HVAC Breaking News

Nov. 8, 2006: Survey Says Most of 10 SEER Inventory Installed

ST. LOUIS - Emerson Climate Technologies has announced that its most recent HVAC industry survey shows that the majority of 10 SEER inventory has been installed.

The survey, the fifth installment in a series of 13 SEER market surveys that Emerson Climate Technologies conducted in 2005 and 2006, asks HVAC contractors and distributors across the industry questions to gauge their awareness, planning, actions, and concerns regarding the 13 SEER regulations. The purpose of the surveys is to help provide an accurate picture of the market's transition.

The most recent survey shows that 77 percent of 10 SEER inventory has been used up. The survey also indicates a prediction that 97 percent of 10 SEER inventory will be used up by the end of 2006.

"Some contractors communicated through the survey that they had stocked up on 10 SEER inventory in anticipation of the 13 SEER transition," said Karl Zellmer, vice president of air conditioning sales, Emerson Climate Technologies. "Their primary reasons for holding onto this inventory include staying competitive in case the competition stocks up on 10 SEER inventory, having prior new-construction commitments, and having some special needs applications."

The survey also provides insight into the 13 SEER market trends regarding system repair and replacement for end users with less efficient systems. According to this most recent Emerson 13 SEER survey, 48 percent of contractors are repairing systems more than they were in 2005. The primary reason for this increase is that repairs are more cost effective than system replacement. Fifty-seven percent of contractors surveyed said that the driving force for repairs is the lower upfront cost.

The survey also provides information regarding end users' 13 SEER buying trends, showing that contractors are successfully upselling to 14+ SEER systems.

"Some industry leaders thought that the high-end market would shrink substantially with the implementation of 13 SEER regulations. However, this survey shows that the demand for 14+ SEER systems is surprisingly high," Zellmer said. "There is a strong end user demand for highly featured deluxe products, which 14+ SEER systems are able to provide."

The fifth 13 SEER survey is a part of the wrap-up to Emerson's Get SEERious campaign, designed to educate contractors, distributors, and homeowners on 13 SEER and help provide a smooth transition. To view the complete 13 SEER survey results, or to request a copy of the Get SEERious educational booklet, visit www.emersonclimatecontractor.com.

Publication date: 11/06/2006

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