CUSTOMER BEHAVIOR
The role played by customers in the life of any commercial enterprise cannot be over-emphasized, PHCN
not excluded.
In fact, all activities in any profit oriented organization start and end with the customer.
1.0
who is a customer
2.0
Customer is a person who buys goods and services from a seller. The latter may be an individual, an
enterprise or a corporate body.
In case of PHCN, her customers cut across all the social classes of the society, that is, it is patronized
by both the rich and the poor people. This is so because the product, electricity, marketed by PHCN
is essential for the existence and social needs of her customers. It is a unique product that the
customer needs 24 hours a day and 365 days a year.
RESIDENTIAL - these are individual or families who use their building purely for domestic purposes.
COMMERCIAL - customer who use their premises for business, educational or religious purposes e.g.
office, Warehouse, church, mosque, school, shops etc.
INDUSTRIAL- This class of customers is mainly involved in manufacturing and they vary from small
to large scale manufacturers.
To qualify as a customer to PHCN, it is imperative to sign an agreement with the authority and
get your building properly wired.
Thereafter, you are connected with the authority’s network and metered and you start
receiving bills
Base on your energy consumption and power demand.
2. 0
BEHAVIOURAL ATTITUDE OF CUSTOMER
Behaviour can be described as the way of acting in a particular way. From this description,
it can be adduced that the behaviour of customer at any point in the time is influenced by
other focus or factors.
2.1
FACTORS THAT INFLUENCE CUSTOMER BEHAVIOUR
Several factors affect the way or manner a customer behaves but we shall limit them to
those that affect electricity customers.
SOCIAL CLASS
It is a well known fact that for every community, you have what is usually termed in
estate surveyor’s parlance as low density, medium density and high density residential
areas. The first class is usually occupied by affluent and highly successful people. They
can afford to pay regularly for their electricity bills but they are easily irritated the moment
their supply fails. They will use all their influence to pressurize you to restore supply at
the earliest possible time. Examples of such areas are Ikoyi, V/ Island, Allen Avenue, G
R A etc.
Medium density areas are occupy mostly by businessmen, executives of the private and
public sectors and such customers are usually belong to the middle class in the social
circle. Such customers are ready to pay there bills provided the computation is based on
their meter reading. Such customer may tolerate t he failure of supply for a longer period
than those residing in the low density area. However, when such period becomes
intolerable they become hostile. Collection of revenue from this class of customers may not
be difficult provided the electricity bills are distributed regularly. e.g . Surulere Federal
and State Housing Estates, Ikeja . Apapa, okota etc.
The greatest problems in cash collection and failure of supply are usually encountered
in the high density areas occupied mostly by low income earners. In such areas, the
customers are usually hostile and they are fond of defaulting in the settlement of their
bills and affecting illegal connections. It requires extra efforts to collect revenue in such
areas although this Class of customers can tolerate failure of supply for days e.g. Ajegunle,
Akowonjo, Ijeshatedo, Shomolu, Iju, Agege etc.
2.1.1
2.1.2
ENVIRONMENTAL INFLUENCE
Only a thin line differentiates the environmental influence of customer behaviour because
the environment dictates the class of people that inhabits it. In a well plan environment
with necessary infrastructures, there you will find the class of responsible customers who
readily pay for services rendered.
However, an environment that accommodates illegal structure breads a class that are
unruly in their behaviour and approach to social amenities. Hence, vandalisation and
stealing of PHCN equipment is common occurrence in such an environment is coupled
with the maltreating of salesmen on meter reading or cash collection exercise.
2.2
2.3
INFLUENCE OF THE PRODUCT ON CUSTOMER BEHAVIOUR
Electricity is such a wonderful products that although you don’t see it but you feel and
see its effects on your surrounding. Its users are innumerable as it brings comfort to
people, lives, it is used in producing different kinds of goods essentials to living . That’s
electricity is indispensable in the provision of good living condition for the people. It is
therefore better imagined than experience the customer’s behaviour when he fails to get
what brings comfort to him always. That is why a customer whose supply is disconnected
for defaulting and cannot afford payment, would go to any length to have his supply
restored if possible illegally. This is also responsible for customers ‘s behaviour in trying
to cheat PHCN by tampering with meter or indulging in direct connection. In order to
have comfort provided by electricity at their beckoning intending customers are usually
impatient when they apply for electricity. Invariably, they wait till the last minute
forgetting that certain infrastructures need to be provided before they are connected to the
authority network. Monopolistic right on supply of electricity enjoyed by PHCN tends to
put the customer at disadvantage. This is one of the factors responsible for frustration in
the behaviour of customers who have no choice but to tolerate at times the erratic nature
of electricity supply. Hence, it is not uncommon for such frustrated customer to be hostile
to PHCN staff that crosses his path. However, the astonishing aspect of the customer
behaviour is that no matter how long the supply might have been off, there is usually
instant jubilation with shouts of up PHCN! Up PHCN! The moment the supply is
restored. This clearly demonstrates that the customer behaviour can be positive or negative
depending on the quality of service rendered by the authority.
Having enumerated and appreciated the factors that affect customer behaviour it is then
pertinent for the Marketers to know how to relate to such customers because without them
the organization cannot exist.