Customer Segmentation Based on the Electricity Demand Signature: The Andalusian Case

A smart meter enables electric utilities to get detailed insights into their customer needs, allowing them to offer tailored products and services, and to succeed in an increasingly competitive market. While in an ideal world companies would treat every customer as an individual, in practice this is rather difficult. For this reason, companies usually have to target smaller groups of customers that are similar. There are several ways of tackling this matter and finding the right approach is a key to success. Therefore, in this study we introduce the electricity demand signature, a novel approach to characterize and cluster electricity customers based on their demand habits. We test our proposal using the electricity demand of 64 buildings in Andalusia, Spain, and compare our results to the state-of-the-art. The results show that our proposal is useful for clustering customers in a meaningful way, and that it is an easy and friendly representation of the behavior of a customer that can be used for further analysis.

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