SnapCount Insights

The LED lighting revolution has been excellent for retrofitters, building owners, and anyone who values energy efficiency — but there have been a few downsides for those tasked with product information management.

The pace of change in the commercial lighting market nearly matches the breakneck speed for which the microchip field is notorious. Lifecycles, efficacy, and performance are improving at such a rapid rate that the industry can barely absorb all the product information coming at it.

Many energy service companies (ESCOs) and contractors aren’t set up for this challenge. Simply maintaining a catalog and parts list almost requires a full-time person.

Lighting retrofit companies have two basic options when it comes to commercial energy audit software. You can either develop your own software or purchase software from a third party.

The do-it-yourself route does have a certain appeal. When you develop software in-house, you can tailor it to your firm’s specific needs and workflow — in theory, anyway.

In a recent report, “Building a Connected Business,” the National Association of Electronic Distributors (NAED) wrote, “Digital transformation goes beyond technology to reflect a mindset of constant innovation, fast decision-making, and the integration of technology into all phases” of an electrical business.

Frank Agraz would agree with that definition. And he knows what it means for the future of the lighting industry.

America may have as many as eight parking spaces for every car, and a large proportion of those spaces are contained in corporate parking structures.

Considering the average parking space consumes 180 square feet of space, plus additional square footage for entrance and egress, parking garages may represent one of the most significant—and overlooked—opportunities for LED lighting retrofitters in the market.

You’ve completed a thorough audit, compiled the optimal solutions, and generated an attractive proposal that makes the lighting retrofit project a no-brainer to the customer. But there’s one obstacle standing in your way – the prospect isn’t ready to commit to a large capital expenditure.

As an LED lighting retrofit business, the current economic and labor climate is ripe with opportunities. The demand for what you do is high…and the number of people who can claim your skill and experience is declining.

But for smaller firms, how can you insert yourself into larger projects that cover multiple sites, include a lot more than lighting and carry price tags in the tens of millions of dollars?

One way is to partner with one of the “big fish” in the energy efficiency pond: an Energy Service Company (ESCO).

Energy audit software comes in many shapes and sizes, from bare-bones apps to multifeatured platforms. (Or, some lighting retrofitters choose to cobble together their own solutions using spreadsheet software like Excel or Google Sheets.)

The differences between auditing tools – in terms of capabilities, usability, extensibility, support, and other factors – can be vast.

So why is it that, when conducting an energy audit software comparison, so many lighting retrofit businesses focus almost exclusively on cost…instead of value?

A single enterprise customer can provide a commercial lighting contractor with a steady stream of LED retrofit projects – and revenue – for years to come.

But landing deals with enterprise customers takes a lot of patience, tenacity, and a strategic mindset—most large corporations have painfully slow and rigid sales cycles. Not only are you often several steps removed from the person holding the purse strings, but your lighting retrofit project must also compete against some of the biggest players in the industry.

It’s a tall order … but far from impossible.

For many retrofitters who aren’t using a lighting project management software, the old standby for tracking project management is the spreadsheet.

But while spreadsheets are comfortingly familiar, they’re not built for the purpose of project management – and this can lead to errors and omissions that impact the precision of audits and the profitability of projects.

It would be impossible to accurately predict where the LED lighting industry is going in the next few years without first looking back at the unprecedented period of disruption we’ve just experienced (and, in some ways, are still going through).

When we gathered four leading LED industry insiders for a lighting retrofit roundtable during Retrofit Showcase 2021 (a virtual conference this May sponsored by SnapCount), the official topic of conversation was what lies ahead for the rest of 2021 and beyond.

And as it turns out, there’s reason for optimism.