Integrated Green Home Technologies Grow Margins
by Lisa G. Matthews, CTS

It’s a win, win: the builder, the electronics systems contractor (ESC), the new homeowner and the environment all win with green home technologies. Just like that familiar green arrowed triangle that has come to symbolize the life cycle of all things “green,” a properly designed, integrated home technology system can generate profit for the builder and ESC, and long-term savings for the homeowner, while conserving energy and reducing waste.   

Some see it as an opportunity, others as a necessary evil. But the bottom line is that homes that offer integrated home technologies, or at least pre-wired to provide for it, are in greater demand than those that don’t. Potential home buyers are requesting that their new house offers the latest in home automation. They understand the value added to the investment, and the expenses associated with having to add it later. Going beyond incorporating home automation to offering green home automation gives the builder an even greater competitive edge in this challenging marketplace. Green elements include lighting control, motorized shade and drape control, integrated HVAC and even automated control of fountains and pool pumps. The Consumer Electronics Association’s 5th Annual State of the Builder Technology Market Study conducted with the National Association of Home Builders has found that “Lighting Control is now the fastest growing of all home technologies” and that “Home builders appreciate the products’ design and lifestyle appeal to homebuyers.” The study also identified “Lighting Control as an important differentiator in the marketplace” and that the “Energy savings benefits of lighting control are increasingly important.”   

Green points to ponder:

• Dimming lights by just 10% to 20% can significantly reduce the electricity costs in the home or office while reducing CO2 emissions, which contributes to bulb life and ultimately, a reduction in waste. A whole house lighting control system exponentially increases the savings.
• Light-level sensors enable daylight harvesting for automated lighting and drape control. Shades and drapes can best utilize or restrict sunlight.
• HVAC control can monitor motion sensors and thermostats to make adjustments according to time, occupancy and humidity.
• Systems can be accessed remotely, offering control of lighting and thermostats via the internet. 
• Integrated systems operate efficiently, replacing multiple products and ultimately consuming less power.
• Green features increase a home’s value and marketability.

While each of these features offer energy savings and contribute to LEED points, their true value is, thus far, unrecognized. Their efficiency increases when they are integrated together, functioning as one. This is what the homeowner will soon come to expect. This is the standard that builders and ESCs together can establish and embrace to better meet the expectations of the client, create an “edge” in the marketplace and stimulate sales and generate margins. 

The builder isn’t expected to be the integrated home technologies expert – count on the ESC’s expertise to provide the most current technology and keep up with the latest tech trends. Form a business alliance with a certified ESC to develop strategies and packages that best suit your clients’ needs and budget, taking into consideration the impact on the market value of the home. Together create comprehensive structured wiring packages that include uncomplicated distributed audio, video and home theater options while considering future technological needs, such as smart appliances and media centers. Insure these designs incorporate “green” upgrades such as HVAC, lighting and shade control. The ESC can provide manufacturer literature and Web links for each of the technologies that have been integrated into the system, while demonstrating to the client the long-term benefits and cost savings of going green. The client gets the technology he has grown to expect, with the added benefits of energy-conscious features and has the ability to include the costs of his investment into his mortgage. The builder and ESC in turn create additional income and customer referrals. It’s eco-friendly and profitable! 

CEPro reveals 12% of home technologies that consumers are willing to pay more for are products viewed as environmentally-friendly. This trend is emerging. The fact is, from production houses to custom homes, we all benefit. Your competition will be green, with envy!

About Lisa Matthews: Lisa Matthews holds a CTS (Certified Technology Specialist, InfoComm International) and is a residential systems designer.  She is the VP of Marketing at Total Audio Video Systems, Inc. (TAVS), headquartered in Sunrise, Florida, serving the south and central Florida markets. An NAHB member and advocate of NAHB’s Home Technology Alliance (HTA), she combines her knowledge of integrated systems design with her marketing skills to provide packaged AV solutions to home builders. Lisa also works alongside her husband Gary, the company’s COO and fellow Custom Electronic Design & Installation Association (CEDIA) member, on business development. She and Gary live with their three daughters in Sunrise, FL. She can be reached at lisa@TAVSinc.com or www.TAVSinc.com.

 

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