Solar Heating Report — Fall 2009 Solar Showrooms
by Katie Rotella
December 20, 2009
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| Mindy and David Hammontree spared no expense to build
their solar showroom. They’re reaping the rewards through educated consumers. (All photos: © Katie
Rotella/Plumbing & Mechanical.) |
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Working displays educate dealers and
consumers.
It’s early September and
I’m driving a rental car through the drying fields of Indiana on assignment.
I’m scheduled to visit one of the fastest-growing solar distributors in the
Midwest — Solar Usage Now — to get a feel for where this whole solar thing
stands today and where it’s going.
But
as I reach my destination, I’m greeted by unfamiliar road signs warning me to
yield to horse and buggies. Where exactly is this
place? Even my GPS is unsure, but a call on my cell phone and directions from
Solar Usage Now Vice President of Business Development Tom
Rieker soon have me pulling into a parking spot in front of a
country store-like building.
Don’t let its quaint façade fool you; the Solar Usage Now headquarters is a
blending of traditional and cutting-edge. From its weathered, reclaimed barn
wood exterior — sporting working flat-plate collectors and evacuated tube
arrays — to its modern steel building out back filled with retail store
fixtures made by Amish workers, everything has a duality.
Inside the main facility, again, is the strange feeling of stepping into the
past and future at the same time. Various wood finishes, tin and corrugated
ceiling panels are juxtaposed to highly efficient mechanical systems on
display. Each sales office is filled with the modern amenities, yet I’m shown
into a conference room of painted-white built-in cabinetry.
It’s there that I meet the President and CEO Thom
Blake.
Things Explained
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| The country store-like façade of Solar Usage Now
is a blend of traditional and technology. |
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One of the first questions I have for Blake is about
the unique décor of his offices. What’s
with all the wood furniture? Turns out for the past 25 years Blake has been
designing and supplying high-quality retail store fixtures to big names like
Victoria’s Secret and Hollister. This Harlan, Ind., facility is his showroom
where store designers can walk through the “museum” of wood finishes, cabinets,
display tables and more.
Blake is keen on showrooms and product displays, which is why he suggests all
his Solar Usage Now dealers build their own showrooms. He explains it for two
reasons: One is to
familiarize yourself with your own product. “Unless you put in [a solar thermal
system] yourself, you don’t quite understand it,” he tells me. And two, once
the system and display is up and running, customers can come in and actually
see it in action, feel the warmth on the arrays and hear the mechanicals at work.
“Seeing is believing,” Blake says.
Building a strong, educated dealer network for the hand-picked brands of solar
components he sells is important to Blake as well. “If they’re not a dealer, I
don’t sell to them. I have to train people; they have to come in and understand
the process,” he explains.
Solar Usage Now originally had different owners in the early 1980s during the
heyday of U.S. alternative energy. Blake partnered with the company to install
solar thermal on his own home project — a renovated church where the coal bills
were getting out of hand.
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| Thom Blake, president and CEO of Solar Usage Now. |
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“I used that system for 15 years after I figured out
how to put it in,” he recalls. But in the meantime, energy costs came down and
federal funding dried up. When it came time to replace his roof and update the
system, Blake found the original Solar Usage Now had gone out of
business.
After reading a Wall Street Journal article about
the widespread use of solar in China, he saw the tides turning once again. It
was through that article he discovered the Apricus brand and immediately began
to educate himself about the products.
“I realized that solar is in its infancy,” Blake says.
Blake told Rieker that in addition to retail fixtures, he would sell solar.
After Rieker made contacts through Ohio school facilities and engineering
firms, the company discovered a
renewed interest in solar. Blake became a U.S. distributor for Apricus after
reviving the Solar Usage Now name for his own use and ordered the collectors he
needed to get started. However, no one knew how to install
them.
It was time for this former high school teacher to start educating contractors
on the business of green technology.
Slow And Steady
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| Plant Director Elmer Lanagher and his team link S.U.N.
Equinox systems together, pressure-test them and ship to dealers for
plug-and-play installations. |
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Solar Usage Now designed a solar catalog, filled it
with the tested and proven systems and
components the company felt proud to stand behind, and began to build its
business. His team, which includes Plant Director Elmer
Lanagher, Blake’s son T.J. and
former student Randy Straka, improved the catalog
and demand continued to grow.
“We have to be careful to not grow too fast. What’s happening right now is I’m
getting people who want me to quote things every single day,” Blake says.
It’s not that he doesn’t want the business, but for him the proper channels of
distribution have to be there.
“I think we’re finding people outside the dealer network starting to hear about
us, but we want them to become a dealer,” Rieker notes. “We want to grow this
thing slow and methodical, and make sure we’re involved in every installation,
that we have a trained and qualified person — and a quality
person — because what goes around comes around.”
The current Solar Usage Now list of projects is lengthy. There’s university
dorm rooms, laundromats in Chicago, community school pools in Fort Wayne, Ind.,
a California winery,
fire stations, police academies and low-cost housing.
“The list goes on and I have even more to price,” Blake says. “What we’ve done
here is set ourselves up as a distributor of fine products, but we can also
provide design services and
stay on the cutting-edge of things.”
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| The Hammontree storefront is a mid-century treasure
from the early days of appliance showrooms. Now it houses modern appliances and
solar/hydronic systems. |
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Blake is not shy to admit his goal is to be the
biggest solar thermal distributor in the country. But he wants to be more than
just somebody that sells you a product and says, “See
you later.”
His close working relationships with his dealers are strengthening the solar
channel every day. Like his collaboration with David
Hammontree of Ohio Radiant Floors in Wauseon, Ohio. Hammontree
and wife Mindy are Solar Usage Now dealers and
have, in Blake's opinion, a solar showroom done right.
“Dave didn’t spare any expense. He’s done everything he can to show people what
he can do with solar and was willing to make the investment to do it,” Blake
says. “You go there and he convinces you that he knows what he’s talking about.
And he does.”
On To Ohio
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| The solar side of the Hammontree showroom. |
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I’m
soon back on the road following Rieker east into Ohio to meet with the
Hammontrees. What I find is another unexpected pleasure: Main Street USA with
an alternative energy twist.
The Hammontree storefront is a classic, mid-century appliance store, left over
from the days Hammontree’s father ran the business, selling TVs, radios and
other home appliances to
the townspeople.
A closer look in the window, however, shows a piped hot water system, a solar
array soaking up the noonday sun and various other hydronic products on
display.
“It all goes back to educating people,” David Hammontree says. “People that are
educated understand [solar] and they’re the ones stepping up and purchasing it.
So if I educate people in this area, they’re going to buy.”
He admits progressing into the solar business reminds him a lot about getting
his feet wet in the radiant floor market. “I feel we’re at least three years
ahead of the competition. I look at
them like I did with radiant; it’s going to be a while until they catch
up.”
Hammontree extends his education of the masses to include his fellow
contractors as well as inspectors. He teaches classes and answers questions
whenever he can.
“Inspectors are hungry to find out [about solar]. We’re going to teach them and
show them what can go wrong if [systems] are not inspected, because they just
don’t know at this point,” Hammontree explains. He thinks the industry could
die unless inspectors learn how to evaluate these jobs and get rid of the “bad
guys.” “Now that it’s all starting to boom, they’re going to have to know. And
they will.”
Next Solar Wave
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| Hammontree displays all the components a solar project
might need for increased efficiency and reduced utility costs. |
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What
Hammontree, Blake, Rieker and the others really want
to do is bring the average solar system down in price to where it’s more
affordable.
“We don’t want solar to be just for those people in that upper income bracket,
because the people in the lower income bracket are the ones that need it the
most,” Hammontree says.
Ohio Radiant Floor is spreading its wings with each install, especially through
local advocates like John Selz, who is asking
neighbors in his high-end property development to set an example of alternative
energy.
“I think that’s what’s going to do it; the more jobs we sell, the more we’re
going to find a better way to reinvent the wheel to where we can get the price
down,” Hammontree says. He and Solar Usage Now are also gearing up for
increased demand from recently passed Ohio legislation.
Selz is following the “Berkeley Model” of funding for green projects, in which
a set of property owners band together for a revenue bond. Then the revenue
bond pays for all
the solar installs and those property owners pay back the bond through their
property taxes over the next 25 years. Monthly out-of-pocket expenses would be
small compared to a lump-sum investment.
“This way, homeowners won’t have to put the money up front,” Hammontree
explains. “And if they’re saving so much in energy a year and only paying this
much more on their property taxes a month, then it’s really not that much more
out of pocket. That’s what’s going to make things really
go.”
Another plus to increased installations is a more streamlined, simple
execution. “It’s solar, not rocket science. Simple is important,” Blake
says.
The products in Solar Usage Now’s catalog aid in efficiency and simplicity.
Besides Apricus, the company has the right to sell Germany’s Rotex tank (which
goes by the American
name S.U.N. Equinox), as well as Solar Hot and Caleffi products.
Blake believes the Rotex Sanicube is going to change the way people heat their
homes. “It’s more than storage; it’s a heating system,” he says. “We’re capable
of heating all of the domestic hot water and all of the radiant floors as
well.”
By adding one mini solar collector, Solar Usage Now can heat a
2,400-square-foot house — an average home — with one footprint at 93 percent
efficiency.
“It’s coming this way,” Blake says. “I think it’s going to be big. And I think
the people who are going to be successful are the ones with the showrooms and
the ones who are willing to get educated and stand by their product. That’s
what we want to do; we want to supply good products to those people.”
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