Poll: Prospects Good for the US Solar Industry

The 2009 U.S. Solar Industry Monitor is an opinion poll conducted by Droege & Comp., an international management consultancy, and Gibbs & Soell, an independent global public relations firm.

Nearly 100 professionals representing key areas of the solar business value chain participated in the poll. Highlights of the findings include:

• The majority of participants forecasted growth for their U.S. businesses in 2010 (92.6 percent) and 2011 (95.1 percent). Many expected to register a growth rate of more than 25 percent in 2010 (37.3 percent) and 2011 (55.0 percent).

•  The majority (64.9 percent) indicated the recession has not had a crushing impact on the U.S. solar industry, which has dealt with economic challenges in a positive manner.

•  Respondents identified the main obstacles to growth as the lack of financing (81.8 percent), little support from utilities (62.9 percent), lack of customer knowledge (61.3 percent), and insufficient level of incentives (59.1 percent).

•  Awareness and differentiation are important in the nascent solar industry. To create demand in the coming year, 82.9 percent report that sales and marketing communications will be stepped up.

 “The U.S. solar industry is positioning itself for a sales upswing in 2010 that could pave the way for aggressive expansion in the years beyond,” said Sebastian Goeres, a renewable energy specialist with Droege & Comp. “Competition is fierce, and players compete mainly via cost. We see the need for leading companies to improve their operational costs and to put more emphasis on their strategic plans.”

In anticipation of strong demand and harsh competition in 2010 and 2011, 60.2 percent of respondents said they will boost their U.S. supply. Approximately half of those polled will increase their assembly/production, while 38.6 percent will go about expanding market share via transactions, such as joint ventures, mergers or acquisitions.

Increased communication was also cited as a strategic priority, and references were made to a wide array of traditional, digital and social media techniques and platforms.

More than 25,000 solar industry professionals will participate this week in Solar Power International 2009, the largest business-to-business solar trade event in North America.

“This is clearly a pivotal time for solar companies to gather together at Solar Power International,” said Julia Hamm, executive director of Solar Electric Power Association, the organization that helps put on the conference.