Arcadia Case Studies Aspen Power Partners Leverages IoT for Enhanced Customer Retention and Revenue Flow

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	Aspen Power Partners Leverages IoT for Enhanced Customer Retention and Revenue Flow Arcadia

Aspen Power Partners Leverages IoT for Enhanced Customer Retention and Revenue Flow

Arcadia

Technology Category	Sensors - Liquid Detection Sensors Sensors - Utility Meters
Applicable Industries	Electrical Grids Renewable Energy
Applicable Functions	Product Research & Development
Use Cases	Usage-Based Insurance Water Utility Management
Challenge	Aspen Power Partners, a developer of community solar projects, faced a significant challenge in the customer validation process and billing experience for subscribers. The process of developing a physical solar array, which can take two to three years, required sourcing enough future subscribers to make the project financially viable at launch. This process was labor-intensive and often involved in-person door-to-door sales. Furthermore, many projects proceeded with only a single data point for a subscriber, often collected at the point of sale. This led to a problematic scenario where a developer would attempt to convert their pledged subscribers into active customers only to find a significant percentage were inactive, in default, or had moved to another utility. Read More
About Customer	Aspen Power Partners is a developer of community solar projects. The company was formed in 2016, and its Managing Partner, Jorge Vargas, has been in the solar industry for over a decade. Aspen Power Partners began its engagement with Arcadia through Arcadia’s community solar program. The company quickly learned the deeper benefits of Arc and the data and insights it can provide. Aspen Power Partners continues to see an outstanding return on its investment with Arcadia, securing success in the immediate term with even greater growth on the horizon. Read More
Solution	Aspen Power Partners partnered with Arcadia to leverage its Connect integration and Bundle and Plug modules. Arcadia's Connect integration connects to a subscriber’s utility account at the point of signup and then monitors that account for any change in status. If a customer changes address within the same utility service area, Arcadia can use its mover detection technology to seamlessly transfer their solar subscription, preventing a potential dropped customer. Arcadia’s Plug module allows Aspen Power Partners to calibrate and optimize the intended usage of their subscriber base to ensure that every ounce of value is delivered when the project goes live. Once the customers convert their pending subscriptions to active customers, Aspen Power Partners utilizes Arcadia’s Bundle module to create an improved billing experience that simplifies things for customers and solidifies Aspen Power Partners’ revenue flow. The billing and collection happen on a dynamic basis, creating a continuous cash flow with less associated risk. Read More Log in to view content
Contents

Technology Category

Sensors - Liquid Detection Sensors

Sensors - Utility Meters

Applicable Industries

Electrical Grids

Renewable Energy

Applicable Functions

Product Research & Development

Use Cases

Usage-Based Insurance

Water Utility Management

Challenge

Aspen Power Partners, a developer of community solar projects, faced a significant challenge in the customer validation process and billing experience for subscribers. The process of developing a physical solar array, which can take two to three years, required sourcing enough future subscribers to make the project financially viable at launch. This process was labor-intensive and often involved in-person door-to-door sales. Furthermore, many projects proceeded with only a single data point for a subscriber, often collected at the point of sale. This led to a problematic scenario where a developer would attempt to convert their pledged subscribers into active customers only to find a significant percentage were inactive, in default, or had moved to another utility.

About Customer

Aspen Power Partners is a developer of community solar projects. The company was formed in 2016, and its Managing Partner, Jorge Vargas, has been in the solar industry for over a decade. Aspen Power Partners began its engagement with Arcadia through Arcadia’s community solar program. The company quickly learned the deeper benefits of Arc and the data and insights it can provide. Aspen Power Partners continues to see an outstanding return on its investment with Arcadia, securing success in the immediate term with even greater growth on the horizon.

Solution

Aspen Power Partners partnered with Arcadia to leverage its Connect integration and Bundle and Plug modules. Arcadia's Connect integration connects to a subscriber’s utility account at the point of signup and then monitors that account for any change in status. If a customer changes address within the same utility service area, Arcadia can use its mover detection technology to seamlessly transfer their solar subscription, preventing a potential dropped customer. Arcadia’s Plug module allows Aspen Power Partners to calibrate and optimize the intended usage of their subscriber base to ensure that every ounce of value is delivered when the project goes live. Once the customers convert their pending subscriptions to active customers, Aspen Power Partners utilizes Arcadia’s Bundle module to create an improved billing experience that simplifies things for customers and solidifies Aspen Power Partners’ revenue flow. The billing and collection happen on a dynamic basis, creating a continuous cash flow with less associated risk.

Impact #1	The use of Arcadia's Connect integration and Bundle and Plug modules has resulted in stronger retention, more consistent cash flow, and reduced risk for Aspen Power Partners. The improved billing experience has not only simplified things for customers but also solidified Aspen Power Partners’ revenue flow. The dynamic basis of billing and collection has created a continuous cash flow with less associated risk. The incredible retention and payment rates delivered by Bundle have further reduced risk. This has helped drive the success of current projects and made it easier for Aspen Power Partners to secure new funding and continue to grow their portfolio. Investors appreciate the transparency and stability that Arc is designed to deliver.

Impact #1

The use of Arcadia's Connect integration and Bundle and Plug modules has resulted in stronger retention, more consistent cash flow, and reduced risk for Aspen Power Partners. The improved billing experience has not only simplified things for customers but also solidified Aspen Power Partners’ revenue flow. The dynamic basis of billing and collection has created a continuous cash flow with less associated risk. The incredible retention and payment rates delivered by Bundle have further reduced risk. This has helped drive the success of current projects and made it easier for Aspen Power Partners to secure new funding and continue to grow their portfolio. Investors appreciate the transparency and stability that Arc is designed to deliver.

Benefit #1	The default rate of community solar subscribers who use Bundle is 0.5%, compared to the typical default rate on a solar loan of 4-5% by year three (as of May 2020).
Benefit #2	The predicted default rate from the Consumer Financial Protection Bureau for a 700 FICO score customer is 5%, but customers billed via Arcadia hold at a persistent default rate of 0.5%, year after year (as of May 2020).

Benefit #1

The default rate of community solar subscribers who use Bundle is 0.5%, compared to the typical default rate on a solar loan of 4-5% by year three (as of May 2020).

Benefit #2

The predicted default rate from the Consumer Financial Protection Bureau for a 700 FICO score customer is 5%, but customers billed via Arcadia hold at a persistent default rate of 0.5%, year after year (as of May 2020).

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Overview

Aspen Power Partners Leverages IoT for Enhanced Customer Retention and Revenue Flow

Operational Impact

Quantitative Benefit