Meeting Digital Expectations: Reframing smart technology around our customers

The digital transformation of the UK water sector is well underway, but to meet the rising expectations of regulators and customers alike, water companies must ensure technology isn’t just solving operational problems, but visibly improving customer experience. 

Tactics to Align Smart Technology with Customer Needs

1. Deliver Proactive, Real-Time Service Updates

AI-enabled leak detection and IoT sensors can significantly reduce water loss, but their value is maximised when the customer is kept informed. Water companies should create automated alert systems that notify customers of leaks, service outages, or abnormalities affecting their property. These updates can be delivered through apps, SMS, or email, and should include estimated resolution times and progress updates.

2. Build Intuitive, Self-Service Digital Platforms

Customer-facing digital portals must offer far more than bill payments. A robust customer hub should allow users to:

• View real-time water usage via smart meters

• Access tailored conservation advice

• Track reported issues and resolution timelines

• Manage account queries through live chat
  or AI chatbots

These features create a sense of control, reduce complaints, and position the company as digitally progressive.

3. Personalise the Customer Experience Through Data

AI and machine learning can analyse usage trends to create personalised communications, from seasonal usage tips to alerts for unusual consumption. Water companies can segment customers by behaviours, region, or demographics to tailor campaigns, such as water-saving advice during drought periods or push notifications on local environmental initiatives.

4. Introduce Smart Tariffs and Usage Incentives

Dynamic pricing and smart tariffs, based on time of use or consumption thresholds, can incentivise behaviour change while offering customers more control over their bills. These should be integrated into customer portals with visual dashboards to show savings potential. Linking these tools to gamified features (e.g., usage badges, community leaderboards) can drive engagement and promote sustainable habits.

5. Use Digital Twins and Visualisations to Communicate Value
Digital twins provide real-time virtual representations of the network, but their power extends beyond internal use. By converting complex infrastructure data into customer-friendly dashboards or infographics, companies can showcase how predictive modelling helps prevent flooding, reduce emissions, or improve local resilience. This reinforces the connection between operational investment and community benefit. Smart Technology in Action: Customer-Focused Applications

Leak Alerts: Households receive instant alerts and location data when abnormal usage is detected, reducing waste and increasing trust in company responsiveness.

Usage Tracking: Interactive dashboards allow users to compare current and historical consumption and set usage targets aligned with sustainability goals.

AI-Driven FAQs and Chat Support: Reduces waiting times, provides instant answers, and improves satisfaction while freeing up human advisors for complex cases.

Flood Risk Alerts: Based on localised modelling, customers receive personalised notifications about potential risks and actions they can take.

Creating a Culture of Visible Innovation

To fulfil digitally enabled expectations, water companies must also communicate the value of innovation. AMP8 requires not just technological competence, but public confidence in it. Campaigns that show how data is used to prevent service interruptions or reduce environmental impact will help justify investment and
improve perception.

This visibility can be achieved through:

• Customer newsletters highlighting tech
  success stories

• Online trackers showing real-time
  performance improvements

• Interactive educational tools for
  schools and communities

Bridging the Implementation Gap

Many companies face challenges in integrating smart tech with legacy systems. A phased, customer-first approach is essential, prioritising the rollout of digital features that provide direct value to users. Internal training, cross-departmental collaboration, and strong vendor partnerships will be key to accelerating impact while maintaining continuity.

Future-Ready and Customer-Led

Smart technologies like IoT, AI, and digital twins offer unprecedented potential to future-proof the UK water sector. But their success will ultimately be judged by the customer. Water companies that place digital tools in the hands of users, personalise every touchpoint, and maintain transparent, proactive communication will lead the way, not just in operational efficiency, but in public trust, customer satisfaction, and regulatory performance under AMP8.