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Solar Fred Solar Marketing Tip: What If We Sold Residential Solar Like Cars?

Tor 'Solar Fred' Valenza
January 16, 2012  |  22 Comments

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While solar is making steady progress towards the main stream, it ain’t there yet. Many consumers are still suspicious of solar because it’s unfamiliar. They’ve seen panels and solar homes in pictures, but it’s not like buying or selling a car… or is it?

Making analogies to something familiar can be very helpful for both the residential sales person, as well as the homeowner. It may seem like a stretch, but buying and selling cars actually has a lot in common with residential solar sales, and solar marketers and sales people would benefit from making those comparisons. Let’s take a few examples:

Both cars and solar are large purchases that require research. Solar marketers need to become a generous provider of solar research. Be sure your website is chalk full of information about technology, rebates, costs, and financing options. You can also spread this information through various social networks, such as Twitter and Facebook. Remember, this isn’t a sales pitch as much as it is friendly, trust-building research that helps consumers decide they like and trust your solar service.

Both cars and solar can be considered optional. Solar is not essential today, but neither is having a luxury, hybrid or new car. Car companies overcome this practical thinking through showing positive images of experience and through test drives. Once consumers see people driving the car on a commercial or drive it for themselves, people develop a sense of ownership and excitement by imagining themselves driving down the street with the top down. 

Can you give prospects a solar test drive? Sure, you can. Do it either through video or by having a prospect visit a customer’s home, giving weekend or monthly solar tours. These experiences can be so powerful. It allows the prospect to “experience” having solar through a real person with solar and lower utility bills. Of course, compensate these customers for their time, perhaps giving a fee for any contracts signed after the tour.

Both cars and solar can be bought with loans, leases, or on a per use basis. Solar has a lot of analogies to leasing verses buying cars. The main ones are that the upfront costs are lower with leases, maintenance is included with both leasing models, and that there are long-term ownership/savings advantages through purchasing either a car or solar system. Most solar companies can qualify for some type of leasing or PPA product. Make the car analogies and show customers the advantages of both leasing and purchasing through apples to apples case study comparisons. For solar PPAs, compare it to rental cars that charge for mileage.

Both cars and solar can be sold with marketing discounts, local rebates, and other government incentives. Once again, it’s important to emphasize and carefully explain all of the available incentives to your clients. They can be complex, so try to keep it as simple as possible in your marketing materials and sales calls. Images and graphs help a bunch, so dig into Excel or PowerPoint and show it as well as tell it with words. Of course, the case can also be made for solar leases that all of the incentives are taken into account. Nevertheless, don’t try to hide any incentives for the sake of simplicity, or the customer may feel like you’re hiding something and being a used car salesman. Transparency is key.  Remember, solar is a huge purchase decision, so homeowners will be afraid of being ripped off. The solution for this is education, patience, and transparency.

Both cars and solar have warranties, and consumers expect and desire reliability for both. A direct car analogy is the “bumper to bumper” car warranty. That’s essentially what a solar lease is. If you want to explain the technology and maintenance, try making the analogy that solar panels are like a car's engine and that the inverter is like the transmission, which typically has to be replaced before the panels/engine. You could also make the comparison that unlike a car, solar has no moving parts, so solar requires little maintenance or replacement parts—with the exception of the inverter. If you’re using Tier 1 panels, you might also reassure prospects that you’re installing the equivalent of “Toyota” or “Honda” or "Ford-truck" panels, not “Yugos.” I’d stay away from Mercedes and Lexus, as these generally imply higher "luxury" prices, not long-term reliability. "Volvo" might be a better high-end analogy, since the Volvo brand implies safety.

There are tons of other car analogies to be made, and there are contrasts too. Some might be tempted to tell prospects that solar systems save money, while cars only cost money to drive and maintain. Don't make that point. Consumers don’t want a solar salesman telling them to buy solar instead of the BMW they’ve always wanted to see parked in their driveway and wrapped in a bow with a card on the windshield that says, “You deserve it, honey!”

So, don't kill anyone's hotrod dreams for a solar sale. You'll probably lose. Besides, the point of making car analogies is to make solar more familiar, not to compete with new car purchases. Have more car analogies? Feel free to share yours in the comments below. I'm sure there are plenty of automobile-centric ways to UnThink Solar.

Tor Valenza a.k.a. “Solar Fred” advises solar companies on marketing, communications, and public relations. Contact him through UnThink Solar or follow him on Twitter @SolarFred.

Photo: Flickr/Hugo90

The information and views expressed in this blog post are solely those of the author and not necessarily those of RenewableEnergyWorld.com or the companies that advertise on this Web site and other publications. This blog was posted directly by the author and was not reviewed for accuracy, spelling or grammar.

22 Comments

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Angel Mejia
Angel Mejia
February 13, 2012
Great article! a solar system should be see as an invesment or as a kwh or btu purchase. More like a hardware as a service
Alison Tottenham
Alison Tottenham
January 30, 2012
Hi SolarFred and SummerMorris, I do like the idea of installing PV to save for a car. But at current costs in the UK, one had better not intend to save for an electric car. Could take over 25 years! Still being positive, electric cars will have advanced a lot in those years, and perhaps their price will have fallen. I think that for the time being at least, I'll stick with John-Bronson's view of PV as the heaven sent investment! Still I do know one family that has installed PV to pay for their badly designed ground source heating, which ended up sending their electricity bills soaring...
Nat Obleton
Nat Obleton
January 22, 2012
Thanks for a provocative and interesting article, It energized me to ReThink Solar.
Howard Johnson
Howard Johnson
January 19, 2012
Rooftop Solar works for me:

http://www.mpsaz.org/rmhs/staff/hljohnson/solar_information/

Check out my 'Cost of the PV System'

As John-Bronson stated,"'PV should be sold as an INVESTMENT", Right on John ! ! ! ! ! !
Mary Saunders
Mary Saunders
January 18, 2012
Some of us don't care about snazzy cars or big screens, but that does not mean we don't like gadgets.

In some of the circles I hang in, it's kosher if it came by bike-cart.

I know I live in a bubble, but the New York Times is always sending more immigrants to my bubble.

And then there's Portlandia, on cable, which I don't need to watch, because I already live here, and also because my TV broke, and I don't care.

If I want to watch it, I can get it on the net. Small-screen works just fine.
Steve Poppitz
Steve Poppitz
January 18, 2012
When people figure out that PV on the roof and eV in the driveway will equal huge reductions in our trade imbalance and that equals energy independence and debt reduction. MAYBE, just maybe we can see the patriotic movement towards an eV / PV future.
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
January 18, 2012
I like the investment analogy, John, and I've mentioned several times now that sales people shouldn't position solar as an alternative to any large purchase.

The point here is to make common solar concepts less "foreign" and easier to understand.
John Bronson
John Bronson
January 18, 2012
Bad analogy. Unless it's strictly for business use, a car is a (very expensive) expense.

PV should be sold as an INVESTMENT. Insured, guaranteed, and with a return better than bank CDs, bonds, or dividend paying blue chip stocks.
ANONYMOUS
January 18, 2012
Payback for PV is 6 or 7 years? Sounds good!

Two questions: What would be the capacity of the application?
How much average daily sun would be required?
Evelyn Polvere
Evelyn Polvere
January 18, 2012
That's great aticle Jim. Thanks for sharing.
Jim Stack
Jim Stack
January 18, 2012
Home power has a PV vs SUV chart that shows how much you save comparing the 2. homepower.com/article/?file=HP90_pg46_Smithson
FYI just in case
PV is Photo Voltaic electric panels, made in the USA of course
EV is electric vehicle, also made in the USA
SUV is Sport Utiltiy Vehicle

I also like to compare PV vs a Swimming Pool. The PV makes money while the Swimming Pools uses water, electric for pumps and chemicals.

With An EV and PV I call it Feed In Transportation, where about $1 in an EV of electricity replace 2 gallons of gas $6.60 today at 25 mpg. Add in the Environmental factors and it's priceless.

If people really compare investments Solar PV is a big winner.
Luke Divemaster
Luke Divemaster
January 18, 2012
I'm a little surprised that some of the larger solar companies haven't invested in solar stores, where equipment is on display and trained solar consultants can assist potential customers. Think Apple Stores.
Ralph Perez
Ralph Perez
January 17, 2012
Selling solar using electric cars might be a tactic that works as well. The old $40 a week in fuel saved by PV trickle charging a battery makes $2,000 a year and $52,000 over the life of the 25 year solar warranty. It will continue producing at a lesser rate long after that. Electric car manufacturers would do well to show the infinite MPG rating and the recommended size solar area needed to charge a spare swappable battery.
Summer Morris
Summer Morris
January 17, 2012
Solar Fred, I like your idea of steering them towards a "win-win" solution to attain both their dream car AND solar. Perhaps we can coach clients one step further to save the "Dave Ramsey way": Set aside the $150-ish saved monthly on their electric bill into a mutual fund, then within X amount of years they'll have enough to pay CASH for their dream car!

Taking this approach by giving them a prescription for attaining both solar & their dream car may be the nail in the coffin for them to sign.
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
January 17, 2012
Hey, Summer and Alison, thanks for the shout out. As I noted in the post, I wouldn't advise solar sales people to favor the client buying solar instead of their dream car. While the points you make are true, chances are that the person may be thinking about buying a car in the near future, and the argument shouldn't be that you're wasting money buying a car instead of solar. Rather, solar can lead to you saving money to buy your next car! Especially with a lease or solar PPA product, which have low up front costs.
Summer Morris
Summer Morris
January 17, 2012
Very informative and very helpful post, Solar Fred! What an easy, familiar analogy to put new clients at ease.

Alison Tottenham, an excellent point about cars being a liability. Leasing solar panels is a wise investment because they don't depreciate in value at anywhere near the rate cars do and they're saving you money long-term, unlike cars which get more expensive to maintain each year.

Thank you both!
Alison Tottenham
Alison Tottenham
January 17, 2012
Solar photovoltaic panels are still going after 55 years in space; and provided that the sealants between the panels and frames are checked every decade or so, there is no reason why the solar panels on your roof or in your fields, should not last your lifetime! Your lovely new car, alas, will not last so long. Only today's vintage cars were built with the sort of high quality materials that would be needed for such longevity.

So panels and cars are in a different ball park. The former, will be the only ones you have to buy; but the latter will be a constant drain on the finances!
Louis Shaffer
Louis Shaffer
January 17, 2012
Great article. I don't agree with everything, but the point about how both are financed is really useful for explaining to people about PV. In my view, if someone will put PV on your house for you at no extra cost to you and guarantee your electricity bill will stay where it is for the next so many years, it is kind of irrelevent to what it costs. I wish they did the same with cars (you would get a free car and just make payments for gas and maintanence!).
Thomas M
Thomas M
January 16, 2012
Yup, a car in every driveway and solar on every car port...
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
January 16, 2012
Good point, Evelyn... although 6 year payback is going to depend on you location, rebates, and a lot of other factors, as you probably know. But I like the free gas analogy. Thanks!

Carter, I think there's definitely a status aspect to it right now. That's why entire neighborhoods become seeded with solar after the first visible install. Thanks!
Evelyn Polvere
Evelyn Polvere
January 16, 2012
Another view of this in comparing buying a car to buying a solar system is that when you buy a solar PV system, you're getting the 'gas' or energy for free (for it's 25+ year lifespan). After the initial investment, the savings on your electric bill, the tax incentives and other rebates contribute in the system paying for itself in about 6 years. The rest is just gravy.
Carter Lavin
Carter Lavin
January 16, 2012
While both cars and solar arrays provide a practical service/good, there is definitely a status element to both. A new car or solar array is something to brag about, and while they both have to pencil out, the sexy factor gives you some sales wiggle room.

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UnThink Solar

UnThink Solar

UnThink Solar is a strategic solar marketing and communications company. Clients include Panasonic, One Block Off the Grid, Free Hot Water and other solar PV and Thermal companies who desire to stand out in an increasing competitive solar...
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