Water heater rental battle on social media
Last Updated: Monday, September 20, 2010 | 12:46 PM ET
By Terry Reith, CBC News
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A campaign imploring consumers to ignore door-to-door salespeople is part of a social media campaign set up by a water heater rental company to challenge their competitors.
The "Ignore the Door" campaign was launched last month by Consumers' Waterheater Income Fund and features YouTube videos, a Facebook page and a website.
Consumers' Waterheater Income Fund is distributing door and window signs through its website ignorethedoor.ca. (Consumers' Waterheater Income Fund)Without mentioning the competition by name, the campaign takes direct aim at National Home Services, which is using a door-to-door sales approach to build its share of the lucrative hot water tank rental business.
The three You Tube videos take a humorous look at the havoc that ensues when people are interrupted by a salesman coming to their door trying to sell a hot water heater rental contract.
The Facebook page calls on consumers to share their stories about intrusive sales people coming to their doors.
"What's interesting about this approach is that there is this sort of larger issue that they were able to hitch their wagons to," said Leona Hobbs of Social Media Group, an organization that helps businesses use social media to relay their message. "Of course, that larger issue directly impacts their business and their bottom line." Social Media Group was not involved in the Ignore the Door campaign.
'In Ontario there is quite a battle going on...'—Josh Orzech, Direct Energy
The company behind it, Consumers' Waterheater Income Fund, was established when Direct Energy bought out the water heater rental business from energy company Enbridge.
Direct Energy has been running its own, more traditional campaign using radio, print advertising and a website.
"In Ontario there is quite a battle going on and a lot of misinformation being spread about water heaters," Direct Energy spokesman Josh Orzech told CBC News.
Some consumers feeling misled
That cutthroat competition in Ontario has led to 1,246 complaints and inquiries to Ontario's Ministry of Consumer Services this year alone.
The tactics of door-to-door agents selling hot water tank rentals has led to 1,246 inquiries and complaints to Ontario's Ministry of Consumer Affairs. (iStock)"From the surveys and things that we have done we know that people are confused at the door and are buying things that they don't necessarily want, need or are just simply confused," Barry Zeidenberg, who developed the "Ignore the Door" campaign, told CBC News.
Bob Milne of Ottawa is among the consumers who feel they were burned by door-to-door hot water heater sales people.
"This is what they said: 'We're from the energy company, and we have to look at the water heater.' They said something like upgrading it, or something like that," Milne told CBC News last month.
He said the people at the door only told him they were from National Home Services after they were pressed.
Competition over the hot water tank rental business has led to an innovative social media campaign. (iStock)Zeidenberg, the director of marketing for Consumers' Waterheater Income Fund, told CBC News that tapping into consumers' first-hand stories is an effective way of getting his company's message out.
"We've taken the view that we've designed this campaign to start conversations, so I guess that's a little different. The traditional marketing campaign is where a message is sent out and that's the normal message that you get."
Hobbs calls it an innovative and interesting marketing campaign.
"What they have here is a shared experience, so everyone who's been interrupted from their life by a door-to-door salesperson, and in doing something that is so familiar and resonant with people they have a really interesting foundation for starting a conversation in social media about that."
National Home Services did not respond to interview requests from CBC News.
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