\ CHANGE FORTHE ^ BETTER with ENERGY STAR Products that earn the ENERGY STAR® prevent greenhouse gas emissions by meeting strict energy efficiency guidelines set bythe U.S. Environmental Protection Agency and the U.S. Department of Energy. www.energystar.gov North Coast Electric Company: Lighting the Way to Increased Sales and Profits with ENERGY STAR Qualified Fixtures North Coast Electric Company, headquartered in Seattle, WA, is owned and operated by the Lemman Family and has 31 locations operating in six states. Founded in 1913, North Coast is proud of their steady growth and attributes their success to consistently providing customers with the best products and services avail- able, including the latest in energy-efficient technologies, such as ENERGY STAR qualified lighting. North Coast has focused on energy conservation, mostly in the commercial sector, for over 20 years. In 2000, North Coast's Commercial Sales Manager, Joe Sacquitne, and Mike Miller, V.P. of Sales and Marketing, realized a growing demand for quality energy-efficient residential products was on the horizon and began exploring opportunities for growth in this sector. Six years later, North Coast is an ENERGY STAR champion electrical distributor reaping the benefits of increased profits and growth through the sales of ENERGY STAR qualified products. To sup- port that growth, North Coast employs a dedicated sales per- son, Tom Woltjer, to promote ENERGY STAR qualified products to their clients. Specifically, Tom's focus is residential builders. AEF5A The Bottom Line Through the efforts of forward thinking management and an aggressive, builder-direct sales strategy, North Coast Elec- tric Company sold over ten thousand ENERGY STAR qualified products in 2005. These sales earn North Coast a higher profit margin, provide the distinction of being a leader in cutting edge technologies, and produce happy customers - all contributing to the continued growth of the company. In 2004, North Coast purchased Alexander Lighting. This new addition to North Coast adds a dedicated element serving the builder market with an award winning 8,000 square foot, state of the art builder show- room in Seattle. The showroom features over 100 ENERGY STAR qualified products integrated into the displays. North Coast is reaping the benefits of increased profits and growth through the sale of ENERGY STAR qualified products. United States Environmental Protection Agency ------- Elements of Success Promotions: North Coasthas ENERGY STAR qualified residential light fixture displays in nine of their contractor counter areas to introduce builders and contractors to the products. As Tom says, "Even commercial contractors own a home and can relate to the product. Residential contractors need to be aware of the quality and beauty of ENERGY STAR fixtures because many have mis- conceptions that energy-efficient products are unattractive." The displays demonstrate the quality and beauty of the fixtures themselves as well as the light they provide. Signs throughout the display area deliver four separate market- ing messages: protectthe environment; save time; save money; and save energy. In addition, North Coast uses print and radio advertisements to promote ENERGY STAR: "We don't do windows; we don't do floors; we do lights. We do ENERGY STAR lights." Direct-to-Builder Sales Strategy: North Coast developed a successful, four-pronged direct-to- builder strategy resulting in over 1.000 homes being sold with ENERGY STAR fixture packages to date and many more expect- ed to be built in the coming year. Go to the Builder. North Coast aggressively campaigns to bring ENERGY STAR directly to the builders and developments rang- ing in size from twenty homes to several hundred homes per year. North Coast's large ENERGY STAR offering allows them to provide fixtures for any size and style of home. Understand Builder Motivators. North Coast recognizes that different builders have different reasons for participating in the program. Whether the reason is a corporate "Green" strategy, financial incentives, competitive advantage, progressive think- ing, or personal inclination, North Coast's approach is to show builders that North Coast has the right program, at the right time, with the right partners. Promoting ENERGY STAR lighting helped North Coast add more than five new builders as clients during 2005, thus increasing their overall sales. Provide Affordable Lighting Packages. Working with ENERGY STAR fixture manufacturers like Sea Gull Lighting, Progress Lighting, Technical Consumer Products, Thomas Lighting, Max- Lite, Juno, American Fluorescent Lighting, Maxim Lighting, and others, North Coast creates affordable lighting packages that meet the ENERGY STAR Advanced Lighting Package (ALP). Some of their builders offer the ALP as their standard offering, while others offer it as an upgrade. S-EPA United States Environmental Protection Agency Helpful Hints and Sales Tips • Use ENERGY STAR qualified light fixture displays in-store arid in model homes. • Promote the product based on inherent benefits including lower energy costs, fewer lamp replacements, and environmental benefits. • Sell directlyto builders. Make the Model Home a Marketing Center. Model homes are the best place to sell ENERGY STAR qualified fixtures. It is here that all the myths associated with fluorescent fixtures can be quickly dispelled. North Coast calls out ENERGY STAR qualified fixtures in model homes by using hang tags. In addition, for each lighting package proposed, North Coast provides energy-cost savings that the sales agents can provide to the home owner. Summary These efforts resulted in a 50% increase in unit sales of ENERGY STAR qualified products in 2005. The higher price points for ENERGY STAR qualified lighting lead to increased sales and profits for North Coast. With this success in mind, North Coast looks forward to the continued growth of their company by cre- ating more innovative ways to bring ENERGY STAR qualified products to their clients. For More Information.,. on the business opportunities for distributors with ENERGY STAR, visit www.ENERGYSTAR.gov. ------- |