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How Can Installers Harness the "Solar Walmart Effect?"

Tor 'Solar Fred' Valenza
October 05, 2012  |  21 Comments

At the recent SPI 2012, I participated in a Renewable Energy World video roundtable on big box retail stores going solar with a representative from Walmart and another representative from SunEdison. (You can see the two part videos below.) There’s a lot of great information here, but I’d like to summarize a few of the points, and also make some suggestions for harnessing the power of other mega brands like Walmart for solar marketing and solar advocacy.

1) They’re not just going solar for “greenwashing.” Walmart has been routinely criticized for many business practices, and some have said that its going solar is just a way to green wash the company. Wrong.

As noted in our SPI video panel conversation, they’re going solar because it saves the company money. It makes business sense first. On top of that, there are environmental advocacy benefits, but it has to make financial sense first, and then you can add all of the other advantages, such as corporate sustainability and positive PR.  

2) There’s no cookie-cutter way to make 100 stores go solar. Anyone in the solar industry knows that no two commercial projects are alike; although it may be a single company, big box stores are also different. On top of that, cities, utilities, and states all have different rebates and permitting requirements, and that fact is not likely going to change, although some like ASES with industry veterans Barry Cinemon and Ron Kenedi are trying. Add to that a PPA provider or the various financing options for each location, and you no longer have anything looking like a cookie cutter project for 10 to 100 stores.

The point here is that pilot solar projects for big box stores are only useful, but can only scale so far.  There will be synergies, but if you’re going to approach these companies about solar projects, be prepared to be adaptable to every location as if they were an individual client...with different local managers. At the same time, have a list of some commonalities that can be applied to every location and assuage common local concerns. (When will this be done? Will it interfere during business hours? Is it safe? Etc)

3) It’s a long process, and you better find supporters within the company. As was revealed in the video, there was a top-down advantage for Walmart. A Walton family member and corporate executive wanted solar done. So, if you can get to the ear of the top or near the top, your solar sales efforts will be that much easier. Just as important is getting a buy-in from others inside the company, especially if you don’t have top-level support. You must find company advocates, and you must be prepared with numbers and solutions for all objections, including PR and political solutions. (Have you seen the latest solar poll, by the way? Be sure to include that.)

Those are the main points that solar marketers and business development people can take away from this round table conversation. The only other point that I’d like to emphasize from a solar marketing and advocacy perspective is that solar companies — regardless of size, should do everything possible to harness the Solar Walmart Effect.

What’s the Solar Walmart Effect? Essentially, it’s solar energy authority. That is, it says, “Hey you, solar business prospect! The biggest retailer in the world went solar, and they didn’t do it to hug polar bears. There's something to this, and it can cut costs for you too. Let's discuss.”

In fact, it’s not just Walmart. We briefly discussed this in the video, but SEIA and Vote Solar released a huge report about this, and they included free marketing materials that you can use to make your case to others. Use them.

Use these 20 major retail brand examples to convince homeowners and businesses that solar isn’t just for tree huggers. By stating that companies like Walmart and Ikea are going solar to save money, you’re making the case that solar is affordable and going mainstream, and so are solar PPAs and solar leases. So, let’s run the numbers and find out if it’s right for you, too.

If you're fortunate enough to get the contract, try to work with the companies to make co-branding and educational materials available for customers that may notice the panels. Even better, offer a discount code in a co-branded brochure and give the company an agreed-to fee for any completed sale. Win-win.

Bottom line, with these major retail brands going solar, the industry seems less “far out” and just for the rich and famous. If you can make the case that these companies are going solar because it makes financial sense, then residents and businesses will question their pre-conceived notions about solar and open the door to exploring it for their own businesses and properties.

So, watch these two videos below, use the above resources, and of course...UnThink Solar.

Tor Valenza a.k.a. “Solar Fred” advises solar companies on marketing, communications, and branding. Want more solar marketing info? Sign up for the Solar Fred Marketing Newsletter, or contact Solar Fred through UnThink Solar. You can also follow @SolarFred on Twitter.

Part 1:

 

 

Part 2:

 

 

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.

21 Comments

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Bob Wallace
Bob Wallace
October 10, 2012
http://www.renewableenergyworld.com/rea/news/article/2012/10/the-question-day-1-what-is-the-most-difficult-issue-facing-the-solar-industry

Post #30 and onward.

The previous lows I've seen was $2.78/watt for Open Neighborhood(?) in LA, a community purchasing group and an installer in NJ stating $3.25/w.

I'd love something concrete. (I've got the ability to spread the news if it's this good, but I need facts.)
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
October 10, 2012
Bob, what thread? $2.45 in in what state/market? For residential or commercial? That is news.
Bob Wallace
Bob Wallace
October 10, 2012
Let's talk a moment about another type of "Walmart effect", making good money by moving a lot of product at a low price.

We've got an installer on another thread stating that his company is installing residential rooftop at $2.45/w and large flat roof at $2.18/w.

Those are "Walmart" prices. $7,350 for a 3k system. $5,145 after the 30% federal subsidy. Even less after state and local subsidies.

If he's not blowing smoke then the LCOE for the homeowner is well under 8 cents per kWh. Less than 8 cents, locked in for 20 years and with 2+ decades of free electricity to follow.

If this is what installers can now deliver this news needs to be out to the public. The installers who can present these prices and know how to run a large business are in position to be the Walmart of solar systems.
Penny Melko
Penny Melko
October 10, 2012
Without diffing anyone, it's been refreshing to hear from fledgling and smaller scale companies... also the opinions and views from installers. This is where, as they say, the rubber meets the road. Sometimes it's necessary to send people to a site to make their points.

I live in the middle of where giant developers, investors and banksters have come together and have ruthlessly transformed massive square miles of sensitive land and homes to the most endangered species on this planet. They have effectively gutted the endangered species act and pushed homeowners off our lands with their installations of thousands of monolithic open propeller cuisinarts.

It's comforting to find that American workers still have exciting new technologies to conquer and improve.
Andrew Savage
Andrew Savage
October 10, 2012
Dave, Sorry you didn't like where the thread went. However, if you take a look above, I think you'll see how it evolved and we were just answering specific questions posed. Agree - nobody wants the comments to turn into people just hawking their product!
Andrew Savage
Andrew Savage
October 9, 2012
45% more than fixed rooftop panels (not adjusted, fixed) and 30+% more than ground-mount fixed.

Our costs are approximately 10% more / watt, but with trackers, one must compare $ / first year kWh vs. just simple $ / watt.

We have solar sales partners around the country and listed on our website that can give a more precise quote for a job.

Thanks,
Andrew
Bob Wallace
Bob Wallace
October 9, 2012
Asa - your site claims 45% more output than fixed panels.

1. Are you comparing to totally fixed panels or to seasonally adjusted panels?

2. How much does your system cost per panel watt?
Andrew Savage
Andrew Savage
October 9, 2012
Bob, We both have a dual axis tracker that goes flat in high winds automatically (it's very possible) and pays for itself in northern climates. We have over 1,400 in Vermont alone and make our production available online for every system as well.

www.allearthrenewables.com
Bob Wallace
Bob Wallace
October 9, 2012
As you move northward active tracking tends not to pay for itself.

What is likely cost effective is an adjustable rack that allows the panels to be tilted into a close to vertical position for the short-day months and close to horizontal position for the long summer days when the Sun is more overhead.

I've never heard of trackers that park panels flat in high winds, but I suppose that's possible. I would guess that a simple wind deflector would work better.
Gerry Wootton
Gerry Wootton
October 9, 2012
Our local solar Walmart has modules on trackers. They tie into the structural framing of the building not the roof. Roof penetration is minimal and has less impact than HVAC equipment. When you go north, summer is the high insolation season but the sun would be behind a fixed mount system for a good portion of the day so trackers are essential for maximizing energy yield. In the winter, when icing can be an issue, there is no need for a tracker to track; however, the ability to rest in an inverted posture provides a simple means of shedding snow load. Also, the ability to take on a low wind resistance posture in high winds is an advantage.

I shopped Walmart for my energy efficient lighting (~60% of my home has LED lighting) for reasons of price and selection.
Penny Melko
Penny Melko
October 9, 2012
#13. I think it's Pepsi that monitors and records all emissions generated during manufacturing. Don't know if they also track other emission generating processes like transportation. My background is IT and find that well funded, enlightened organizations tend to be early adopters of new technologies. They can afford to purchase sophisticated software essentially pioneer technologies that eventually trickle down into smaller organizations. I feel hope finding that the giant companies are beginning to rise to acknowledging that emissions and pollution need to be drastically slashed today.
Andrew Savage
Andrew Savage
October 8, 2012
A good summary by Solar Fred here. As solar tracker manufacturers that have worked with dozens of businesses, we find many business customers want their customers to SEE their solar as well. That's where a pole mounted tracker can come in (sometimes as an addition to a roof-mounted array).
Penny Melko
Penny Melko
October 7, 2012
Thank you for sharing the process that takes place and consideration to the existing roof condition. This is excellent information.
D. Davis
D. Davis
October 7, 2012
We have solar on a Gerard metal roof, with curved tiles. The roof was the first question I asked about. Our installer had soft lead moulded around each connector that went through the roof, and replaced all areas compressed by walking on the roof. No leaks in 5 years! The only problem we have had is with the inverter, which has been replaced each of the two times it has failed (by the same brand). Next time, they will change out and rebalance the system, they say. I have a very strong pergola in the backyard now, it has metal beams covered in vinyl). If was installing the system from scratch, now....I'd probably put the solar on the pergola, because it would shade more of the too sunny yard, and be easier to reach for dusting, or washing the panels. I am another Southern CA homeowner, and know Tehachapi, Keene, Caliente. Your enemy is dust. If you don't like the patio idea, and you have the room, try ground level, angled install. I've seen this used near National Monument Colorado where the desert and winds are similar to the Tehachapi area....where we live, it is SMOG and sticky road particulate that requires cleaning.
Delroy Leslie
Delroy Leslie
October 6, 2012
Sandcanyongal, A good solar installer will get as much information about the condition of the roof before installation. They will even check to make sure that the installation of a solar system does not void the warranty (if any) on the roof.
Bob Wallace
Bob Wallace
October 6, 2012
The smart thing to do would be to make sure your roof is in good shape before putting on the panels. Then you could kick back and not worry for 30 years, or more like 100 if you have a metal roof.

If you do have to move them to replace the roof, it's a lot smaller job than the first install. Take them loose, set them on the other slope/another part of the roof. Do your roof. Put them back. Relax for 30 - 100 years and enjoy the free electricity.
Penny Melko
Penny Melko
October 6, 2012
Might want to think again about putting solar on roofs. What happens when your roof leaks? What is the cost to dismantle, remove, do the roof repair then reinstall those very heavy solar units? Just saying...
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
October 6, 2012
Ron, I'm not sure what's happening. Writing this from a cell phone, but when I get home, I'll look into it. In the meantime, you can see the videos directly by going to:

http://www.renewableenergyworld.com/rea/video/roundtable-solar-goes-mainstream-how-big-retail-is-catching-on-part-1

http://www.renewableenergyworld.com/rea/video/roundtable-solar-goes-mainstream-how-big-retail-is-catching-on-part-2

Sorry for the trouble.
Ron Peterson
Ron Peterson
October 6, 2012
The videos aren't available as I post this.
Tor 'Solar Fred' Valenza
Tor 'Solar Fred' Valenza
October 5, 2012
Thanks for adding your thoughts, Bob.

Many companies do what you're discussing. The most notable is probably One Block Off The Grid (1bog.org), but individual installers can (and should) do the same with their own self-designed referral programs.
Bob Wallace
Bob Wallace
October 5, 2012
Is anyone using customers as 'salespeople'?

I'm thinking that there are savings to be had if the installer has multiple installations in the same neighborhood/block. Reduces all sorts of travel time.

Is it possible to offer group discounts? "If we have x installations within y distance of your house we will give all of you z off."

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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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