5 apps you can use

5 -  White Rodgers Mobile (store search wrmobile) – one of the industry’s most powerful cross reference tools available at your fingertips.  Cross gas valves, ignitors, and ignition modules from OEM parts to universal replacements. 

4 – Emerson PT Pro (store search ptpro) – superheat calculator for 20 of the most common refrigerants, including several retrofit blends link R407C

3 – Grundfos Go (store search grundfos go) – where this app shines in the residential and light commercial world is twofold.  1) all the grundfos catalogs are built into the app, so you can see pump specifications and pump curves.  2) the replace option.  type in the pump you have in the field, get a cross reference for the pump you need.  There is also a sizing tool for pumps beyond the small wet rotor styles.

2 – Fluke Connect (store search fluke connect) – I cannot do justice for all this app can do.  Here is a short video that talks about the Fluke Connect (as well as instructions on how to get a 20% rebate on a Fluke Connect tool)  http://tinyurl.com/flukeconnect    

1 – Johnstone OE Touch (store search Johnstone oe) – real time pricing, real time availability, pictures, specifications, transaction history and account balance, ordering all the way until midnight for shipment the next day.  Our app does it all.

BONUS:  its not an app, but direct your mobile browser to mobile.goodmanmfg.com for warranty lookup, parts searches, product registrations and more.

Have a different app that should be on this list, let me know.

Also, we still have a few spots left in our Geothermal Applied Service and Installation class coming to our Grand Rapids location this Wednesday and Thursday.  $99 for both days of NATE approved training (16 CEU).  Call with questions

trainings, free lyric opprotunity, and another geothermal thought

TRAININGS:

In the next 6 weeks we have 3 classes coming up that I want to highlight for you: 

August 6 & 7^th – Geothermal Applied Service & Installation - $99 – Instructed by Jeff Johnson from Tetco

This two-day seminar is geared towards installation and service technicians who already have a basic understanding of HVAC systems and refrigeration.  Topics include packaged unit installation, split systems, water to water units, combination units, controls, operation and troubleshooting, flow center installation and flushing, equipment start up, performance checks, servicing the system, and refrigeration system troubleshooting.  Cost includes geothermal service tools, training materials, and lunch.  Class qualifies for 16 NATE continuing education hours.

                                Class is at our Grand Rapids Training Facility and is all day from 8a-4p both the 6^th  and 7^th.

August 22^nd – Michigan Mechanical License Prep Class - $199 – Instructed by Ken Corwin

Emphasis:  Prepare for the law portion of the exam; Construction Code Act; Forbes Mechanical Contractors Act; International Fuel Gas Codes for gas piping and vent sizing; become comfortable with the Mechanical Contractors Code book; using formulas, charts and tables in the ACCA Manual D; ad go over basic heating and cooling exam questions to find your strengths and weaknesses. 

                                Class is at our Grand Rapids Training Facility and is all day from 8a-430p

August 26^th – Hands On Basic HVAC Electrical - $59 – Instructed by Dallas Strong from Johnstone

Learn how to use wiring diagrams as an effective service tool.  Series and parallel circuits are discussed.  Symbols used on wiring diagrams are reviewed in detail.  Circuit components, their characteristics, what they do and how to check them is also covered.  Hands on exercises will be included.  You will need to bring the multimeter that you use in the field to class with you for the hands on learning portion.  Class is limited to 12 students.  Class qualifies for 4 NATE continuing education hours.

                                Class is at our Grand Rapids training Facility and is from 730a-12p

On a side note, NATE (North American Trade Excellence) is a way to differentiate your company as well as to set a standard that your can hold your employees to, both leading to increased profit.  You can learn more at natex.org

FREE HONEYWELL LYRIC OPPROTUNITY:

Honeywell wants to get its latest, greatest product into the hands of contractors, so they are giving 1,000 of them away.  All your company needs to do is complete two online training modules and be signed up for the Contractor Pro Program (you will need your PRO # to get the free sales kit).  Head over to http://www.forwardthinking.honeywell.com/lyrictraining and get the videos completed as soon as you can.  If you want a refresher of my thoughts on the Honeywell Lyric, head this way: http://jswmi.blogspot.com/2014/06/technology-is-ready-to-revolutionize.html

ANOTHER GEOTHERMAL THOUGHT:

                There was some really great feedback from last week’s email about where Geothermal can fit into your business.  Most of the questions had to do with the payback of Geothermal in comparison to a Dual Fuel Air Source Heat Pump system.  One of the tools that we have used for a very long time at Johnstone to assist our contractors is Wrightsoft and their Cost Analysis feature.  (We can help you with these or teach you how to do them once you buy the program)

In order to compare the systems side by side I fabricated a house with a 60,000 btu heating load and a 3 ton cooling load.  With LP cost of $3.00 a gallon and an electrical rate of $.15 per kW we would be looking at something like this on a typical year.

The Base System is a new 13 Seer AC that would run $3000 installed.  Investment 1 is a 13 Seer ASHP tied into their existing 92% furnace for a dual fuel system at $5000.  Investment 2 is an open loop water to air geothermal at an install price of $12000.  Investment 3 is a closed loop geothermal, complete with loop field, at $25000.  Our cooling load is 3 ton, so all these systems are 3 ton systems.  (I personally do not suggest over sizing any heat pump more than 25% than the cooling load allows)

The Costs and Returns fields are the ones that I am hoping you are noticing there.  Those are the costs for one typical year.  In the Returns section, the Payback is the amount of time it will take to recoup the difference between our $3000 ac system and the other option we choose.  ASHP, only 1.5 years to recoup that.  The $22000 between a closed loop geothermal and the base system, just a smidge over 6 years…and that is without any tax credit figured!

So what does that look like over 15 years?  Glad you asked

A closed loop geothermal will only save $58,000 in 15 years over an AC system.  And if we are only half right with this, we still would save a homeowner nearly $30,000 over what the life of their AC system would be.

The numbers are staggering when we slow to think about them.

where does geothermal fit into your company

Where does geothermal fit into your company?

I made 9 stops today with my Tetco rep, and that essential was the question we were asking.  Some people are well entrenched in the geothermal market, some offer a price up when asked, and others choose to focus on other facets of the industry.

Which approach is the right approach?  All of them could be, it really depends on where you want to focus your business.

Right now, geothermal is making good money for the companies involved with it.  It is that in mind that I ask a second question.  Where CAN geothermal fit into your company?

The truth of the matter is that I was asked these same questions today and with a little bit of prodding I began to easily see some opportunities that I missed out on earlier.

Starting the day out today, I fell into the "ill know about geo and give a price when asked" category.  Its sort of odd really, because since LP cost hit $5.00 a gallon this past February I have been pushing dual fuel systems hard because the payback just makes sense for us to offer it, even if we are there for a simple repair on a system and LP is present.

But the money saving potential that is true with a dual fuel system (they cut LP usage by a 1/3 on average) is doubly true with geothermal.  Yes, the average user can cut their LP bill by 2/3 when switching to geothermal!

My challenge for the week is a simple one, and can be done by everybody fairly easily:  when giving a quote, any quote, provide a quote for geothermal as well, every time.

With Tetco, not only do we have all in one packaged units, but we also have a split system offering.  You can sell your furnace like you always have (even if it is that Carrier, Bryant, or Trane label) but when you are talking the cooling side, you can offer a tax credit eligible system by using the Tetco coil and the Tetco split system.  They have indoor and outdoor series, so we can make all applications work.  With this combination you now have a duel fuel system where we are a geothermal heating and cooling system with a propane backup.  (By the way, that 30% tax credit has no cap limit and is good for second homes as well.)

My suggestion if you are going to take me up on my challenge, dont just show them the cost difference of the product today, but give them a picture of the total system costs, including fuel, for 5,10, and 20 years.  We can do this with Wrightsoft for you, or there is a program offered by Tetco that can help as well.

I believe that geothermal CAN fit into your business and it can help your net profit increase as well.

Technology is ready to revolutionize our industry

“Technology doubles every ten months.”  These were words that were spoken by my CIS120 instructor, Mr Miller…in 2001.

There have been many great innovations released since those days that we use every day of our live.  Take the smart phone and other mobile devices (there are 1.8 mobile devices for every person in the US according to a statistic from Honeywell), Bluetooth, OnStar, HDTV, Kuerig coffee machines, the emergence of podcasts and social media.  The list could go on and on, and would be staggering if we sat and thought about all the changes in the last 13 years alone.

Our history with being the first distributor to offer many technologies to you, first to have a barcoded warehouse, first to offer online web ordering, first to offer a mobile app with real time ordering, pricing, and availability, first to barcode your warehouse for even easier ordering.  It just makes sense that we will continue to embrace technology and delivery it to you.

And in the past month alone, I have seen products from 3 vendors that will revolutionize our industry because of their technology that I want to make sure you are aware of.

Product #1 – Imperial’s iManifold

The iManifold uses a smartphone or tablet as the user interface to make the process of troubleshooting, charging, reporting, servicing, and assessing equipment performance faster and easier.  Why else go with the iManifold for your company?  Remote Communication.  Remote communications allow a service manager, factory support, or other technical support to see the readings from the device in REAL TIME.  You can find more about it at http://imanifold.com/ or order yours today by ordering part number 900M and the 902-M Thermistor.

Product #2 – Fluke Connect

Fluke has entered the world of wireless as well with their Fluke Connect platform.  The HVAC kit includes a wireless multimeter, a wireless temperature module, and a wireless clamp meter.  And they are not just wireless!  Just like the iManifold, the Fluke Connect makes it easy to share what you are seeing with anybody through their app.  Just ask for the 3000HVAC.  More info can be found at http://download.fluke.com/fluke-connect/EN/USEN/index.html

Product #3 – Honeywell Lyric

I have always been a fan of thermostats that have allowed remote connection.  I had the first ecobee in West Michigan.  I love the value that the White Rodgers Sensi thermostat provides us.  And the way you can customize your application with the Honeywell Redlink product line is nothing short of amazing (and to be able to do it with 2 wires, or even better, WIRELESSLY).  But thanks to a little extra technology Honeywell’s latest creation, the Lyric, has my attention.  Utilizing Geofencing, the Lyric stays in home mode when any of the connected smart phones are in the radius and goes into energy saving mode when all the smart phones are away.  There are a few other bells and whistles, but that feature is what is going to help all its users leave the hold button alone.  Considering the Nest sold about 400,000 thermostats in 2013, we should be able to make some noise with this great innovation.  Here is a little video to push out in the social media world.  https://www.youtube.com/watch?v=2ZIlYgvLmqo

You can find out a bit more at http://www.forwardthinking.honeywell.com/products/thermostats/lyric_product.html or http://lyric.honeywell.com/

All these products are available now, ready to change the way we go about business.

johnstoneuniversity.com

We at Johnstone have always been proud of the trainings we have offered, and it is with that same great pride that I want to (re)introduce you to our online training presence.  We have recently rebranded our “JU Online for Contractors” as Johnstone University.

You can register by company or individual at www.johnstoneuniversity.com

Some of the advantages include:

·        Keep technical skills current with FREE product courses

·        Win more jobs by maintaining NATE or State certifications

·        Stay safe and stay productive with safety courses

·        Stay compliant with laws, regulations & standards with compliance courses

·        Increase revenue per job with Opportunity PLUS

·        Improve profitability with the Street Fighter Series

·        Track training & earn incentives

·        Explore new courses added monthly

There are literally hundreds of free trainings available, and some of these free trainings will pay you “blue bucks” which can be redeemed for gift certificates.  Rounding out the offerings are many business classes and NATE accredited courses that have a fee associated with them.

I suggest the individuals sign up so that everybody can have the chance at earning those blue bucks as well as keep a record of the courses they have passed.

Feel free to call me with any questions as you look over the greatness that is www.johnstoneuniversity.com  

What is your market share?

What is your market potential?

According to a statistic given during our New Path to Profit class the residential market potential for Michigan (less Detroit) is $295 per capita. 

We can find our market potential by multiply that 295 number by the population we serve. 

For example, say you serve only Muskegon County. Muskegon County had a population of 170,182 in 2012.  That means your market potential would be 50,203,690 anually. 

Interesting, huh?

Want to figure your market share?  Take your total sales divided by your market potential. 

2 million in sales means you have 4% market share. 

B D R

I am excited for the New Path to Profit Business class powered by BDR that we are offering to our Heil and Goodman dealers. 

That is all. 

My 10 year old gets it

Tonight I went to lock up the shop after a training session with a Goodman trainer.  There was one contractor left talking with the trainer, myself, and my 10 year old in the room.  Conversation moved toward job prices and profitability. 

Mike, the Goodman trainer was still pouring out all sorts of knowledge but there was one story he told of a friend of his that was looking to have his house painted. 

It goes something like this:

The friend gets a referal from another friend. 

Contractor comes out, bids the job and gives his price. 

Mikes friend asks him if he was making money or just getting by. 

Mikes friend challenges him with this observation:  much of your business is referral, on your next quote double it and see what happens. He hooked him in by volunteering to pay the "normal" price if they didn't buy. 

Story goes on that the first quote didn't even balk at the price and asked him when he could start. 

The contractor was shocked but pleasantly surprised. And was excited!

So excited that the next house, he tripled the price he would have asked for at the beginning of the day. And the home owner asked, when can you start. 

Bedtime rolled around and I was sitting with Ryan.  He had just listened to some intense industry conversations and I was curious what all he picked up (truth be told, all us dads want our boys to follow in our footsteps, right?)

Here is what stuck with Ryan:

Dad, if that painting guy could triple his price and still get jobs, he was way too cheap. 

VOC's are nasty

VOC's are nasty...they affect every major body organ. 

VOC's are nasty...they are carcinogens, also known as cancer causing agents. 

VOC's are nasty...what are you going to do about them?

March Training Highlights

Over the next 6 weeks we at Johnstone are offering a variety of classes that we are pretty excited about.

MARCH 6 – Honeywell Jade Economizers – Muskegon – 1p-230p - by Honeywell.  This FREE class is designed for installers and service contractors that will be touching economizers controls.  This newer economizer is quickly becoming the standard in new equipment.  Come learn from Honeywell the ins and outs of their control.  As an added bonus, they are give you a $25 gift card for your time!  There still are some spots for this class but this is the last call.

MARCH 12 – Practical Approach to Residential Duct Sizing – Grand Rapids – 1p-4p – by Russ Ihme.  This $49 class is designed to challenge and sharpen the ideas you have about air distribution.  Topics include the relationship of fittings to static pressure, equivalent footage, effects of flex duct, and the advantages/disadvantages of sealing and insulating your ductwork.  This class is ideal for installers, service techs, estimators, and replacement sales staff.

MARCH 19 – EPA 608 Certifiaction – Grand Rapids – 830a-4p – by Johnstone Supply.  This $129 class will help give you that crash course before the EPA certification test at the end of the day.  Retakes are available for just the afternoon session as well.

MARCH 24 – Factory Training at Generalaire – Novi – All Day – by Generalaire.  There is very limited space for this event at Generalaire.  The training at the factory is designed with the sales staff in mind.  In addition to the plant tour we will focus on humidifying, and why it is better with steam, and uv light technology.

APRIL 1-3 – Factory Training at Tetco Geothermal – Greenville, IL – by Tetco.  The $249 cost of this class per person covers all training and transportation.  The course outline calls for deep training on geothermal systems, hands on troubleshooting, and closed loop servicing.  16 NATE CEH available for this course.

Do you have a training class you would like to see?  Email myself or Karen Poland kpoland@jswmi.com and let us know.

Have a great day!

White Rodgers Sensi Introduced today

Today, I traveled with the White Rodgers rep introducing their new Sensi thermostat.  It was an exciting day and here are some things we learned:

The main selling points that contractors found today was:

1 – no common wire so that install is easier than others

2 – customizable literature that allows us to put a price on a sale sheet to make it very easy for service guys to talk about this new product

3 – the app is pretty cool.  I mean, it turns red and blue when the system is heating and cooling. 

4 – its not at the box store so the contractor wont be accused of overcharging the homeowner for installing it. (this was from the contractors mouths, not ours)

5 – the hot price.  Normally $130 each would mean 6 is $780 under normal purchase.  We are giving a hot price of $600 for that same 6 lot, its almost like getting 2 completely free stats.

So, where does this leave the Honeywell Wifi, Honeywell Redlink, and Ecobee product?

In my opinion, it leaves us in a very nice spot.  I had a contractor ask me straight, you just talked up the Redlink and I put one in my own house this weekend, why are you bringing this to me?

So, my thoughts:

The Honeywell Wifi product with a 6000 series ($110), an 8000 ($150), and a 9000 ($210) fits in our offering for those guys that are Honeywell loyalists.  There are not many of them, but this offering is for them.  The difference between the Honeywell Wifi and the Sensi is that we need a common wire with the Honeywell Wifi offering and we have tiered offering, meaning we can give them a “pretty” thermostat.  Honeywell is developing a t87 style Wifi stat to round out this offering (get it, round out).

The Ecobee Smart Si and the Ecobee Smart Stat are still unique as they are offering some indoor air quality control and advanced energy savings that are not available through the competitions Wifi platforms.  And then there is the reporting that is available on the website as well the contractor portal that allows for some advanced communication from the contractor to the homeowner.  The reporting feature has been critical in finding problems within system performance in the past.  There have been multiple times this has informed the contractor and myself to what is happening and we were able to provide a solution to the homeowner at that point.  As it has always been, Ecobee will be the hardest sell in this bunch, but we have started to create some loyalty with this line as people have experienced its easy of use.

The Honeywell Redlink systems are my favorite systems as of right now.  Forget about the gateway that gives us internet access, the Redlink system is our wireless solution to all sorts of problems.  We can zone wirelessly, have a dual fuel system wirelessly (because of the wireless outdoor sensor), and my favorite of all, add wireless indoor sensors and average them together so that all the important rooms in a house can be factored into the equipment operation.  I am selling this system as a way to solve problems.  After we have solved the system problem…hey, we can add internet access to this if you would like for only a small bit more.

But there is still the nest thermostat, now owned by google, that is selling about a half a million stats a year.  And here our industry is affected by it, but we get no slice of that pie.  It goes to the homeowner for a cool $250.  We have not had a good answer for this…Until today.  Seriously, that is my opinion.  The Sensi allows our industry to compete against the nest on the price strategy alone.  While White Rodgers has been sitting back, they have not been idle.  They did a lot of research of where they needed to be.  They knew about Ecobee, they knew about Honeywell (Wifi and Redlink), and they knew about nest.  And today, they are here, ready to keep our market our market. 

Nest caught us off guard and we will need to fight back to regain our ground, but it is possible.  We offer an awesome lineup that covers everywhere from simple and sensible to prestigious.  I believe when we take this message to our customers, the message of the complete offering we have available to them, and were each one fits, we can help our contractors win.  And when they win, we win.

It is good to win.

the start of something new

i'm going to try a little something different.  often times my mind wanders at night as i run back over the days busyness to thoughts that i didnt get to mention or products that failed to come up.

this place is going to be the landing place for my wanderings and my sometimes findings.

this place will have ideas and news from the industry as well as product introductions.

and the layout will more than likely change.  often.  until i find something that is just perfect.

thanks for taking the ride with me.