Qurrent Proposal
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Transcript of Qurrent Proposal
CLEA(N) Solutions
Courtney Jurd
Laura Kenney
Elly Wagner
Aleix Nadal i6124360, i6140960, i6142580, and i6141282 Tongersestraat 53 6211 LM Maastricht, Netherlands Phone: 043 388 3768 E-Mail: [email protected] Web: www.CLEANovelSolutions.experts.net
How do we get society to more quickly adopt renewables?
30 November 2016 QURRENT NL
30 November 2016 CLEA(N) SOLUTIONS Page 1
Table Of Contents
Introduction ............................................................................................ 2 Various Entrepreneurs……………………………………………………………………………………………………………….………….3
Raising Awareness for Green Energy Adoption .................................................. 4 Negative Impacts of Gray Energy…………………………….………………………………………………..…………….………….4
Relatable Issues……………………………………………….………………………………………………………..…………….………….4 Emotional Need for Action……………………………………………….………………………………………………………..………..5 Empowering Everyone to Make a Difference…………………………………………….………………………………………...5 A Collective Community………………………………………….………………………………………………………..…………….…..6 It's an Easy Win-Win for Everyone…………………………………….………………………………………………………..……….6 Developing Another Market of Opportunities……………………………….………………………………………………………7
Attractive Marketing Ideas .......................................................................... 7 Young Generation - Age 20 - 30…………………………….………………………………………………..…………….…………….8
Middle Generation - Age 30 - 60……………………………………………….………………………………………………………….9 Older Generation - Age 60+……………………………………………….………………………………………………………..…….10 Organizations…………………………………………….………………………………………......................................10 All Together………………………………………………………….………………………………………………………..…………….……10
Measuring Our Impact Growth .................................................................... 11 Social Return on Investment (SROI)…………………………….………………………………………………..…………….…….11
Logic Chain Model………………………………………….……………………………………………………………………………………12 The Output Approach………………………………………….………………………………………………………………………………12
Conclusion ............................................................................................ 13
Appendix .............................................................................................. 14
Refernce List ......................................................................................... 15
30 November 2016 CLEA(N) SOLUTIONS Page 2
Introduction
Of the many challenges businesses take on, operating in a responsible and sustainable
manner may be the most noble. Choices of resources, efficient processes, and consideration for
not only the parties directly affected, but the planet as a whole has become increasingly
expected of business leaders. This is not a extent of commitment; more so, many organizations
directly address the most pressing issues threatening the planet and society along with their
mission. They form solutions to rightfully counter society dangers and increase social and
environmental wealth.
One such challenge facing our planet today, is the reliance on nonrenewable energies and
the impacts of their consumption. Reserve to production ratios around the world have been
falling in recent years, raising concerns of future scarcity while significant climate change also
directs attention to the 0.1% increased global fossil fuel CO2 emissions last year (see Figure 1 for
a more detailed graph) (“BP Statistical,” 2016, p7). Meeting these issues in a fashion both
traditionally Dutch and technologically progressive, Qurrent combats the harmful effects of
human energy usage by harnessing the wind and solar parks to provide energy at a competitively
reasonable cost to customers. Studies have shown that wind energy provides a sustained output
second to only hydroelectric in the realm of renewable energies while also keeping in mind that
wind resources are abundant world-wide (Panwar, Kaushik, & Kothari, 2011, p1517). The question
then comes down not to how to create alternatives for consumers, but how to engender societal
adoption of the renewable alternatives currently available?
To generate a measurable impact, Qurrent seeks to aid customers in diminishing their use
of electricity and gas. This goal of lowering consumption runs counter to market practices in
which organizations’ pursue financial goals linked with increased consumption to improve their
demand. With the realization that consumption practices are altering and harming the planet,
individuals and organizations must reassess their choices and acknowledge the resulting
consequences. Oftentimes, this evaluation minimizes consumption of goods and services that
have harmful effects. While such downsizing may benefit the planet, a reduction in demand is
detrimental to traditional profit-based businesses; therefore, most organizations do not wish for
this lifestyle change. The resulting issue presents sustainability-oriented organizations with a
unique conundrum of financially surviving in order to maximize social and environmental impacts,
all the while attempting to persuade consumers to alter their ingrained consumption habits.
Like many environmental enterprises, Qurrent acts to meet a triple bottom line: operating
under considerations of financial, social, and environmental impact. Often, these conflicting
goals can lead to difficulties simultaneously sustaining the business, attracting shareholders,
creating social value, and benefitting the planet. Both organizational and customer motives
30 November 2016 CLEA(N) SOLUTIONS Page 3
deviate from typical self-interest and individual utility maximization. Qurrent’s value proposition
to customers is not solely one of value capture, but one of value creation with positive
externalities that improve the planet for all. Zahra describes this as “total wealth,”
acknowledging the economic and social benefits plus costs incurred, as well as the cost of
foregone opportunities. This equation allows ventures to shift resources to concentrate on
economic or social wealth creation while still increasing overall wealth (Zahra, 2009, p522).
Among individuals and organizations pursuing innovative solutions to generate overall wealth,
those who address ongoing social needs within broader social structures are qualified as “social
constructionists.” This Kirzenerian entrepreneur fills in the gaps where businesses and
governments are not providing adequate offerings. In Qurrent’s situation, the lack of green
energy providers in the Netherlands catalyzed the organization to provide existing technologies to
a country in need of renewable energy sources (Zahra, 2009). The crucial element of innovation is
delivered in their method of involving customers in strategic decisions as well as providing a way
to own the means of production through windmill share purchases or solar panel farms, as well as
monitoring energy production and consumption with the Qbox.
Various Entrepreneurs
Environmental entrepreneurs are set apart from other businesses due to their distinct
central drive for innovative social changes. Income is not the fundamental focus with these
entrepreneurs; it simple provides the means for achieving their social and environmental goals.
The balance between sustaining the environment and sustaining the organization is reached
through “perpetual reasoning.” This concept involves maintaining resource quality for as long as
possible, providing an array of benefits with each action, and making decisions with quality as the
objective (Parrish, 2009). A key amidst all of this is the continuance with resources, the
cornerstone of Qurrent’s business model and highest objective. As a sustainability-driven
enterprise, the perpetual reasoning has shaped it into an exclusive business model unmatched by
other energy providers currently in the Netherland market. A focus on enhancing and lengthening
the amount of time resources may be appreciated fits with the growing awareness of climate
effects and the desire to create a more livable planet for future generations.
As a young company (in operation for only two years), Qurrent represents a flexible
venture that is able to disrupt markets. Hockerts & Wüstenhagen focus on the impacts these
“emerging Davids” have on product innovation leading to new dominant designs, which are then
adopted by entire industries (2010). As new entrants to the industry, they are poised to provide
solutions without feeling trapped by a specific existing mindset or current assets, while refusing
to sacrifice their high standard goals. Of course the solutions provided are valuable in
themselves, but perhaps the greatest impact occurs when organizational “Goliaths” adopt the
30 November 2016 CLEA(N) SOLUTIONS Page 4
technology and disseminate it with process innovation and economies of scale. Davids and
Goliaths simultaneously evolve and depend on one another; Davids provide novel solutions, with
Goliaths implementing them on a broader scale. The potential for Qurrent to alter the energy
industry and/or become a leader provides additional incentive for the organization to strategize
effectively, promote sustainability, and preserve its core mission. Though small, their impacts
may spread to larger organizations embodying the entrepreneurial saying of “reach exceed[ing]
their grasp” (Dees, 1998).
Raising Awareness for Green Energy Adoption
Society has being using conventional energy sources for years, slowly damaging the
environment, and subsequently human life. The negative externalities that result in the burning
of fossil fuels are finally getting recognized and consumers are responding in accordance to this
broadening awareness; however, most are still ignoring these harmful outcomes and continuing
with their habitual, unsustainable consumption. It’s a difficult task to convince individuals to
change their ways to experience a greener world, but it’s possible as we see the usage of
renewable energy sources slowly, but persistently increasing (“BP Statistical,” 2016, p5).
Negative Impacts of Gray Energy
Most people understand that fossil fuels emit greenhouse gases, and research on the
greenhouse effect is highly advertised. Despite all of this knowledge, the shift in thinking is very
gradual. With steady world population growth, total demand and consumption of energy is
projected to rise by two thirds in the next 15 years. If fossil fuels maintain their role as the
leading source of energy, this will result in continued rates of elevated emissions. It’s important
to share the negative impacts of these gray energies and capture the emission factor in a
quantitative value; coal releases 1.1800kg/kWh CO2 while wind for example releases a fraction of
that. To drive the issue even further, CO2 emissions are not the only contributors to the
heightened radiation within our atmosphere, but the great releases of SO2 and NOx from gray
energy sources also serve as indirect greenhouse gases (Islam, Hasanuzzaman, Rahim, Nahar, &
Hosenuzzaman, 2014, p2). Windmill and solar energy will cut these emission numbers immensely
as the gases are only released during the initial production of the sources and then sparingly
during usage.
Relatable Issues
Educating about these negative effects seems straightforward and simple, but in order to
truly trigger a response from the people there needs to be a personal connection. Yitshaki
discusses the role that passion, importance, and similarity play in evoking a committed effort
(Yitshaki & Kropp, 2016, p213). These qualities form a meaningful belief and help overcome
30 November 2016 CLEA(N) SOLUTIONS Page 5
failures and uncertainties with intuition, all while remaining rational and consistent. These carry
over to the adoption of green energy. Consumers need to relate impact to their lives in order to
spark a desire for critical change; passion for this social and environmental energy issue will
motivate new behaviors. Comparing this climate change issue to other significant topics may
widen people’s eyes. The process of connecting and ranking importance allows for heightened
conceptualization resulting in a response, and for our case, exposes the detrimental effects of
fossil fuels. Take clean drinking water for example as it’s clear how tainted water negatively
effects on one’s body/life, yet the available alternatives that create a better situation are not
being globally accessed. Outlining and relating the causes and effects of separate well-known
problems will give individuals a new angle on the situation; they will have a framework to relate
this severe issue to. Individuals are triggered in many ways, so diversifying the delivery with such
analogies would broaden interpretations of gray energy’s costly outcomes.
Emotional Need for Action
Even with such knowledge, it’s easy for people to simply ignore issues like this. When
significant issues remain untouched it doesn’t only do an injustice to the individual, but also the
ones they love and society as a whole. With research showing global fossil fuel CO2 emissions
continuing to rise, we can’t ignore this issue forever (“BP Statistical,” 2016, p5). Social
movements led by confident change agents have developed in hopes of pushing green energy.
These people or groups serve as role models that are willing to attack critical issues (Dees, 1998,
p4). They don’t want to wait around and rely on others to make a difference, so they instead
take action. Sharing these brave advances forces others to realize their guilty of laziness.
Emotional pulls like this are used in a variety of situations and are quite successful in influencing
groups of people. Some people will react to the numerical data but personal experience and
classroom learning shows that others are solely influenced when they are mentally or emotionally
confronted. Framing the issue of gray energy as a challenge will arouse some people to act and
join the crowd around them. When others witness progress like this, fears dissipate and
previously insurmountable problems become practical. Clear examples of such established
groundwork should shift the ease of action perspective from destructive fossil fuels to attainable
and less harmful green energy (Dees, 1998, p5).
Empowering Everyone to Make a Difference
Knowledge is key, so quantifying, advertising, and relating the negative repercussions of
burning fossil fuels with our rising energy consumption while showcasing the ease of switching,
will assist change. Every individual makes a difference when it comes to green energy.
Campaigning on the basis that individual involvement is simple but contributes considerably to
the cause will appeal to people’s desire for direct impact. People yearn for empowerment, and
30 November 2016 CLEA(N) SOLUTIONS Page 6
this situation opens the door to a choice that shows their influence on the environmental and
social world. Choosing to use green energy is similar to “voting” for a better the world;
maintaining the environment as well as changing the way one lives their life. People need to be
shown that investing in green energy is taking an individual but meaningful stance with many
others to shape the future of the world (Parrish, 2010, p517).
A Collective Community
Spreading green energy impact extensively within specific communities will generate a
unified view and a bond impossible to later break. When everyone surrounding is involved in a
specific movement, it’s hard to defy those established precedents. As a result, everybody follows
the group’s trends. Taking on the idea of thinking local and acting global will stimulate
involvement with people interacting together, as one, for a greater purpose. Attracting small
communities with such energy ideas will spur a contagious outlook to think locally and make a
difference in the group, while those actions also impact people around the world (Hockerts &
Wüstenhagen, 2009, p489). Numbers from the past year show a 1.8% global decline in coal
consumption. This decrease may have occurred due to certain policies, but many also believe
that it was compiled with green ideas catching fire in more and more social groups (“BP
Statistical,” 2016, p4).
It’s an Easy Win-Win for Everyone
Regardless of altruistic intentions, consumers are still self-interested; therefore, in
addition to a communal element, a win-win perspective will sway additional views. Individuals
must be interested in generating cleaner breathing air, experiencing more reasonable climate,
and relying on sustainable sources for their own personal benefit. Even with such personal focus,
their actions still positively affect the rest of the world. Green energy usage reduces the
environmental externalities of the greenhouse effect while socially allowing people to make a
statement. Everyone embraces win-win situations since they offer personal and external benefits.
In order for the mass to adopt green energy they need to realize that this decision is as such
(Parrish, 2010, p520). Referring to the decision making process, transitioning energy sources has
minimal opportunity costs. For those that analyze their consumption or the cost/benefit of
various energy sources, green energy conditions beg the question “Why not?” There’s no positive
effect of utilizing fossil fuels above the rising green supply so why not switch to a more
sustainable and eco-friendly progressive energy source? Some initial costs are slightly higher, but
when factoring in the personal and social benefits as well as positive externalities, the eco-
friendly green energy solution provides a simple answer to an ongoing challenge.
30 November 2016 CLEA(N) SOLUTIONS Page 7
Developing Another Market of Opportunities
A final point of persuasion arises from a business and social view for this developing
industry. When beginning to use green energy, a great amount of jobs are opened to develop,
run, and service the system. With a persistently growing world that requires efficient and
effective systems, establishing this industry creates a new network. Acknowledgement of this
new industry will let people see the social benefits in addition to the highly advertised
environmental gains. Skeptical people that may have not been convinced by primarily
environmental aspects will appreciate the creation of jobs and another arm to the energy
industry. Stimulating and building upon sources of human and physical capital will allow for the
global economy to remain stimulated in such an arena.
Attractive Marketing Ideas
In Zahra, Gedajlovic, Neubaum & Shelman’s conceptualization of total wealth generation,
the economic proportion of this equation takes into account opportunity costs (2009). When
consumers spend marginally more money on renewable energy sources, they forgo the
opportunity to spend that money elsewhere. This is a challenge for Qurrent, as its green energy
prices are higher than other sources on the market. With that being said, the marketing strategy
should not focus on monetary measures, but rather emphasize the benefits of green energy
investments and becoming a part of social change. It’s more likely to be effective in convincing
new customers to use green energy sources when appealing through the intangible, non-pecuniary
benefits delivered. Qurrent’s practice of selling energy “at cost” reflects their passion to convert
consumers to green energy regardless of personal profit.
Qurrent is in an optimal position due to consumers supporting an increasing number of
businesses that aim to reduce environmental harm over the past few years (Dean & McMullen,
2007). Even though energy provision is traditionally a low-involvement product, this perception
can be altered through implementing correct marketing strategies and leveraging imperfectly
distributed information inherent to energy usage (Cohen & Winn, 2007). Dean & McMullen argue
that if a customer possesses imperfect information regarding a product or service, they are
unable to recognize all the positive social and environmentally desirable behaviors (2007).
Simply, current gray users need to be presented a comprehensive explanation of the effects of
energy use to thereby encourage the switch to alternate less harmful sources.
Community-based social marketing (CBSM) could be used as supporting framework. It
highlights the barriers faced when seeking to convince individuals to change their energy
consumption habits (Aronoff, Champion, Lauer & Pahwa, 2013). Lack of motivation, forgetfulness,
lack of social pressure, lack of knowledge, and structural barriers are addressed throughout our
30 November 2016 CLEA(N) SOLUTIONS Page 8
suggestions. A marketing strategy that aims to combat these, along with the issue of imperfect
consumer information, is required to change Qurrent’s existing circumstances. In addition to this,
we have devised demographic specific marketing campaign actions to target various brackets of
consumers.
Young Generation – Age 20 – 30
It would be advantageous to engage in activities whereby the information asymmetry is
experienced in order to properly combat it. We recommend that a Qurrent representative
routinely visits university campuses around the Netherlands in order to disseminate information
about Qurrent’s impact on the renewable energy space. This act will raise awareness with and
properly educate younger gray users in a relatively cheap way.
In addition to this, social media could be used more extensively to reach this
demographic. Further publishing of green energy’s positive gains, contrasted with gray energy
negatives remaining with fossil fuels can continue education. Qurrent already has a presence on
YouTube and Twitter, but a more diligent management of the YouTube account in particular
could be a creative mean through which to inform consumers about both relevant environmental
issues and Qurrent’s services. An active online presence is crucial in reaching the younger
generation today, and creative content that inspires individuals to change their behavior would
have direct impacts on followers. This impact wouldn’t stop at followers online, as the beauty of
social media enables effortless sharing capabilities on many platforms. Providing an avenue for
convenient communication of such information is of particular importance for this demographic
and should catalyze dissolution of information asymmetry (Aronoff, Champion, Lauer & Pahwa,
2013).
Well-known social pressures could also be exploited to persuade this younger generation
to adopt renewable energy sources. Research to find a prominent opinion leader in the online
community should be conducted (Solomon, 2015, p529). After this, offering a small sponsorship
reward or initial discounts on Qurrent services in exchange for regular public advocating of the
business would lock in celebrated representatives. The online social capital that some of these
individuals wield could be a tool with which to convince their followers to take action. Branching
out of the confined company circle with this is well worth exploring (Solomon, 2015, p501).
Getting people to feel the need for immediate action is the biggest hurdle for a marketing
strategy. A primary tactic to spur movement is tapping into this ‘legacy’ phenomenon that
previous Qurrent users quoted as being a primary driving force for adopting greener energy
(Mattijs Winter, personal communication, 3 November 2016). Qurrent should use their existing
Twitter account to get specific hash tags trending such as #graytogreen/#grijsnaargroen and
30 November 2016 CLEA(N) SOLUTIONS Page 9
#myenergylegacy/#mijnenergieefgenis. With minima but key hash tags, Qurrent and its customers
keep a narrow dedicated vision driving their focus.
In addition to the existing friend discount of €50 that current Qurrent users get when a
friend switches, the new Qurrent user should also be rewarded. Beginning a small welcome
package for all new users that publicize their transition through social media and the hash tags,
can stimulate even more green energy excitement. Receiving a small gift, with sample objects
shown in the Appendix, new users will feel a part of a green energy family and movement. These
gifts won’t and shouldn’t be a huge cost to Qurrent, but the small action gives a warm feeling
while also staying away from solely monetary motivation of the existing invite a friend initiative.
Additionally, the media sharing and Qurrent gear provides avenues of showcasing an individual’s
positive deed to the public in both social and environmental areas. The advertisement also fulfills
any personal need for conscientious recognition as Qurrent’s name and services circulate more
(Solomon, 2015).
Middle Generation – Age 30 – 60
Targeting middle-age users with larger disposable incomes should be done through regular
community events. Given the Netherland’s cultural fixation on bicycling, an event could be a
cycling tour/race day organized and powered by Qurrent. This event would occur annually for
local cycling teams or groups of individuals wanting to compete in a one-day race held in
whichever region of the Netherlands seems to draw the most interest. A small registration fee
would be requested to cover costs, but Qurrent users would participate free of charge.
Collaboration with a well-known musician or band to provide entertainment at the end of the
race would be an excellent opportunity for Qurrent to demonstrate and advertise their services
by literally powering the event. This would also attract more attendance, particularly for non-
Qurrent users, and generate positive press around both the event and the company. It perhaps
would be helpful to seek out local government officials who have a pro-renewable energy
political stance to partially fund this event together with coordinating possible road closures.
Qurrent’s online presence could also be used to reach and engage potential participants.
To generate interest in the event, a competition to find the showcased musician’s ‘biggest fan’
should be conducted and advertised through the online channels previously mentioned. Qurrent
can use this phrasing to join the competition with their renewable windmills that generate such
masses of energy for their customers. Example marketing material for the event is included in the
Appendix. The taglines ‘Are you a fan of planet Earth?’ and ‘Celebrate our past. Protect our
future,’ along with Qurrent’s logo and the company hash tags on the posters will direct audiences
to investigate the event plus Qurrent, raising awareness and gaining a stronger following.
30 November 2016 CLEA(N) SOLUTIONS Page 10
Any event that Qurrent sponsors or holds should be captured through both film footage
and photography as this could come in handy for future marketing endeavors. Up to date and
regular content from such hosting would amplify all existing social media interaction means that
already exist, especially YouTube.
Older Generation – Age 60+
In order to reach older gray users, this ‘legacy’ phenomenon should be primed through
alternative means. One of the main issues of capturing the mature market is that older users may
feel some futility in making the switch to green energy at such a late stage in their lives. Our
answer to this is to commence a program in which children and grandchildren can inherit
windmills, part of a windmill, or solar panels that their relatives have previously bought. This will
be a unique tradition that establishes a legacy known for positive social and environmental
impact.
Organizations
It would also be advantageous to explore the logistics of possibly gifting sections (or
entire) windmills and solar panels. This would work along the same lines as the charity gifts that
organizations such as UNICEF and World Vision frequently advertise. Individuals or companies
would have the opportunity to share and spread Qurrent’s green energy with others and make a
grand statement of investment.
All Together
For the consumers that already converted to green energy, it’s important not to forget
how difficult it was to initially gain their support; therefore, it’s crucial to not ignore them as
they could certainly fade in support. Reinforcing not only the positive environmental benefits,
but also the money and power that current users are saving could be achieved through Qurrent’s
current application. Push notifications and daily reminders of the positive externalities that are
generated from green energy is one way to reassure current users. Continuous reminders, not too
overwhelming but frequent enough, will assure users that their decision still holds significant
impact. From a financial and usage perspective, these notifications can give live updates on a
personal level as well as a company level to keep consumers continuously informed of progress.
Qurrent already tracks some metrics through their website and individual Qboxes, but a reminder
immediately on one’s cell phone requires no effort from customers. To be more creative and
interactive, the application can also create calendar events to house upcoming recommended
Qurrent social gatherings, anniversaries, birthdays, and other green and sustainable innovative
events occurring throughout the Netherlands. The application could also be enhanced with a goal
setting feature that would allow customers to personalize their usage and set notifications when
they get close to reaching their desired maximum consumption.
30 November 2016 CLEA(N) SOLUTIONS Page 11
All the suggestions put forward will be fruitless in application if there are significant
structural barriers preventing individuals from converting to green energy sources. It would be
useful for Qurrent to research more extensively the key factors preventing users from making the
switch. This can be done through consumer/user surveys, interviewing adamant gray users,
investigating competition, and even discussing possible obstructions the government might see.
Compiling all of this data could then influence and better future marketing initiatives.
Measuring Our Impact Growth
Tracking social impact is a very difficult task that all social entrepreneurs face. There are
various methodologies in which groups decide to take, but each of them has their own advantages
and disadvantages depending on specific circumstances. With Qurrent’s triple bottom line
business model, significant evaluation of each method needs to be done.
Social Return on Investment (SROI)
As an expected return model, SROI, “a process of understanding, measuring and reporting
on the social, environmental and economic value created by an organization,” is the most popular
measurement tool used in social ventures, but has some downsides in relation to Qurrent (“What
is Social,” n.d.). It’s necessary to mention that the company has only one specific stockholder,
the DOEN Foundation, with remaining support coming from customers’ monthly subscriptions. As
a result, the legitimization benefit is rendered less effective for two reasons. To begin, there is
no need to secure existing funds as DOEN intends to be the sole investor for the long run. As a
funder of social ventures, they don’t require as financially intensive or frequent measurements as
for-profit investors to evaluate Qurrent performance. Additionally, since Qurrent doesn’t appear
to be seeking new investors, legitimization through the efficient and effective resource allocation
evaluation wouldn’t be mandatory. There’s no pressing need to showcase operational status when
having such a committed relationship with their trusting stockholder. At the same time,
customers probably appreciate the greenest energy award more than any financial ratio since
they joined the company with hopes for environmental impact. All this being said, using SROI to
improve external accountability would not be efficient.
To pool on the other strong benefit of SROI, it seems that Qurrent’s model still doesn’t
significantly align. Organizational learning is undoubtedly beneficial, but SROI analysis solely
taken for this aspect would be too costly (Maier, Schober, Simsa, & Millner, 2015). Finally, an
inherent characteristic of the ratio is the use of discount rate for future revenues; this translates
into placing more importance on the present rather than the future. However, it would appear
that Qurrent’s mission consists of ensuring the sustainability of the planet for future generations,
contradicting the discount rate’s underlying idea (Mulgan, 2010).
30 November 2016 CLEA(N) SOLUTIONS Page 12
Logic Chain Model
The Logic Chain Model lays out the inputs and activities of a company that lead to a series
of outputs, outcomes, and in the end, to certain social impacts (Ebrahim & Rangan, 2010). To
relate this with Qurrent, inputs encompass the funds from the DOEN Foundation, the internal
financing coming from the monthly subscriptions of the customers, the wind farm, and the
knowledge/technical expertise. The next stage, activities, includes the supply of green energy at
the cost price, the smart energy contract, the choice of collective buying, and of products to help
generate a costumer’s power, wind credits, and measurement of consumption on the Qbox. As a
result there are outputs, which could be represented by the reduction of CO2 emissions. This
output should lead to medium and long-term outcomes. These outcomes consist of attaining
independence from fossil fuel energy by turning green energy into an easily obtainable dominate
source, and making people aware of consumption rates to decrease superfluous usage. Finally,
Qurrent’s sustained significant change would be contesting global warning.
The impact stage measure has already been discarded as beneficial to Qurrent since it
interrelates to the SROI just discussed. Furthermore, the outcome approach can be dropped as
well. Looking at the market size of Qurrent, environmental impact cannot be easily predicted.
They do not enjoy a monopolistic situation; therefore, their effect should be isolated from other
competitors. The outcome approach also looks at a medium to long-term time span, but with
starting activity only two years ago Qurrent is unable to properly assess. Given these
explanations, output seems to be the appropriate approach for social evaluation. In other words,
looking at the CO2 emissions saved by consuming Qurrent’s green energy is valuable.
The Output Approach
Although Qurrent already measures output on their website, it would be advisable to
complete this information with a comparison against green energy and fossil fuel energy
companies. This purpose develops two measurement to commendably follow.
The first sizing is a ratio that would study the relationship between Carbon emitted per
watt and cost per watt of various energy sources. Showing the differences of Carbon emissions
across numerous energy alternatives, enables consumers to easily compare both gray and green
energy companies. The higher the ratio, the more that harmful energy resource is to the
environment. For example, in spite of the fact that oil is cheap, it emits a great amount of
Carbon compared to windmills and would then generate a higher ratio. This ratio also prevents
consumers from focusing solely on price comparisons, and holds it on impact options.
The second measurement would focus on the impact of green energy companies. Qurrent
would gather all the data concerning the amount of funds invested in such companies (both
Qurrent and its immediate competitors), and then evaluate the CO2 emissions saved per
30 November 2016 CLEA(N) SOLUTIONS Page 13
consumer in each company. This would link both a customer alliance with Qurrent over
competition and environmental CO2 emissions savings. This ratio consisting of how much CO2
emissions are saved per company customer may appear to be investor-focused, but it serves
consumers well. Consumers are also stockholders of the company, so offering them information
on how much they are contributing to the carbon emissions savings, and in comparison to
competition, they become reassured on their monthly subscriptions for social utility. Broadcasting
this information could also attract new consumers that see individual impact and/or competing
consumers to switch from other green energy companies.
Conclusion
In order to convince society to adopt renewables at a faster pace, there are many areas to
address. It’s crucial that individuals are given all of the relevant information regarding both the
negatives of gray energy and the benefits of green energy. In order to make sure of this, a
significant focus on education and varied analysis is crucial. This education should occur at
various levels, impacting each market segment based on age and lifestyles. With tailored
marketing initiatives specifically for these demographics, Qurrent can increase their effectiveness
to overcome barriers and gain more support. For optimal success, multiple approaches should be
taken, concentrating and capitalizing on the differing motivations and personalities. Individuals
will vary in terms of responsiveness to numerical statistics, emotional appeals, and social trends.
Creatively intertwining these will allow for marketing efforts to spark a variety of passionate
consumer themes (such as #myenergylegacy or #graytogreen) throughout the Netherlands.
Despite these optimistic marketing plans, there are still limitations. Funding may be
missing in order to amply pursue such ideas and hence prohibits the efforts to fully synergize
together. Other structural barriers such as convenience, forgetfulness, and empathy will also
remain as deterrents for some people moving towards green energy. We face a significant issue
when it comes to global warming and research shows that the simple switch to green energy
diminishes environmental destruction, but more social barriers need to be broken in order for
Qurrent and others of its kind to really rise as industry leaders setting the norm of society.
30 November 2016 CLEA(N) SOLUTIONS Page 14
Appendix
Figure 1:
Figures 2:
Stickers, Decals,
Tote Bags
Figures 3:
30 November 2016 CLEA(N) SOLUTIONS Page 15
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