0. Building Retrofit Industry and Market (BRIM) Market Scan Workplan
April 12, 2011
Prepared by:

1. This Research is Phase I of a Three Phase Process
Phase I – Synthesis of existing research across all building segments.
Phase II – Deep dive into one building segment to develop a collaborative market-building investment strategy.
Phase III – Convening of funders, government and private players to build consensus around priority market development investments.

2. Table of Contents – Phase I
Key Objectives and Deliverables
Process Overview
“Straw Man” Building Retrofit Taxonomy
Market Scan Design Framework
Potential Data and Analysis 2

3. Key Objectives and Deliverables
Process
Straw Man Taxonomy
Market Scan Design Framework
Potential Data and Analysis
To support BRIM market development investment planning by:
Establishing a building retrofit market taxonomy
Creating a framework for comparing the market conditions and potential of each segment
Recommending priority segments and scope of further study
This market scan will answer the following questions:
What are the different market segments; how are they defined and what are their energy efficiency characteristics?
How large is each market segment?
What is the potential for impact in each market segment?
Who are the industry participants in each market segment?
What are the investment opportunities in each market segment? 3

4. Process Overview 4 Step 1 Market taxonomy and scan design Step 2
Objectives and Deliverables
Process
Straw Man Taxonomy
Market Scan Design Framework
Potential Data and Analysis
Key activities
Deliverables
Team
Timeline
Conduct preliminary research to create draft market taxonomy for BRIM and market scan design
Draft taxonomy and scan design, including market characteristics, potential impacts, and investment types available
OHcp
Weeks 1-2
Step 1
Market taxonomy and scan design
Review draft taxonomy and scan design with team
Revised taxonomy and scan design
OHcp/INC/JR
End of Week 2
Conduct 1-3 expert interviews
Updated taxonomy and scan design
Index of secondary sources for each market segment
Preliminary list of potential expert interviewees for each market segment
OHcp
Weeks 2-3
Present and discuss final taxonomy and scan design with client
Final taxonomy and scan design
OHcp/INC/JR
Week 3
Draft deliverables format and templates
Final presentation template (PPT)
Final report template (10-15 pp in Word)
OHcp
Weeks 3-4
Step 2
Complete research and draft sample segment analysis (for up to 3 segments)
Sample segment analysis (PPT)
OHcp
Weeks 3-5
Preliminary research and analysis
Review sample segment analysis with team
Revised sample segment analysis (PPT)
OHcp/INC/JR
End of Week 5
Conduct expert interviews to test and deepen segment analysis (5 to 7 interviews)
Updated sample segment analysis
OHcp
Weeks 6-7
Review sample segment analysis with client
Iterated sample segment analysis (PPT)
OHcp/INC/JR
Week 8
Compete research and draft analysis for all market segments
Draft market scan presentation (PPT)
OHcp
Weeks 6-9
Step 3
Review draft analysis for all market segments with team
Revised market scan presentation (PPT)
OHcp/INC/JR
Weeks 6-10
Final market scan
Deliver market scan presentation to client
Market scan presentation (PPT)
OHcp/INC/JR
End of Week 10
Finalize market scan presentation
Final market scan presentation (PPT)
OHcp
TBD
Draft market scan report
Final market scan report (Word)
OHcp
TBD
Draft market scan executive summary
Final market scan executive summary (Word)
INC/JR
TBD
Complete and submit final deliverable to client
Final market scan deliverables (PPT, Word)
OHcp/INC/JR
TBD 4

5. “Straw Man” Building Retrofit Market Taxonomy
Objectives and Deliverables
Process
Straw Man Taxonomy
Market Scan Design Framework
Potential Data and Analysis
Category:
Based on general activities that take place in the building.
Residential
Commercial & Industrial (C&I)
Institutional
Based on specific activities that take place in the building and the size of enclosed space available for occupants/tenants in the building
(by number of units or square footage).
Segment:
Single family
Multi-unit (small, 2-4 units)
Multifamily (mid-sized, 5-49 units)
Multifamily (large, >50 units)
Small Retail/ Office
Large Retail/ Office
Small Industrial
Large Industrial
Government
Healthcare
Universities
Schools
Type:
Based on type of occupants/tenants that reside/operate in the building.
Illustrative examples
Market-rate housing
Restaurant
Food Processing
Federal
Ambulatory
Residential
Public
Affordable housing
Grocery
Manufacturing
State
Long-term care
Laboratory
Private
Public housing
Dry Cleaner/ Laundry
Energy generation
Local
Inpatient
Academic/
Classroom
Charter
Professional Office
Storage facility
Emergency
Adminis-trative 5 5

6. Market Scan Design Framework
Objectives and Deliverables
Process
Straw Man Taxonomy
Market Scan Design Framework
Potential Data and Analysis
Key questions
Core elements of analysis
How is the market segment defined and what are its energy efficiency characteristics?
Develop summary description of segment that explains the core energy efficiency characteristics
Define the relevant market sizing criteria (i.e., age, total energy use/relative share of building energy consumption across segments)
Research current market size estimates and growth projections
How large is this market segment?
What is the potential for impact in this market segment?
Specify the types and drivers of economic/financial, social and environmental impact
Determine average returns on investment across impact categories
Who are the industry participants in this market segment?
Identify the types and subtypes of consumers, producers and intermediaries in this segment
Characterize their typical roles, activities and interrelationships
Describe the range of market development opportunity types (i.e., knowledge of customers, marketing, policy, information, asset valuation, financing, attribute markets, talent supply chain, contractors, information technology, input costs, building technology)
Research existing funders, investment trends, and activities
What are the investment opportunities in this market segment?

7. Potential Data and Analysis
Objectives and Deliverables
Process
Straw Man Taxonomy
Market Scan Design Framework
Potential Data and Analysis
Core elements of analysis
Associated key metrics
Develop summary description of segment that explains the core energy efficiency characteristics
Building size (sq. ft. and/or number of units)
Typical building structures and systems
Occupant/user types
Governing authority (public/private)
Typical energy intensity (MBtu/$)
Define the relevant market sizing criteria (i.e., age, total energy use/relative share of building energy consumption across segments)
Research current market size estimates and growth projections
Age range for prime building retrofit targets
Total number of prime building retrofit targets (sq. ft. and/or number of units)
Total energy use and relative share of building energy consumption (MBtu)
If applicable, other accepted criteria for determining prime retrofit targets
Specify the types and drivers of economic/financial, social and environmental impact
Determine average returns on investment across impact categories
Economic/financial impact metrics
Average retrofit investment required
Average annual/lifecycle energy cost savings
Average ROI per $X investment
Social impact metrics
Average number of direct and indirect jobs created/retained per $X investment
Types of jobs created/retained by investment
Environmental impact metrics
Average annual energy savings (MBtu., etc.)
Average GHG emissions reduction (Metric tons, etc.)
Average reductions in other pollutants
Identify the types and subtypes of consumers, producers and intermediaries in this segment
Characterize their typical roles, activities and interrelationships
Industry participant types
Owners/principals
Property managers (syndicates, portfolio managers, single-property owners)
Contractors (construction managers, GCs, trade)
Funders/lenders/investors (primary/secondary)
Energy producers
3rd party retrofit program administrators
Describe the range of market development opportunity types (i.e., knowledge of customers, marketing, policy, information, asset valuation, financing, attribute markets, talent supply chain, contractors, information technology, input costs, building technology)
Research existing funders, investment trends, and activities
Investment metrics
$X of investment by funder
Number of projects and $X investments by development opportunity type
Definition
Size
Impact
Participants
Opportunities 7