Three Steps to Achieving a more Profitable, Referral-based Solar Business

Handshake by Quinn Dombrowski via (CC BY-SA 2.0)

Handshake by Quinn Dombrowski via (CC BY-SA 2.0)

Customer acquisition is a tough nut to crack for many solar contractors. But by looking at what strategies have worked over time, we can determine some best practices to lowering customer acquisition cost, building a referral-based business and moving closer to achieving profitability.

Non-referral strategies and the growth of residential solar 

Non-referral customer acquisition strategies (content marketing, telemarketing, providing a proposal before an in-home consultation and canvassing, for example), have resulted in tremendous growth for residential rooftop solar installers—about 53% in the residential sector since 2005, according to SPV Market Research.

But what is the cost of that growth? High growth rates of 50, 60 or 70% are great, but they also require putting a lot of money into generating non-referral leads. It’s important for contractors to strike the right balance between growing and staying profitable.

Want to find out the three steps? 

Read our article on Solar Power World.

Posted on January 9, 2017 and filed under operations.