Retail Energy Providers (REPs) or RE Marketers (REMs)?

We have been searching for the genesis from where the acronym “REPs” came from.  I think the word “Providers” subconsciously does not position most of our REPs for higher success.  I do not think our REPs provide anything.  I believe they are Retail Energy Marketers (REMs).  I am glad that our friends at EMC introduced the word “M” instead of “P”.  It would be more awkward to call the EMC conference “EPC Conference”.   

Some may argue, “what’s in a name?”.  Logically, a name should not be a big deal.  But I think subconsciously, a name can be an identity and drive our focus and priorities down a sub-optimal path.  We have been fortunate to serve a majority of the REP brands in the USA and a few of the brands in Canada and Europe.  I see some patterns of their technology spend which is closer to them being a provider than a marketer.  For example, our customers’ highest technology spend is in billing systems.   

I am not suggesting that REPs do not know what they are doing.  The truth is far from that.  There are several reasons for this.  Most of the large and medium-sized REPs have 3 or more billing engines.  Dozens of enrollment websites.  We also know that these situations exist because historically different markets were open at different points of time.  There was a frenzy to be an early entrant to a market to support a land grab strategy.  Compromises were made.  Sub-optimal decisions were taken.  These REPs have been successful, and those compromises and sub-optimal decisions are proving to be a detriment to being nimble and effective.  I am hoping that REPs will make a move to become REMs.  Otherwise, I have no doubt that there will be Netflix/Amazon-type players who will displace the Blockbuster or Barnes & Noble of this industry.   

Saurajit Kanungo is President at Cyber Group, an IT Consulting company that helps companies grow in unison with the ever-changing marketplace by guiding its clients to leverage information technology solutions with fast entry-to-market results. 

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