Amerada Hess launches Woolwich tie-in ahead of sell-off by US parent

Utility company Amerada Hess has teamed up with Woolwich to sell gas and electricity to the bank’s customers from next month. The joint venture, called Woolwich-Amerada Gas and Electricity, has puzzled the industry, which has been waiting for the sale of the utility company since last year.

Amerada Hess US-based parent company, Amerada Hess Corporation, decided to sell its UK gas and electricity business in order to concentrate on its core exploration and production interests. Amerada Hess has only 400,000 gas and electricity customers.

The tie-in with Woolwich is seen by industry insiders as a final, desperate bid to acquire more customers and make Amerada more attractive to potential bidders.

The Woolwich-Amerada venture will be trial-marketed to a “section of Woolwich customers”. No plans are in place to market or advertise the alliance generally.

Amerada Hess head of marketing Jenny Brownlee says: “Though the company has been put up for sale by the parent company, it is business as usual in the UK. The partnership with Woolwich will be test-marketed to begin with, and will give Woolwich an opportunity to offer added-value services to its customers.”

Last year, rival utility company Scottish Power announced a similar partnership with Sainsbury’s, called Sainsbury’s Energy (MW October 25, 2001). The deal involves Scottish Power supplying gas and electricity, while the supermarket giant provides customer services, including billing.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here