Origin Energy (ASX: ORG) released a statement today announcing its exit from door-to-door sales tactics by 30 September. This move comes less than a month after AGL (ASX: AGL) decided door-knocking was out for its own company, following a $1.55 million fine for sales conduct that was "misleading, deceptive or likely to mislead or deceive."
In AGL's press release, the utility urged other companies to follow suit, and it seems Origin is opting out, too. "In recent years Origin has been on a journey to improve customer engagement, and has made a considerable investment in new products, billing and customer relationship management systems," said Origin CEO of Energy Markets Frank Calabria in a statement. "We know that the large majority of customers are now using the internet to engage with energy retailers, and Origin continues to invest in digital products and services, with a growing suite of successful innovations now in market."
Following a rigorous customer sales tactic review, Calabria and Origin feel confident that online outlets are the key to smarter sales. In addition to its online account management portal, the energy company has also capitalized on new information from smart meters that uploads electricity usage and energy bill statistics for smart metered homes. Calabria noted that Origin's latest decision "reflects a further evolution in how we engage with our customers and our ongoing commitment to building a better, more direct relationship with them."
Direct-to-customer sales can be the key to a company's success. With its legendary, fully franked 28 cent dividend, Telstra and its wide customer base are the darling of Aussie investors. But with its share price skyrocketing over the past year, is Telstra past its prime? Click here for our brand-new report: "Is It Time to Sell Telstra?"
More reading
Motley Fool contributor Justin Loiseau has no position in any stocks mentioned in this article. You can follow him on Twitter @TMFJLo.