Reshaping the UK Water Industry
Over the past decade, the water industry has
undergone privatization and comparative regulatory
competition. This has changed the way the water
market operates. The average price of water paid by
the consumer has fallen considerably, and
speculation is rife about the potential for further
competition outside of the regulatory framework.
Datamonitor's report "Reshaping the UK Water
Industry" , examines the full implications of
competition in this increasingly dynamic industry.
The report will provide you with a detailed analysis
of the competitive opportunities that exist now and in
the future. These include the possibilities for new
entrants - which sectors of the water market they will
target and why?
Close attention is given to the growing opportunities
in the outsourcing market, which Datamonitor
believes to be the most likely way in which
competition will develop.
The report answers key questions such as:
- How soon will competition extend to the domestic
and Small-Medium Enterprise sectors of the
market?
- What are the potential threats to your customer
base, and where are these threats coming from in
each of the market sectors?
- What are the opportunities and pitfalls of
outsourcing?
- Which barriers and drivers will impact the value
chain?
- What is the value by market sector of your
competitor's business?
- What are the opportunities for developing add-on
services and energy management solutions?
- What is the likely switching rate by market sector
under competitive conditions, and how can
switching be reduced in your region?
Why this report is indispensable
"Reshaping the UK Water Industry" will provide
you with in-depth data and analysis on:
- Outsourcing: Analysis of outsourcing as a cost
cutting and non-core area of the business. This
includes forecasts of the likely players in each
area of outsourcing, and why they will potentially
gain that position.
- Restructuring: The drivers and barriers to
restructuring are examined, and the
opportunities that this will open up to water
companies are revealed.
- Competitors: Threats to the Residential,
Small-Medium Enterprise, and Industrial and
Commercial sectors are identified.
Potential competition from other water companies,
water companies currently not active in the UK,
non-utilities, and non-water utilities is assessed.
- Switching: Switching data is analysed with
particular reference to the electricity and water
industries, and the impact of branding for
customer retention.
6 reasons to buy this report:
- Examine market trends in the industry
- Identify areas of future profitability
- Discover the water companies' change in views
in relation to outsourcing, restructuring, and
opening of the markets
- Understand the motivations for companies to
restructure, customers to switch, and new players
to choose areas of entry into the market
- Forecast market openings for the domestic and
small-medium enterprise sectors
- Anticipate who will be the major players and why
in outsourcing by 2005.
Report Contents
1. INTRODUCTION
- What is this report about?
- Who is the target reader?
- How to use this report?
2. MARKET CONTEXT
- The history of the UK water market
- The market today
- Legislative and regulatory position
- Market Statistics
- Market values by sector - domestic, small-medium
enterprise, industrial & commercial
- Number of sites by service area - I&C
- Volume sales in the I&C market
- Market trends
- Metering and water efficiency
- Consumption per head
- Prices
- Leakage
- Summary
3. STRUCTURAL UPHEAVAL
- Mergers and Acquisitions
- Issues of investment
- Asset restructuring in the water companies:
- Restructuring requirements
- Drivers and barriers for restructuring
- Summary
4. OUTSOURCING: COST OR QUALITY?
- Rationale for outsourcing
- Benefits of outsourcing
- Difficulties with outsourcing
- Cost - concern over unforeseen costs
- Control - difficulty of regaining functions
- Confidentiality - sensitivity & outsourcing
- Service level agreements - experience counts
- Staff co-operation - morale and outsourcing
- Players in outsourcing
- Datamonitor expectations for 2005
- Companies outsourcing water management
- Conclusions
5. PRACTICAL IMPLEMENTATION OF COMPETITION IN THE
WATER MARKET
- Common Carriage
- Bill Estimation
- A possible route for practical competition
6. DEVELOPMENTS IN COMPETITION
- The Water Bill - slow progress
- Retail Competition - future of the market?
- Abstraction licences and water trading
- Inset appointments - limited progress
- Add-on services
- Tariff structure - responses to likelihood of competition
7. DOMESTIC MARKET
- Domestic market opening
- Drivers & barriers to domestic competition
Regulator - lukewarm
- Customers - apathetic
- Water companies - preparation and attitudes
- Retail margins - comparative value of the market to gas electricity
8. SMALL-MEDIUM ENTERPRISE MARKET
- Opening of the SME market
- Drivers & Barriers to SME competition
- Regulator - indecision
- Customers - expectations
- Water Companies - uncertainty
- Retail margins - comparative value of the market to gas electricity markets
9. INDUSTRIAL & COMMERCIAL MARKET
- Expansion of inset agreement competition
- Comparative value of the market against gas & electricity
markets
10. SWITCHING
- Price - the key motivator
- Add-on services - retention or attraction
- Poor customer service - impact
- Brand
11. THE FUTURE DECODED
12. ACTION POINTS
13. APPENDIX