How to negotiate the best electricity rate without changing providers

How to read your electricity bill

People often accept their electricity rate as it is and simply pay their bill, never searching for that better rate … and trust us, it’s out there! Sometimes the barrier to not seeking a better deal is simply not knowing what to compare and what to ask for, and the answer more than likely lies with your existing provider. Luckily we know the tricks of the trade …

1. Call their bluff

Finding the best deal doesn’t necessarily mean that you need to switch companies. Often electricity providers want to reward loyalty (unfortunately, not voluntarily) to keep you on their books. However, going into discussions unarmed will never work in your favour. Before calling your provider, ensure you have all the right information to play the upperhand – the right information being the better deals available from other companies. Be confident on the savings you could see by switching providers. Call it a scare tactic, but your provider needs to really believe you’re going to leave them before they try to win you back.

2. Know what to ask

Companies rarely want to give money away for no reason (but if you do find one, we’d love to know!), so you’ll need to lead the conversation. As well as knowing what you could save, ensure you know the right questions to ask to get to that saving.

  • What deal or incentive can you offer me to stay with your company?
  • What conditions come with that? (for example, paying by a certain date)
  • When does this deal expire or is it for the life of the contract?
  • Which plan has the lowest tariff and usage rates?

3. Work together

Whilst it may feel like you’re going into battle, remember you need to work together to get the best outcome.  Your energy provider wants you to stay and you just want the best deal.  So approach it with an open, collaborative mindset and the customer service representatives are far more inclined to help. The customer service representatives deal with people day in and day out – and we’re sure they’re not all happy customers. Of course it’s important to take the lead and stand your ground as they play their best cards to keep you as a customer, but be patient while they’re doing this. You’ll get a far better result!

Negotiating a better electricity rate with your current provider may require a little bit of homework, but the long-term savings make it worth it. A bit confused by some of the terminology? We can help! Call us today on (03) 9770 8780 for a definition better than any Google search.