[Greenbuilding] Energy Numbers

larencorie at axilar.net larencorie at axilar.net
Tue Jul 17 16:47:22 CDT 2012


From: Jessica <pipeworks100 at gmail.com>

> In my field, solar, the sales pitch is supposed to include
> the ROI analysis.  I think that defeats the purpose.

Hi Jessica;

If it defeats your purpose of selling a system, then either you
are doing it wrong, or you need a more cost-effective product.
I have known people who could sell Solar DHW systems to people
who had never thought of buying one, with a closing rate of 50%
and higher (in a cold, overcast climate). They accomplished it
by asserting the value of the investment, compared to what the
financial industry offers. The environmental, self-sufficiency,
and other emotional factors were subjective, and secondary to
the hard numbers.    People are going to feel what they feel,
abound the environment, regardless of what you tell them about
those things.   What they need from you is hard cold objective
money numbers to justify doing what they would like to be able
to afford to do. So, show them not only how they can afford it,
but that they would be throwing away money to not do it.  And,
leave the moralizing to them. Just commend them for it, and as
hard as it is to resist, do not out do them at it.    The sale
is not about selling your environmental opinions.  It is about
selling the way that they can afford to act on their opinions.
Very briefly sell your company, and let your knowledge (and
of course, your sincere smile) sell you to them. Focus on what
the system can do for them financially. It's all about selling
the system, by showing them how they can afford it.

  Remember the sale does not really start until the customer
says no.   That is their way of telling you what information
they need from you in order to make the right decision.  So,
listen carefully. Relieve their fears. Know how the numbers
will work with financing. Be fast and casual with your math.
Practice it, until you can do it forward and backwards, from
any point, half asleep, while carrying on a conversation ;O)
Know their current utility costs, before the appointment.
When you know, for sure, that you are doing them a huge
favor by helping them commit to buying, it gets easy.

> @252 calories,g per BTU, the human body may metabolize
> 100,000 BTU(2520 KG calories)/ day for as little as $2
> worth of food but if we ran on natural gas, we could
> sustain our bodies for only $1.20/day!

An average human, consuming a little over 2000kcal
(food calories) per day, is like a 100W light bulb.
(24hr x 100Wh/1.163 = 2064kcal(food calories)/day)
equivalent to about 2400x3.412 = 8190 let's call
it 8200BTU/day.   With natural gas at 60C/therm,
burned at 82% efficiency, 8200BTU/day will cost
about 6C/day, while an average American eats
food that costs over 100 times that much.

> But how would that effect our return on
> investment and what about the down payment!!!
> Calculation corrections are extremely welcome.

Sell against electric resistance water heating,
which including taxes, is often 15C/kWh or more.
That makes 8200BTU cost 36C instead of 6C, for a
much better ROI, and much easier sell. 40gal/day
raised 70F, with 80% Solar contribution annually
might save $50/year against gas, pretty tough for
payback, but if against electric resistance, it
might save $300+, and you can show a decent ROI,
compared to what the banks are offering. Focus
on customers who can get a real good ROI. Your
time is precious. Focus on the electric water
heater and propane market, big families with
money to spend.   Let someone else waste a
big portion of their time, trying to sell
against cheap natural gas.

 If the numbers look good for a customer,
and they still say no, stop them and tell
them that they are making a mistake to
ignore a far more secure investment, than
the obvious uncertainties of bankers, real
estate, and the stock market.     With the
recent debacle and betrayals, selling Solar
in a state with good tax credits should be
easier than it has ever been.  Just know
your math, and how to show the simple
financial advantage.  Leave the envir-
-onmental preaching to your customers.
Just agree, and focus on the numbers,
so that they can become doers, not
just talkers.

 -Laren Corie-
 Natural Solar Building Design
 and Consultation, Since 1975
 www.ThermalAttic.com

 Read my Solar house design articles in:
 -Energy Self-Sufficiency Newsletter-
 www.rebelwolf.com/essn.html

 Home base-LittleHouses YahooGroup
 http://groups.yahoo.com/group/LittleHouses/

 Founder-WoodGas - Power from wood
 http://groups.yahoo.com/group/WoodGas

 Founder-RefrigeratorAlternatives YahooGroup
 http://groups.yahoo.com/group/RefrigeratorAlternatives





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