Public Service Enterprise Group Incorporated (PEG): Marketing Mix Analysis [Dec-2025 Updated]

You're looking past the quarterly reports to see the actual business engine of Public Service Enterprise Group Incorporated (PEG) as we head into late 2025, and honestly, for a regulated utility, the marketing mix tells the whole story. We've mapped out exactly what they sell-regulated power and gas to about 2.3 million electric customers in New Jersey-and how their 'Price' is locked down by the NJBPU's approval of their capital spending plans. Stick with me, because understanding their 'Place' of operation and how their 'Promotion' centers on storm reliability and clean energy advocacy, rather than consumer sales, is crucial for valuing this infrastructure play correctly. Let's dive into the four P's to see where the near-term certainty-and the regulatory risk-actually sits.

Public Service Enterprise Group Incorporated (PEG) - Marketing Mix: Product

Public Service Enterprise Group Incorporated (PEG) offers a portfolio of regulated utility services and power generation, heavily focused on infrastructure modernization and clean energy alignment within its service territory, primarily New Jersey.

Regulated electric transmission and distribution services

The regulated electric service component, primarily through Public Service Electric and Gas Co. (PSE&G), involves managing the transmission and distribution network. As of early Q4 2025, PSE&G serves approximately 2.4 million electric customers in New Jersey. This service is supported by significant capital allocation aimed at grid reliability and meeting growing demand, including large load inquiries for new service connections.

Regulated natural gas distribution services

The natural gas distribution service, also under PSE&G, provides gas supply to its customer base. Public Service Enterprise Group Incorporated (PEG) serves approximately 1.9 million natural gas customers. Investments in this area focus on infrastructure replacement, such as the Gas System Modernization Program (GSMP) II extension, which involved a $900 million, two-year extension through December 2025.

Zero-carbon nuclear power generation (PSEG Power)

PSEG Power operates the zero-carbon baseload nuclear fleet, which is a cornerstone of the company's product offering. Public Service Enterprise Group (PEG) owns an independent fleet totaling 3,758 MW of carbon-free nuclear generating units located in New Jersey and Pennsylvania. These assets are critical for state energy goals, providing about 40% of New Jersey's total energy as of year-end 2024. For the third quarter of 2025, PSEG Nuclear supplied the grid with 7.9 TWh of reliable, carbon-free baseload energy. Furthermore, the segment secured approximately 3,500 MW of its eligible nuclear capacity in the PJM 2026/2027 auction at a price of $329 per megawatt-day. The total nuclear generation for the full year 2025 is forecasted to be between 30-32 TWh.

Clean energy infrastructure investments

Public Service Enterprise Group Incorporated (PEG) is executing a substantial capital plan heavily weighted toward regulated infrastructure modernization and clean energy alignment. The total capital program projected for 2025 through 2029 is between $22.5 billion and $26 billion, with the regulated capital investment program specifically targeted between $21 billion and $24 billion over the same period. For the first nine months of 2025, regulated investment totaled $2.7 billion. Key investment areas within the Clean Energy Future Programs include initiatives for EV Medium & Heavy Duty charging and Battery Storage.

The regulated capital spending for the third quarter of 2025 was approximately $1 billion.

Energy efficiency and demand-side management programs

The Clean Energy Future-Energy Efficiency (CEF-EE) programs are a core service designed to help customers reduce energy use and costs. As of the report through March 2025, nearly 465,000 customers had actively participated in these initiatives. These efforts collectively resulted in over $720 million in annual utility bill savings for customers.

The following table details key participation and savings metrics for these demand-side management products as of late 2025 reporting periods:

The programs are designed to support New Jersey's clean energy goals, with projected annual avoidance of approximately 1.8 million metric tons of carbon dioxide emissions.

Public Service Enterprise Group Incorporated (PEG) - Marketing Mix: Place

You're looking at how Public Service Enterprise Group Incorporated (PEG) gets its essential services-electricity and gas-to the people who need them. For PEG, Place is all about the physical infrastructure and the defined geographic footprint within New Jersey.

The primary service territory for Public Service Electric and Gas Co. (PSE&G), PEG's main utility, is New Jersey. This operational footprint spans a significant area, covering approximately 2,600-square-mile diagonal corridor across the state, stretching from Bergen County down to Gloucester Counties. This distribution network is designed to deliver service to a substantial portion of the state's population.

The sheer scale of the delivery system is best understood through the customer base it supports. As of mid-2025 reports, the distribution utility serves:

This infrastructure is supported by generation assets that ensure supply reliability across the region. The power generation component, managed by PSEG Power, strategically positions its assets to serve regional needs.

The location of these generation assets is focused on the Mid-Atlantic and Northeast regions, ensuring a reliable, carbon-free energy supply for the service territory and broader markets. Specifically, the company's generation footprint includes:

• Three nuclear units located in South Jersey.
• A 50% ownership stake in two nuclear power plants in Pennsylvania.
• The nuclear fleet provides approximately 85% of New Jersey's clean energy.
• The nuclear fleet totals 3,758 MW of carbon-free, baseload capacity as of 2025.
• Transmission system interconnections exist with utilities in Pennsylvania, Delaware, and New York.

The regulated transmission and distribution system itself utilizes specific voltage levels to move power, including 500 kV, 345 kV, 230 kV, and 138 kV lines. This physical network is the tangible manifestation of the Place strategy, ensuring that the energy generated reaches the 2.4 million electric and 1.9 million gas customers who rely on PSE&G daily.

Public Service Enterprise Group Incorporated (PEG) - Marketing Mix: Promotion

Public Service Enterprise Group Incorporated (PEG) communicates its commitment to service through targeted outreach across several key areas, ensuring stakeholders understand its operational focus and strategic direction.

Focus on reliability and storm preparedness communications

Communications heavily emphasize system reliability, especially in the face of severe weather. For instance, PSE&G issued preparedness information for the New Jersey hurricane season, which runs through November 30, 2025. This proactive communication includes reminding customers to create emergency kits and know how to report outages. The utility's investments in storm hardening are quantified in its messaging; sections of circuits hardened by PSEG Long Island saw a 39% reduction in damage leading to outages between the first quarter of 2024 and the first quarter of 2025, compared to the rest of the distribution system. Customers are directed to specific channels to stay informed, such as texting OUT to 47734 to report an outage.

Key reliability and preparedness metrics communicated include:

• Year-round work by arborists to trim tree limbs, removing more than 136,000 hazardous trees/limbs since 2014.
• Trimming more than 29,000 miles of distribution and transmission line clearance since 2014.
• Conducting annual hurricane and tropical storm drills for the dedicated workforce.

Community investment and corporate social responsibility (CSR) initiatives

Corporate social responsibility messaging is often tied directly to the Clean Energy Future (CEF) programs, which aim to lower customer costs and carbon emissions. The Clean Energy Future-Energy Efficiency II (CEF-EE II) filing was approved for approximately $3 billion to be spent over a six-year period. This program, with investments committed between January 2025 to June 2027, includes $1.9 billion in rate base investments and $1 billion in on-bill repayment financing. The expected customer benefit from this specific program cycle is estimated to save customers $4 billion in utility bills.

Public advocacy for clean energy transition and infrastructure upgrades

Public Service Enterprise Group Incorporated communicates its role in the clean energy transition through its substantial capital expenditure plans. The company's updated five-year capital plan for 2025-2029 is set between $22.5 billion to $26 billion. This includes a regulated capital investment plan of $21 billion to $24 billion through 2029, targeting a Rate Base Compound Annual Growth Rate (CAGR) of 6% to 7.5% over that period. For the year 2025 specifically, the planned regulated investment is $3.8 billion. The advocacy highlights how these investments support New Jersey's energy policy, including infrastructure modernization and meeting growing demand, such as the 4,700 megawatts in new inquiries from large load and data center customers noted in early 2025.

Infrastructure investment figures communicated to stakeholders include:

Investor relations and regulatory filings as key communication channels

Investor communications are driven by financial results and forward guidance. For the third quarter of 2025, Public Service Enterprise Group Incorporated reported Earnings Per Share (EPS) of $1.13, surpassing the consensus estimate of $1.02. The company narrowed its full-year 2025 non-GAAP Operating Earnings guidance to the upper half of the range at $4.00 to $4.06 per share. The dividend policy is also a key communication point; the declared first-quarter 2025 common stock dividend was $0.63 per share, representing an indicative annual rate of $2.52 per share, a 5% increase for 2025. The dividend payout ratio is stated as 60.58%.

Key financial communication points as of late 2025:

• Q1 2025 non-GAAP Operating Earnings: $1.43 per share.
• FY 2024 full-year non-GAAP Operating Earnings: $3.68 per share.
• Total available liquidity reported in Q1 2025: $4.6 billion.
• Institutional ownership of company stock is roughly 73.34%.

Advertising centered on energy efficiency and safety awareness

While specific advertising spend figures aren't detailed, the communication strategy incorporates safety warnings and highlights service quality recognition. For example, in November 2025, Public Service Enterprise Group Incorporated warned customers of utility scams. Furthermore, the company promotes its high service rankings, noting J.D. Power 2025 Business Electric East Large Segment Customer Satisfaction Rankings. The promotion of energy efficiency programs is linked to the CEF-EE II program, which is designed to help residential and business customers reduce energy usage and bills.

Public Service Enterprise Group Incorporated (PEG) - Marketing Mix: Price

Price for Public Service Enterprise Group Incorporated is fundamentally determined by the regulated rate-base model approved by the New Jersey Board of Public Utilities (NJBPU). This structure dictates what the approximately 4.3 million New Jersey residents receiving electric and gas service must pay to obtain service.

Pricing is determined by state-approved tariffs and rate cases. The first distribution base rate case settlement in six years, reached in October 2024, established new pricing. This settlement resulted in a typical combined residential electric and gas customer bill increase of 7%, equating to $15 per month. However, this impact was partially offset by a 5% reduction in gas bills effective October 1, 2024, bringing the net combined bill impact for a typical customer to about 5%, or $11 per month, with new rates effective October 15, 2024.

The recovery of significant capital expenditures is built into these rates through various programs. Public Service Enterprise Group Incorporated expects to spend between $22.5 billion and $26 billion in the five years spanning 2025 to 2029, which requires recovery mechanisms. The Infrastructure Advancement Program (IAP) sought recovery for investments up to $511 million, with $351 million eligible for recovery within the IAP Rate Mechanism. For a typical residential electric customer using 6,700 kWh annually, the IAP charges effective May 1, 2025, resulted in an average monthly bill increase of $0.15, or approximately 0.11%.

Fuel and purchased power costs are passed through to customers, though mechanisms exist to mitigate immediate spikes. Following significant electric supply cost increases from the July 2024 PJM Base Residual Auction, Public Service Enterprise Group Incorporated proposed, and the NJBPU approved, short-term relief measures for summer 2025. For the months of July and August 2025, a credit of $30, including taxes, will be applied to each residential electric customer's monthly bill. To recover the deferred electricity supply costs, Public Service Enterprise Group Incorporated will collect $10 from each residential electric customer's monthly bill from September 2025 through February 2026. The company also voluntarily waived carrying charges (interest) on this deferred credit.

Rates are structured to support a projected 2025 capital program focused on modernization. The Clean Energy Future - Energy Efficiency II (CEF-EE II) settlement, approved in October 2024, places $1.9B in investments into rate base, amortized over 10 years with an ROE of 9.6%. Furthermore, the Solar Loan I Program recovery uses a Cost of Capital of 11.11%, including an ROE of 9.75%, though the Solar Loan I recovery rate (SPRC) is proposed to be set to $0.000000/kWh effective October 1, 2025.

Key pricing adjustments and impacts for residential customers as of late 2025 include:

• Annualized Indicative Dividend Rate for 2025 represents a 5% increase over 2024.
• Typical residential bill increase from Oct 2024 base rate settlement: $15 per month (7%).
• Typical residential bill impact after Oct 1, 2024 gas reduction: $11 per month (5%).
• Monthly bill decrease from ECIP rate changes effective March 1, 2025: $0.99 (approx. 0.74%).
• Monthly bill increase from IAP charges effective May 1, 2025: $0.15 (approx. 0.11%).

The following table summarizes specific cost recovery and rate-related financial figures:

The regulated nature means Public Service Enterprise Group Incorporated cannot unilaterally set prices; instead, pricing is a direct outcome of regulatory filings and approved settlements. For instance, the company is authorized to recover costs associated with its Electric Conservation Incentive Program (ECIP), where a typical residential customer saw a monthly bill decrease of $0.99 (approx. 0.74%) based on rates in effect March 1, 2025.