Task 24
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Active Solar Procurement
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Lessons Learned
Lessons Learned
Project Approach:
Do
Define complete projects from start to finish including; preparation, tenders, campaigning, quality control in design, installation and evaluation.
Obtain commitment and financing for the entire project, preferably through a formally financed project proposal.
Focus on larger buyer groups large enough for large sales so that price reductions are possible.
Try to maintain a continuity of specialists and champions through the whole period of project life.
Analyze and define organizations and groups that benefit from the project. Have them support the project.
Analyze and define organisations and groups opposed to the project. Address their obstacles.
Have a simple project approach with clear benefits for both buyers and the intermediary organizations.
Formalize buyer commitment, i.e. contracts, participation in foundation, company etc.
Don't
Do not introduce new systems, components or installation procedures in large amounts. Before introduction important field-testing should take place in real buildings outside laboratories.
Buyer groups:
Do
Look for cases and examples within the following categories:
Complimentary Product Based Buyers
Sole Product Based Buyers
Utilities
Home Builders & Construction Co.
Landlords & Housing Association
Municipalities
Non-Government Organization
Vacation Resorts & Hotels
Tenant Organizations
Installers:
Do
Clearly define the installers role
Insure that the benefits for the installer is clearly understood and competitive with the benefits of their other activities.
Make sure that the installer is educated in the installation of solar water heaters.
Utilize the installer for what he is good at: installation of components.
Be aware that some installers might persuade the customer not to invest in solar.
Be aware that some installers might give the customer an unrealistically high offer.
Preferably use installers that you know maintain high standards of quality and are in favour of solar.
It is possible to agree with installers on standard prices for the installation that gives the customer a fixed and known end price.
Be aware that installers are used to having margins on components and expect compensation if they do not deliver the component.
Don't
Do not expect installers to place more effort in marketing solar than other products.
Do not expect installers to accept lower margins on solar products than on other products.
Do not assume that the installation of solar water heaters is understood and well known for installers.
Do not rely on the installer to do the marketing and completion of contract.
Do not expect all installers to be in favour of solar.
Do not expect installers to read large texts.
Manufacturers:
Do
Notice that many manufacturers are vulnerable for external interventions on the market and have had bad experiences i.e. from subsidies stop's and go's etc.
Notice that many manufacturers need high margins for financing marketing efforts and investments.
Define projects that increase sales, but that do not change market conditions to be unfavourable for sound manufacturers not involved in the project.
Make sure that manufacturers are aware of the education and skill of the installers of their products.
Don't
Do not introduce projects that will stop the market for a period.
Do not expect manufacturers to be in favour of projects that will change market conditions.
Marketing:
Do
All experiences show that the marketing effort to sell a solar water heater is substantial.
Customers needs a salesman to speak with who can answer their questions.
Customers needs clear and easily understood arguments about:
Economy
Environment
Quality
Independence
Customers demands environmentally and economically sound heating solutions - not necessarily solar - they compare with other alternatives.
Don't
Do not expect customers to sign up just from being informed about the good qualities of solar water heaters.
Do not make choices and arguments complicated.
Internet sales:
Do
Use the Internet to provide information.
Be aware that to convince customers needs other means (direct contact etc.)
Don't
Do not expect customers to make the final order via internet.
Quality:
Do
Good quality is a must.
Use only products tested as minimum according to new European standard.
Insure that installers are well educated in the installation of the specific solar water heaters.
Don't
Do not rely on usual installation practices to secure the quality of the solar water heating installation.
General:
Do
Be enthusiastic about solar - it is the energy source of the future.