I’ve been waiting… and waiting… and waiting…for Bulb to reduce their prices in line with the falling wholesale cost of energy over a period of many months. But there has been a deafening silence from them.
Over the past several weeks they have been very difficult to contact by any of the usual channels, and their presence on these forums is virtually zero.
Quite simply, they seem to have fallen into the same old trap of trying to “grow” the size of their business too fast at the expense of being unable to deal with their existing customer base at even the most basic level.
I completely fail to understand why (given their massive increase in customer numbers which they are clearly unable to cope with), they continue to offer £50 referral fees to try and increase their growth still further.
These referral fees are a massive cost to them (typically £100 in total for each new customer) and take a long, long time for them to recoup.
It is surely the cost of these referrals which greatly contribute to Bulb’s inability or unwillingness to drop their prices in line with wholesale costs, and Bulb’s tariff is becoming less and less competitive as other energy companies, including several of the Big 6, are cutting their prices in line with wholesale cost reductions.
It wouldn’t surprise me if, having increased their customer base to the maximum, Bulb then become the subject of a takeover bid. This is the only thing that makes sense to me given that their business model seems to prioritise growth over profitability (£100 acquisition costs for new customers makes absolutely no sense given that they can’t adequately service their existing customers).
Anyway, I’m now jumping ship (to green.energy). … and saving £150 per year in the process.
Bye, bye Bulb… it’s really quite a shame… you were doing so well in the earlier years.
P.S. I could also save £146 with Scottish Power, £146 with British Gas, £142 with Eon, and £134 with EDF. That’s how uncompetitive Bulb are at the moment!