J.D. Power: Utility Brand Appeal Declines as Customer Bills Rise

Rising utility bills and declining brand perceptions are impacting U.S. electric and gas companies, with brand appeal dropping due to weaker reputation, environmental efforts, and innovation focus, despite high trust in service reliability.
Sept. 3, 2025
2 min read

Rising utility bills are weighing on customer perceptions of U.S. electric and gas companies, according to two new J.D. Power studies released today.

The average monthly residential electric bill has climbed to $190, up 6% from 2024. Against that backdrop, the 2025 U.S. Electric Utility Brand Appeal Index Study found overall brand appeal scores slipping.

Electric utility brand appeal declined one point to 694 on a 1,000-point scale. Declines were concentrated in areas such as company reputation, customer focus, community involvement, environmental stewardship, and innovation leadership.

“Overall utility brand appeal is down this year, driven largely by declines in reputation attributes,” said Chris Oberle, managing director of utilities intelligence at J.D. Power. “While customers trust their electric and gas utilities to deliver reliable service, they do not feel like their utilities are going the extra mile to help them by keeping costs down, delivering personalized communications, demonstrating commitment to the environment or focusing on innovation.”

The studies highlight the gap between customer trust and broader brand perceptions. Trust scores were the highest factors measured—724 for electric utilities—indicating confidence in reliable service. But reliable delivery alone was not enough to elevate overall brand impressions, the report found.

J.D. Power also noted that brand appeal plays a role in shaping customer behaviors. Utilities with stronger brand appeal enjoy higher customer satisfaction, loyalty, and support for rate increases. Customers with positive brand perceptions reported satisfaction levels averaging 399 points higher than those with negative views.

Communication emerged as another weak spot. Paid advertising, digital outreach, bill inserts, and news media messaging showed lower engagement and recall in 2025, contributing to declining communication scores across both industries.

Regional Rankings

The studies identified the top-performing utilities in brand appeal:

  • Electric Utilities

    • East: PSE&G (737)

    • Midwest: MidAmerican Energy (732)

    • South: EPB (747)

    • West: SRP (757)

    • Cooperatives: Delaware Electric Cooperative (763)

The 2025 research is based on responses from 155,079 residential utility customers, collected between July 2024 and May 2025.

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