The customers
Claudia spoke with customers from across the country…
- Lesley and Keith Davenport live in a rural location in the Surrey Hills between Dorking and Guildford. Their home is a detached Victorian lodge, built in 1870 and is Grade II listed.
- Liz Jeffries lives in a detached bungalow in Marazion, a small coastal town in Cornwall. The property is over 200 hundred years old.
- Alice and Jamie Westbrook, and their two primary school aged children, live in an end of terrace cottage in the village of Chiddingfold on the Surrey/West Sussex border. The house was built in the 1800s.
Claudia asked each customer how they felt initially about moving into a property that required kerosene for home heating. Were they confident in what the process involved?
Lesley responded: “We moved into this property in 1991. At that time, it had a solid fuel (coal) boiler. We found this very difficult and not at all easy to use – particularly as we had moved from a modern house with gas central heating.
“Within a year, we had replaced the coal fired boiler with an oil boiler which was cleaner and much more user friendly. We had no experience of oil boilers but had limited choice as there was and still is, no mains gas available for us to connect to.
“Once we were used to our oil central heating, we found it straightforward to use. Obviously, unlike gas, one needs to be aware of how much oil is in the storage tank and when it requires topping up.
“In 2022, we replaced the old oil boiler with a new Grant oil boiler which is more efficient. We also replaced the oil tank which is in the garden. This one has a simple display gauge showing the amount of oil we have. We try not to let the tank get below quarter full and have never run out.”
Liz was positive about her experience of moving to oil: “When I first moved into the property in Marazion, there was a simple storage heater. Then, sixteen years ago, I had oil installed and found it to be a straightforward and easy process. I must say that it has made a great difference.”
Alice added: “It was definitely a negative factor for us. I didn’t know how you went about buying oil and who from and I was concerned about the cost of filling a tank in one go.”
Choosing a supplier
We were keen to know the main factors customers consider when choosing a supplier for their home oil. Perhaps unsurprisingly, cost, remains a key factor for most.
Alice summed up the views felt by many customers: “The main factor we consider is the cost and how quickly they can deliver.”
Liz agreed: “For me, the cost is the deciding factor when choosing a supplier.”
“Cost is also our main concern,” reflected Keith, “as oil prices fluctuate depending upon world supply and demand. We have found that fuel clubs tend to be cheaper, and they use local delivery companies.
“When we need a top up, we will contact three or four different companies to find the most competitive price. It is difficult to find independent companies nowadays as many of the smaller, once family-run suppliers, are now owned by larger conglomerates, but we have never had a problem with supply or delivery regardless of the size of the oil supplier.
“We have always found customer service good and efficient.”
The reputability of a supplier
When asked whether the reputability of their supplier mattered, and whether they look at customer service reviews; the customers we spoke with gave a mixed response.
“I would be interested and would want my supplier to have a good reputation, but I wouldn’t know where to find this information,” Alice admitted.
Keith did some homework on suppliers in their early days on oil: “We investigated the reputability of companies when we first began using oil,” he shared. “But haven’t done so much recently. As we are now long term and experienced customers of purchasing oil, we feel we are content with the suppliers we use.”
Liz shared how she uses and trusts BoilerJuice for sourcing her oil: “I most often use BoilerJuice to find oil. I do find that they are well established and trustworthy for the process of purchasing my oil.”
The ordering process
We asked how the customers knew how much heating oil to purchase, and how often they found themselves purchasing.
Lesley replied: “We don’t really know how much heating oil we need. Our new storage tank holds 1400 litres. We rely on checking the gauge. We tend to top up with 500 -700 litres each time which is approximately four times a year. As a customer, we do find the buying process very straightforward.”
Alice added: “We use approximately two full tanks a year of oil, which is sourced via BoilerJuice. They make it easy to compare costs and delivery times. We also have a direct debit set up with them to spread the cost.”
“I purchase oil three times a year, depending on weather conditions and how cold a winter it is,” reflected Liz. “It’s often very damp and wet in Cornwall so you do really need the heat to dry it out. I heat the house continually through winter to make sure I keep the damp away. To order, I always look online first to get an idea of the prices on offer and then I ring on the phone to place the actual order.”
The purchasing decision
With Liz purchasing through an online marketplace, Claudia was keen to discover why she chooses this route, and whether the others also used fuel marketplace websites or buying groups when purchasing fuel for their homes.
Liz explained: “I use BoilerJuice regularly. They often send out emails with pricing updates which are very useful and give me a good idea about the current price of oil.”
“We have used a buying group once,” Alice shared. “The challenge with buying groups is that you don’t get a final price until everyone has ordered. We also find this ordering process a bit slower than if we ordered independently.”
Lesley said: “We do not use fuel marketplace websites. We use a buying group and deal with the same three or four companies. We find that our buying process is straightforward.”
How do suppliers determine pricing?
The customers we spoke with had some interest in learning more about the pricing fluctuations of oil and how suppliers determine their pricing:
- Alice: “I don’t know much about this, but it would certainly interest me. All I know is that during the Covid lockdown we stocked up on oil as it was so cheap!
- Lesley: “We know that oil dealers base their pricing on the global market. However, there can be local variations. This does interest us.”
- Liz: “I used to do a monthly pricing plan with BoilerJuice, but I have stopped this. I would rather have flexibility to check pricing. If you commit it to a monthly plan, then it seems to end up more expensive. I would be interested to learn how these companies set their pricing.”
An urgent requirement
We asked the customers if they felt confident that their supplier could support them if they had run out of oil and needed an urgent supply.
Attempting to solve the problem themselves, Alice shared her dramatic experience: “We have run out before when our sensor stopped working. It was a pain as we were in the depth of winter and were desperate for oil.
“I found out via social media that a petrol station near to us sold kerosene and so I bought containers and filled them up.
“It was an awful experience because it made our car smell for days, although the worse part was that the containers were so heavy to lift into the tank, that I spilt the oil all over myself! The car smell was light relief after that!”
Looking to the industry for help, Liz had a more positive experience: “I feel that the industry is always very helpful when you are close to running out of oil. They will always deliver to you as quickly as they can if they know it is an emergency.”
Lesley added: “We’ve never actually had an emergency thankfully. We’ve never run low on fuel or run out. We assume that we’d have to pay extra for a quick/emergency delivery.”
Automated ordering
The customers offered mixed responses when Claudia asked whether they are using, or have considered using, an automated ordering system with a tank level monitor:
- Liz: “No – it’s been offered to me but I’ve never used one. I would rather have more control over my finances and when to order myself.”
- Keith: “We have considered using an automated ordering system. However, we decided against this as the customer is required to pay an admin fee, and you are generally unable to choose your supplier. Our own monitoring using the gauge works well for us.”
- Alice: “We don’t have one but it is certainly something that we would consider.”
Service and Maintenance
Care and maintenance of a fuel tank is important, as is ensuring that the tank is accessible for the driver. We asked the customers for their thoughts on service and maintenance.
“Our fuel tank is fairly new and is a modern tank with a double skin,” responded Lesley. “It is checked annually by the engineer when the boiler is serviced, the tanker driver will always check the tank and my husband, Keith, also makes sure it is all in good working order.
“The tank is easy for the driver to reach. He can park on our drive reasonably close to the tank.”
Alice said: “Our tank is in our garden, behind our locked side gate, which recently proved an issue! We ordered through BoilerJuice and as we didn’t know who was delivering the oil and they didn’t notify us of the exact delivery date, meant the driver couldn’t deliver as I hadn’t unlocked the gate. Oops!”
Liz added: “I don’t do much to maintain the tank, but the drivers always do a good job of checking it over. A standard tanker can get down the lane to the bungalow to put in the oil.”
Low carbon heating solutions
Wanting to discover whether the customers have considered acquiring a heat pump or other low carbon heating solution, Claudia asked them for their thoughts:
Alice: “I am interested in a heat pump as a home heating option, but I haven’t investigated it and I imagine that the cost would be prohibitive. I’ve never heard of HVO!”
Lesley: “When we are no longer able to buy a new gas or oil boiler, what is an affordable, viable alternative? At the moment, it certainly isn’t a heat pump which we seriously considered and explored when we decided to replace our old oil boiler.
“Our house wasn’t suitable and would have required major alteration and the running costs of a ground source heat pump were unaffordable.
“Solar panels are not a viable consideration for us at our time of life either. Our property is Grade II listed so would require planning permission. As we will probably downsize in the not-too-distant future, we would not want the expense or disruption as there would be little benefit to us.
“My husband, Keith, has heard of HVO but I had not. We would not consider it for our home heating. Keith researched HVO several years ago. The cost was and still is more than twice the price of domestic oil and we have concerns over its production.”
Liz also has questions around HVO: “I haven’t heard of HVO before so I’m not sure about using it for home heating. I would like to know more information about it though – is it cheaper or more expensive? What are the differences? Where is it sourced from?
“I have friends that have had heat pumps installed and have not been impressed by them! I’m not sure that heat pumps are the best solution for home heating.”
The energy transition
We asked the customers how they felt about the government plans for net zero and the energy transition.
Alice shared her thoughts: “We feel that the current government plans for net zero and the energy transition are a non-starter.
“There is no way we could afford to replace our oil heating system with an eco-friendly option, and if the government subsidies are anything like they were for the electric car scheme, it would still be unaffordable for the average person living in the UK.”
Liz reflected: “The energy transition is a very difficult challenge for the government. I don’t think enough support is being offered to people so they can make a positive change.”
Lesley added: “We are in favour of net zero but not at ‘any price’. It’s not going to happen unless major oil and gas users globally commit to working towards net zero.
“The UK alone will not make a significant impact. As things are at the moment, electricity in this country is far too expensive. UK consumers pay one of the highest prices in the world. We are still importing gas and oil from abroad but at the same time shutting down some of our own supplies without an affordable, domestic alternative. The current plans for transition to net zero are not viable.”
Thank you to the industry
In our discussions with the customers, it was clear how appreciative they are of those in the downstream industry due to their many positive engagements with suppliers:
- Liz: “I would like to say a big thank you to two businesses – Mitchell & Webber and BoilerJuice. They both have lovely staff who always go above and beyond and have been great to deal with. Last year, I ordered too much oil, and it wouldn’t fit in the tank so BoilerJuice refunded the difference. That was really kind of them.”
- Lesley: “We use the same three or four companies as they are reliable and trustworthy. We also appreciate the drivers that come out to our home.”
- Alice: “I don’t have much direct contact with people as I order our oil online and leave the gate open for the drivers, but we do appreciate those in the industry and good customer service!”
It is clear that understanding customer preferences and demands will be core to the industry as it moves forward through the energy transition.
Fuel Oil News will continue to regularly engage with the industry’s customers and will be sharing the views of agricultural and commercial customers alongside our domestic customer series. If you have any customers, across these sectors, that you would like us to speak with so they can share their thoughts and ideas, then please do let us know or put them in touch with us: claudia@andpublishing.co.uk
Image credit: Leslie and Keith Davenport
