With states increasingly passing legislation to protect solar consumers, pv magazine USA investigated how solar installation companies hire and train their sales teams and got first-hand looks at the sales strategies of five different solar installers across the country.
In the wake of complaints about allegedly deceptive or misleading sales tactics in the solar industry, states are increasingly passing “solar consumer protection” legislation.
A Nevada state law came into effect in January 2024, requiring solar sales consultants to either hold a state contractor’s license or be W-2 employees of a licensed solar company. In March 2024, Washington State’s governor Jay Inslee signed even tighter legislation that required that solar sales consultants be directly employed by an electrical contractor licensed in the state. The requirement was welcomed by the Washington Solar Industries Association. In August 2024, Rhode Island enacted legislation requiring solar retailers to register their business and a roster of all representatives soliciting sales, without requiring those representatives to be company employees.
In the shadow of such legislation, pv magazine USA investigated how solar installation companies hire and train their sales teams. We reviewed job descriptions and conditions of employment in job listings on leading employment websites, and also got first-hand looks at the sales strategies of five different solar installers across the country.
Last fall, EnergySage examined strategies among solar installers work. One of the key failure points they found was an inadequately trained sales team that did not sufficiently educate customers before a sale, leading at times to under-performing arrays, buyer’s remorse, cancellations and a negative reputation for the industry.
A common practice among solar companies that serve more than a single state is to hire independent sales consultants who work on 100% commission. Many involve cold-calling or door-knocking in assigned neighborhoods. The ratio of cold calls to actual sales is very low.
One national installer we investigated had a team of over 300 freelance appointment setters with a list of over 25,000 phone numbers to call. A smaller company who followed the same strategy had a cold call list of over 15,000 phone numbers, targeting only a single large state. Appointment setters were expected to make 150 calls a day. Attrition rates were high. Both companies we looked at had dozens of new recruits each week attending training sessions.
The attraction of this strategy is that it allows solar companies to expand rapidly with little overhead, as the sales force is only paid for actual sales. But the risks are high. In both of the companies we investigated, appointment setters received little education in solar energy and were warned to only minimally discuss the solar products their company offers, because in their desire to earn a commission, a poorly educated appointment setter might over-promise company offerings, which can easily backfire.
Some solar installers who use independent sales contractors try to avoid their worst practices. pv magazine USA spoke with Val Berechet, CEO of Sunsolar Solutions, a multi-state company based in Arizona. Roughly 50% of the company’s sales come from their internal sales team, while the other half is outsourced to a single company that vets and hires independent consultants. Berechet described the company’s “checks and balances” system where his internal team compares a potential customer’s utility bills with the system size that the consultant has proposed. This avoids the frequent problem of consultants selling an under-sized system at a lower and more attractive cost, a practice which can lead to higher sales for the consultant but greater dissatisfaction among customers, with the installer often taking the blame.
Sapling Energy, a small California installer, has a different sales approach. The company only hires in-house employees who are paid 50% in salary and 50% in commission, reducing the sales team’s temptation to over-promise or use pressure tactics. The company avoids cold-calling and door knocking, and instead advertises on its website and in other promotional materials that it offers a free, half-hour advice session on how to reduce energy bills, including advice for methods and information about products the company doesn’t sell. Ultimately, the sessions lead to a discussion about installing solar, but the company hopes this approach will increase the company’s credibility.
Finally, ReVision Energy, New England’s top residential installer, takes an even less aggressive approach. Janice DiPietro, chief integration and customer officer at ReVision, told pv magazine USA that the company does no cold-calling or door-knocking, but instead, relies on word of mouth, referrals, advertising and social media. Its initial customer contacts are fully salaried employees rather than independent contractors who work on commission. Furthermore, DiPietro emphasized that ReVision is an employee-owned company whose sales team has a strong incentive to be educated about the products its sells in order to not under-size or over-promise, thus helping to maintain the company’s good reputation.
In late January 2025, Utah became the latest state to consider requiring sales consultants of solar installers to be W-2 employees. Other states may follow suit. Solar installers may face increasing state government restrictions if the sales people who use bad practices are unable to regulate themselves. It’s in their best interest to hire a sales team whose self-interest is fully consistent with the installer’s, and to educate that team to put their customers’ interests first. This way, consultants maintain their company’s good reputation as well as the reputation of the industry as a whole.
