Best Practices for Selling ENERGY STAR Certified Homes Learn more at energystar.gov 1

Agenda The ENERGY STAR Value The Sales Process Best Practices Q&A / Discussion 2

The ENERGY STAR Value 3

Some Big Changes More stringent core efficiency measures New inspection checklists Move from features to systems Additional Quality Assurance New marketing platform: Better is Better 4

Value in every certified home 5

Guarantees that efficiency measures are included in every certified home 6

Value in every certified home Sets standards for often-overlooked details that have a critical impact on efficiency, comfort, quality, & durability Reflects 15 years of experience from EPA, researchers, industry, and thousands of partners like you 7

Value in every certified home Unmatched value proposition for the homeowner: Lower utility bills Better comfort, durability, and quality A more livable home 8

The ENERGY STAR brand promise Cost-effective Meaningful improvement in efficiency Equal or better performance CFL Quality Lifetime Reliability Starting time Color 9

Value through building science If you want your homes to be.. Building science says to have a

Thermal Enclosure System 1 Features – High-quality insulation installation. – High-performance windows & doors. – Tightly sealed home. – Reduced thermal bridging in walls. 11

Thermal Enclosure System 1 Why is this important? – A well-insulated and air-sealed home, with good windows and doors, reduces the amount of energy needed to keep the home comfortable. 12

Complete HVAC system 2 Features – A right-sized and properly installed heating, cooling, and duct system. – A ventilation system that meets the industry standard. – Reduced safety and air quality risks from combustion appliances. 13

Complete HVAC system 2 Why is this important? – Improved airflow & efficiency maintain comfort with less energy. – Proper sizing costs less and better manages humidity levels. – Ventilation systems remove indoor air pollutants, provide outdoor air, and filter dust and particles. 14

Water Management System 3 Features – Water-managed roof, walls, foundation, site, and building materials. 15

Water Management System 3 Why is this important? – Prolonged moisture in walls, floors, and ceilings can cause rot and mold, hurting durability. – Wet walls, floors, and ceilings in air- sealed homes dont dry as quickly; therefore, its more important to not let them get wet. 16

Third–party Verification Provides peace of mind that comes with making a smart purchase These homes undergo significantly more systems engineering, inspections, and testing than homes built to code. Therefore, you can identify and correct mistakes before they become problems. 17

The Sales Process 18

The Sales Process Sales Event planning Marketing & Advertising 19

Talk about ENERGY STAR no discussion = no benefit to you 20

Steps in Working with a Prospective Homebuyer 1)Introduce your company 2)Evaluate and understand each prospect 3)Fulfill buyer needs Feature Advantage Benefit Evidence Validation 4)Conduct financial analysis 21

Introduce Your Company Discuss with prospective buyers: Why you build ENERGY STAR certified homes How does this explain who you are Your companys commitment to sustainability 22

Evaluate & Understand Each Prospective Buyer What has prompted your visit today? Why are you considering buying a new home? Can you tell me about your current home? Can you tell me a little about your family? 23

Mini Presentation: Fulfilling the Buyers Needs Validation Confirm benefit is important to buyer Evidence Proof of system or component benefit Whats in it for me based on questions Benefits Advantage Why System or Component is better Features System or Component included with home 24

Mini Presentation: Fulfilling the Buyers Needs Features System or Component included with home 25

Mini Presentation: Fulfilling the Buyers Needs Advantage Why System or Component is better 26

Mini Presentation: Fulfilling the Buyers Needs I know you really liked the idea of… From what you told me… Isnt it nice to know… What this means for you is… Whats in it for me based on questions Benefits 27

Mini Presentation: Fulfilling the Buyers Needs Credible Documentation - ENERGY STAR Logo/Sticker - HERS Rating - Checklists - EPA Fact Sheets - Testimonials - Warranties (energy bills, comfort) Evidence Proof of system or component benefit 28

Mini Presentation: Fulfilling the Buyers Needs Technology Displays –See the difference (e.g., Open wall showing advanced insulation installed correctly) –Feel the difference (e.g., Advance Window next to a standard window) –Hear the difference (e.g., bucket with advanced insulation and noisemaker inside) Photos –Digital (testing, verification, technology) –Infrared (x-ray vision for quality) Evidence Proof of system or component benefit 29

Mini Presentation: Fulfilling the Buyers Needs Wouldnt you agree that… Mini-Close Confirm benefit is important to buyer 30

Financial Analysis Proven better performance than non-certified homes –20-30% better energy efficiency vs. typical new homes –Even better, when compared to most re-sale homes on the market Estimated to save thousands of dollars in utility bills over typical 7-8 years of ownership 31

Financial Analysis ENERGY STAR investment of $X at X% interest for 30 years BUT, savings of $X per month in utility bills AND if fuel prices increase, savings increase Investing in energy efficiency –saves monthly costs –valued with the home –a growing sales incentive as energy continues to play an important role in the daily cost of living 32

Recap Sales Event Planning Marketing & Advertising 1)Introduce your company 2)Evaluate and understand each prospect 3)Fulfill buyer needs Feature Advantage Benefit Evidence Mini-close 4)Conduct financial analysis 33

Best Practices 34

Train Your Staff ENERGY STAR Website –Fact sheets Continuous training at sales meetings Role-playing 35

Create Simple Messages Weve got a 90 AFUE furnace, a 14 SEER air conditioner, R-15 staple-less batts, R-8 duct wrap… Minimize use of technical terms or jargon Simplify your messages and use analogies and make comparisons instead. 36

Use Analogies Our air sealing is like closing a hole in your wall the size of a window. Think of heating and cooling ducts as the lungs of your home... 37

Make Comparisons Did you know that a typical home can cause twice the greenhouse emissions of the typical car? Homes typically contain a half-mile of cracks and gaps around windows and doors. 38

Make the most of your Happy Homeowners Post testimonials in your sales office Connect to customers on social media sites Provide a cash bonus or gift referral 39

Hold Homebuyer Events Hold a Muddy boots Tour –Invite top prospects to tour a home under construction –Explain how your homes compare and point out behind the wall features –Home Energy Rater and top subcontractors are in attendance to answer questions –Invite happy homeowners 40

Cultivate Real Estate Champions Host a training or breakfast in your sales office Walk them through one of your homes under construction Educate on the value of ENERGY STAR Drop off flyers to top offices Maintain communication 41

Use Consumer Brochures 42

And Fact Sheets Thermal Enclosure Water Management Heating and Cooling Lighting and Appliances Independent Testing and Verification 43

Referencing ENERGY STAR Always write ENERGY STAR in all caps Always add ® in superscript the first time ENERGY STAR is mentioned on a document Homes are now certified Program specifications are guidelines not standards XYZ Builder is a partner; not endorsed by EPA or the government 44

Stay Connected Follow us on Twitter: twitter.com/energystarhomes 45

Stay Connected Like us on Facebook: facebook.com/energystar 46

Action Plan Train your staff Practice selling ENERGY STAR features and benefits (e.g. role-play) Hold events Use ENERGY STAR resources available online 47