It has been recognised for its incredible achievements through earning a place on the E2E Dynamic 100 2024 list, which celebrates businesses that have accomplished a turnover of more than £25 million over the past two years.
The success of OVO Group is rooted in its commitment to innovation, customer-centricity, and a strong focus on sustainability. This has placed it as a strong role model to other businesses and entrepreneurs looking to break through the market and generate high levels of turnover.
A disruptive approach in a traditional market
The UK energy market has long been dominated by a few large suppliers, known as the “Big Six”. OVO Energy’s entry into this space marked the beginning of a new era for the sector, characterised by innovation, transparency, and customer-focused service.
The company was founded by Stephen Fitzpatrick, who saw an opportunity to disrupt the energy market by offering something different: fair pricing, simplicity, and a genuine commitment to green energy.
One of the core differentiators for OVO Energy from the beginning has been its focus on providing better customer service than its larger competitors. While the Big Six were often criticised for opaque billing practices, poor customer service, and limited transparency, OVO Energy positioned itself as a company that prioritised the needs of its customers. This approach resonated with consumers, leading to rapid growth in its customer base.
Its use of technology to streamline services and enhance the customer experience was another key driver of its success. From user-friendly digital platforms to transparent billing, OVO Energy made energy management easier for consumers. The company was also early to adopt smart meter technology, giving customers real-time insights into their energy usage and costs.
Impressive financial growth and turnover
OVO Group’s growth trajectory has been nothing short of remarkable. The company’s turnover surged as it rapidly expanded its customer base and diversified its offerings. By 2019, OVO Energy had more than 1.5 million customers, and it only continued to grow from there.
However, its biggest leap came in early 2020 when OVO Energy acquired the retail business of SSE, one of the Big Six energy suppliers, in a deal worth £500 million. This acquisition significantly increased OVO’s market share and catapulted it to the position of the UK’s second-largest energy supplier.
Following the acquisition of SSE’s retail division, OVO Energy’s revenue skyrocketed. In 2020, the company’s turnover more than doubled, reaching £4.5 billion. This growth was driven by the integration of SSE’s customer base, which brought OVO’s total customer count to over 4.5 million.
OVO Group has not only relied on organic growth but has also used strategic acquisitions to fuel its expansion. Beyond the SSE deal, the company acquired smaller energy companies and technology firms to bolster its capabilities in renewable energy, smart technology, and customer experience, positioning itself as a key player in the broader energy transition.
Despite its impressive growth, OVO Energy has faced challenges, particularly as the energy market deals with volatility in wholesale energy prices and regulatory changes. The UK energy market has experienced significant turbulence in recent years, with rising costs and supplier failures making headlines. OVO has had to navigate these challenges while maintaining its commitment to sustainability and customer service.
Shalini Khemka CBE, CEO and Founder of the entrepreneurial community E2E, speaks highly about how the company has tackled such obstacles: “To keep a business afloat and to even grow turnover during a time of uncertainty is truly remarkable, and that’s why we like to celebrate these businesses and entrepreneurs at E2E.
“This list applauds the work of companies like OVO Group, all generating outstanding levels of turnover throughout the UK, in a variety of industries and through a range of strategies and innovative methods.”
Find out more about the E2E 100 here.
