Respected • Forbes magazine recognized WPS Resources as the utility industry's "Best-Managed Company in America.“ • In 2006 and 2007, Fortune magazine acknowledged WPS Resources as the most admired energy company in its 2006 and 2007 editions of “America’s Most Admired Companies." Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

22. Campaign Analysis-Participation • Known Supporters • Customers of WPS • Known Opinion Leaders • Conspicuously lacking Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

23. Campaign Analysis-Penetration • Concept “Going Green” has gained popularity in society • Political Green Party • Energy Hogs Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

24. Campaign Analysis-Current Stage • Distribution • Has not yet been institutionalized Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

25. Campaign Analysis-Campaign Checklist • Presented by credible sources • Links to climate of prevailing opinion • Focuses on opinion leaders • Hits a responsive chord Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

26. Goals Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

27. Yale Group (See Overhead) Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

28. Latitude of NC Completely Green “Energy Hog” Social Judgment Theory • Dealing with latitudes of Non-Commitment • Danger of Assimilation Effect • What can one person change? Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

29. Elaboration Likelihood Model

30. Fishbein’s Theory- Conserving Energy: Beliefs • B1 (8) Good for the environment (+) = +8 • B2 (9) Conserving energy is costly (-) = -9 • B3 (0) It will change the way you live (0) = neutral • B4 (6) Good for the future of our planet (+) = +6 • B5 (7) Too late to change now (-) = -7 • B6 (9) It will save money in the long run (+) = +9 • B7 (4) WPS give you tips on how to conserve (+) =+4 • B8 (8) Lots of work to change (-) = -8 • Total: +3 Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

31. Fishbein’s Theory- Conserving Energy: Intentions, Attitudes, and Subjective Norms • BI = (AB)W1 + (SN) W2 • (+3)60 + (+7)40 • 180 + 280 • = +460 Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

32. Evaluation of Current Campaign • Strengths • Online Resources • Excellent for current customers • Useful for non-customers • Help Available • 24 hr. Customer Service • Areas of Improvement • Organizational Inefficiency • Advertising Lock-in • Website Only • Lacking Opinion Leaders Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

33. Evaluation of Current Campaign 7 Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion Out of 10

34. Recommendations • Goal: • Increase the tie between WPS and Energy Conservation • The issue is prevalent, but consumers don’t tie the brand to the cause • Recommendation: • Build a base of Opinion Leaders • “Who” over the “What” • Ex: State Senator Dave Hanson, County District #1 Supervisor Adam Warpinski Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

35. Recommendations Examples continued: Senator Rob Cowles and Rep. Phil Montgomery Clean Energy Bill Senator Neal Kedzie Protecting WI’s groundwater Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

36. Recommendations Goal: Diversify Advertising Channels Recommendation: Outdoor Advertising (Billboards) Environmentally friendly and inexpensive! Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

37. Evaluation-Continuous Improvement Online surveys Conservation steps made by individuals Chart bill costs for specific customers Decreasing costs indicates campaign integration Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

38. Conclusion • Current Campaign works • However, not at maximum effectiveness • Not utilizing potential channels • Lacking Opinion Leaders Phil-Is-Sophical Introduction Purpose Scope Assumptions Audience Analysis NRD Campaign Analysis Recommendations Conclusion

39. Questions?