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July 2, 2009

Video: Marketing Solar Energy to the Public Remains a Challenge

by Graham Jesmer, Video Producer
Philadelphia, United States [RenewableEnergyWorld.com]

As the solar industry grows, marketing and public outreach are set to become a larger part of the day-to-day operations of installers, integrators, manufacturers and trade associations. Solar Energy Industries Association president Rhone Resch identified it as a major hurdle moving forward.

"The biggest challenge we face is educating people about the true costs of solar energy,” Resch told RenewableEnergyWorld.com last month at PV America in Philadelphia.

He said solar companies need to make the case that a solar system can be easily integrated into other financing arrangements, like a mortgage. It will make the mortgage payments a bit higher, but with incentives, the system starts generating revenue from day one. Those incentives also allow the consumers to defer up to two-thrids of the overall cost.

According to RenewableEnergyWorld.com columnist Isabelle Christensen, the cost of marketing per solar sale is between US $1100 and $2500 for national-scale companies. She says those are figures that may not be sustainable in the long term.

So how does the industry make this case without spending more money than it can afford to? That's the question that everyone seems to be grappling with. I caught up with a number of industry leaders to get their thoughts on the issue.

Jim Pierobon, vice president and chief marketing officer at Standard Solar said his company reaches out to local governments, condo associations, schools and everyone in between to get them up to speed on what's available right now.

Joe Sarubbi, executive director of TEC-SMART at Hudson Valley Community College told me about the role community colleges will play as the industry moves forward.

Mark Finocchario, CEO of Schott Solar USA and Stephen Shea, VP of manufacturing for Suniva said manufacturers won't sit on the sidelines.

Finally JoAnn Milliken, Acting Solar Program Manager at DOE said the stimulus funds the industry is waiting for could be part of the solution.

Play the video below to hear more about what these companies are doing to address the marketing and outreach challenges.

Video
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Reader Comments (9)
 
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July 2, 2009
Great Video! Clearly an important topic during this critical time in our world. Also, you did a nice job utilizing stock footage. Many people don't realize the value that stock footage can add to a video campaign. For example, opening up with an aerial shot or high-budget-looking establishers can really add a professional feel to the piece. A great resource for stock footage is Sony Pictures Stock Footage at http://www.sonystockfootage.com

Keep up the great work. Together we can help change the world!

Chris Anderson
916-288-8444
www.sonystockfootage.com
Comment 1 of 9
July 2, 2009
There is a natural tension between the message from SEIA about module prices coming down, and solar installers who build their prices based on system capacity. Installer costs are necessarily based on capacity, but we have to break the link between equipment costs and project pricing so the market sets a fair value on quality installations and supports sustainable installer companies.

Currently installers are rightfully leery of announcements of lower module prices because their business has so many non-equipment expenses. Marketing is just a small part of the story. Real cost reductions mean removing the myriad permitting, interconnection, and incentive paperwork; along with equipment standardization and electronics OEMs who build products that support PV.

With module prices falling and consumers learning what everyone is paying for their system through solar maps like NYSERDA's Power Naturally and CaliforniaSolarStatistics.ca.gov, will solar installers begin to separate project prices from equipment costs? And will customers see the true value in paying for the installers technical expertise and long-term service? Let's hope so.
Comment 2 of 9
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July 3, 2009
Very good video. We are trying to make Anthrem,Az. a SOLAR CITY.
We are a 10 y/o planned Del Webb/Pulte community of 30,000.
We are just starting to form our own governing council.
Energy is a large part of our expenses so we are looking for alternatives.
This information is very helpful.
Comment 3 of 9
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July 3, 2009
Joann Millikin, "lower the cost of solar energy so that it can be competitive with conventional sources." In California, with a CSI rebate and federal tax credit, a system can have a payback period of about 5-10 years. Pay a solar company the money you would normally pay to a utility for 5-10 years and then receive free electricity for 20-30 years more. What conventional technology are you talking about that can compete with that?
Comment 4 of 9
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July 3, 2009
With new financing plans that will enable solar installations to be a lien assumable by a new owner, obstacles to installation are reduced.

A person making this kind of installation is asking a subsequent owner to think about energy usage as a cost of ownership, something too frequently overlooked and under-estimated up to now.

Cutting-edge banks and credit unions may have more capital than loan applicants right now. This has a possibility of being win-win for communities and for local solar companies looking to form partnerships and to reduce marketing costs.

New hybrid PV/thermal installations have the potential to pay back quickly, enhancing home value, marketability, and comfort.
Comment 5 of 9
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July 3, 2009
As a video producer for solar energy companies for the past 5 years, I'm heartened to see how the solar industry is now becoming more focused on outreach and education for the consumer.

But how do you do this in a meaningful way...regardless of cost?

The key, I believe, is to not only reach out and educate, but to engage and empower the people who will make this important decision for their homes and businesses.

After interviewing many solar homeowners and builders who made the decision to "Go Solar", I came to understand that people want more than saving money.

Ultimately, they want to see themselves as part of a larger community of proactive people that want to do something that makes a difference--and makes sense--for their family, their city, and the planet. Making green energy is as good as it gets.

Our challenge, as an industry, is to see ourselves as part of a larger community that can help them realize their dreams.

You can see our solar manufacturer, installer and home builder videos at:
http://www.randallcreative.com/
You can also reach us by phone:
David Randall, RANDALL CREATIVE (818) 981-8948
Comment 6 of 9
July 4, 2009
Every solar company must do their part to directly communicate and educate the green-minded public first about solar affordability. If you aren't making the effort to reach the Street, it's that much tougher to get help from legislators. We must do both. I write about strategies for communicating to the public with my blog here on Renewable Energy World. Click blogs above and then click "SolarFred" on the right. It's a communications think tank that gives practical advice to companies on how to market and communicate and educate through modern, word of mouth, social networking, and branding. Pleas read and contribute your thoughts to the discussion. Thanks. Tor Valenza aka "Solar Fred."
Comment 7 of 9
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July 7, 2009
Maine has just had 26 days of rain..you try selling even solar thermal in this market environment!
Comment 8 of 9
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July 13, 2009
great article and video, a very important discussion topic - It is a really tough one as education is the key, but it needs to be done in an affordable yet effective manner. I think getting into the schools and local governments is critical, awareness and education are the key.

More people it can be said are becoming aware of the benefits wind and solar power offer, I just think the momentum is just starting to build, so it may be a case of working smarter, not harder and the momentum will build on itself.

Scott from the domestic wind turbines hub.
Comment 9 of 9
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