2009 POU/POE Benchmarking Survey Report
From Volume 32, Issue 7 - July 2009
Feature
From sobering financial data to ‘hot’ issues, here’s our annual statistical overview.

What a year it’s been. Since publication of the last (2008) Water Technology® POU/POE Industry Benchmarking Survey Report, a wrenching recession fired up and has continued without respite.

Results from this year's survey reflect these economic changes, but also deal with ongoing issues and trends in the water treatment industry. Here’s a quick overview:

• Customer financing: Our survey data clearly show dealers’ struggles to offer customer financing. Forty-seven percent of respondents reported financing was “more difficult to obtain” in the past 12 months, compared with only 2 percent who found it "easier to obtain."

• Consumer views: Asked to check which of several key issues their customers have raised over the past 12 months, many industry respondents chose "green methods of water treatment," followed by “environmental impacts of bottled water” and “salt discharges of water softeners.”

• Growing businesses in a recession: Experts have said a great deal this past year about the need for dealers to "mine" existing customers for additional business, and our data show many dealers either took that advice or were already in tune with it. Almost two-thirds of respondents in this year’s survey said they had "made a new effort to obtain business from prior or existing customers" sometime during the past 12 months. Other high-ranking business-growing actions were: adding "green" products or programs, attending an event sponsored by a manufacturer or distributor, or selling new equipment or technology.

• Hot issues in the industry: Dealer sales ethics dropped from No. 1 in 2008 to No. 2 this year, replaced in the top spot by the importance of "getting support/value from suppliers." In tough times, dealers are looking for all the price, quality and value-added advantages available from manufacturers and distributors.

• Prices and unit sales: Prices changed little, but there was a pronounced decline in the numbers of softeners and RO systems sold and installed per dealer. A plurality of our respondents also reported company revenues were down by more than 10 percent over the past year.

• Technology shifts: Several technologies offered by dealers gained ground over the past year. Those included ultraviolet, POU coolers, deionization, ozonation and non-chemical descaling.

At industry gatherings, there’s always a debate about how much the industry changes, technologically or otherwise. We hope the following data offer some insight in that regard, and we thank all readers who participated in the survey.

— Tom Williams, Senior Editor

To purchase the Water Technology® 2009 Benchmarking Survey Report, click here.