Many entrepreneurs are now looking to get into a Green Energy business. In fact venture capitalist are funding an increasing number of Renewable Energy Businesses. One renewable business that is gaining traction is the small wind turbine business. If you are interested in selling wind turbines, you first need to know what is the potential market for small wind turbines. Who buys these things?
Starting with the users who require the least amount of power, we will work our way up the wind turbine food chain. The following is a brief overview of the various markets for small wind turbines.
Do It Yourself Markets
Owners of Sailboats and RV’s
This group is generally interested in wind turbines that are rated lower then 1,000 watts in generating capacity with wind turbine span of seven feet or less. These systems can be used in combination with a solar array to charge a battery pack. A system like this would typically power lighting and communication. Sales in this category would be typically to end users and people who enjoy doing their own work.
Cabin Owners and Off-Grid Homeowners
These systems are much like the systems above, only they are larger and produce more power. The market is generally the same personality profile. The person who would install a system like this is off the grid, does not want to be dependent on the power company and is in a rural area. As above these systems are usually a combination of Wind and Solar Electric Systems that are charging battery packs. The end user is self reliant and will usually do the installation themselves.
Full-Service Markets
Professionals Who Work from Home
These people often have large electric needs to power their lifestyle. They have the finances to install a top quality turnkey system. These people are usually not interested in doing their own work, but hiring someone else to do it. They not only want a high quality system but also reliable back up power.
Environmentally Conscious Homeowners
These people want to put their money where their values are. They are financially comfortable. They can fall into the category of doing the work themselves or farming it out to professionals.
Retirees
These people are looking to stabilize their monthly expenses. They are now or soon will be on fixed incomes and are concerned about rising utility costs. This group is not interested in installing their own Wind turbines. They will have professionals do the installation. Reliability is a high priority to this group.
Small Farms and Businesses
This group is very concerned about rising energy prices and is looking to a combination of renewable energy technologies to keep costs down. These people do not have any inclination to install these systems themselves and will be looking to contract out the work. Wind turbines for this group will likely be larger and much more complex then the turbines used in home systems.
Schools
This is a growing market and its concerns are the same as above. School budgets are tight and getting tighter. They are concerned about keeping their energy costs down and Wind Energy is one way to do it. In states such as Iowa and Minnesota, schools have installed these systems to cap energy costs. Schools will not only need professional installation but also maintenance and repair services for the life of the wind turbine.
Environmental Organizations
These organizations are looking to make a statement. What better way to do it then have a highly visible wind turbine installed at their location? In most cases these organizations cannot afford a full sized system but will opt for a larger homeowner type system. They will contract all the work out and not be interested in doing the work themselves.
In the last twenty years wind turbines have come a long way. The systems are now more sophisticated and are hooked up to computer systems. Operation of these systems often requires training from the manufacturer.
If you are interested in Funding a Renewable Energy Business a good place to start is www.thefunded.com. TheFunded.com is an online community of entrepreneurs to research, rate, and review funding sources worldwide. In addition, TheFunded.com allows entrepreneurs to view and share term sheets, to assist one other finding good investors, and to discuss the many facets of operating a business.
Momentum is building in this industry. With higher then ever energy prices and environmental concerns there is no better time to enter this industry.
