Stream Energy knows that it doesn’t necessarily produce a Veblen service or good. A Veblen service or good is one that increases in demand as the price increases. No one wants to pay sky high prices for their electricity use, this would not be good in any residential unit or commercial unit.
While Veblen goods and services are interesting concepts, Stream Energy must focus on other aspects of the picture. Stream energy must focus on service, on distribution and also on price as well.
Unlike a bottle of wine, where one might see an increase in demand if the price increases and a decrease in demand if the price decreases, Stream Energy must provide their service in an efficient manner overall. If they don’t they lost their competitive advantage.
Stream energy realizes this. The Stream company knows what makes it valuable, how they are able to reach people and exactly why they matter.
Stream will aim to generate high returns on capital by doing what they do best, serving their people. While stream may not be able to command pricing levels that a brand like Apple or Ferrari might be able to charge, Stream will be able to have the correct distribution strategy to increase their customer base and their revenues.
Stream sees growth by investing in people and by investing in their communities. Every person is a potential customer for Stream, all they have to do is show their value proposition and why they are different from others within the marketplace.
We are excited to share that Stream and @nrgenergy have signed an agreement for NRG’s purchase of Stream’s retail energy business, allowing us to focus on who we are: a world-class network marketing company that helps people change lives. https://t.co/E6DJ1wgGlA pic.twitter.com/H1AMoAKcXW
— Stream Energy (@MyStreamSocial) May 20, 2019
The company through Stream Cares and other initiatives will play a large part in helping communities recover from natural disasters such as Hurricane Harvey. Stream was there to help when Hurricane Harvey rolled through and devastated Houston. Stream didn’t hesitate, it stepped in and used their profits to do good in their communities.
Stream didn’t sit idly by, they acted and they made a difference. One can expect more from stream over the coming years. The company is leading the way and showing other companies how to be generous in more ways than one. Stream is bound to see more success as they grow and expand with each day.