CALL: 1 (416) 586 3649


btn-subscribe-blog

News and Insights

New Research Reveals That the Majority of Business Owners Use, or Plan to Use, LED Bulbs, Although Half or Them Delayed Due to Upfront Costs

New Research Reveals That the Majority of Business Owners Use, or Plan to Use, LED Bulbs, Although Half or Them Delayed Due to Upfront Costs

As an industry, we’ve done a great job, according to a new research poll, educating users on the energy benefits and durability of LED bulbs. We seem to have been less convincing on the issue of upfront cost.

A new survey of 200 business owners and managers revealed that upfront cost is the leading reason for a delay in implementing LED lamps in their workplace, even though 81.9 per cent have ultimately installed or plan to install.

Although 81.9 per cent of those surveyed* currently use, or plan to use, LED bulbs, 50.9 per cent of business owners said price was the main reason they had delayed—or are still delaying— implementation.

The actual question asked was, “What is the main reason you delayed implementation of LED light bulbs in your workplace?”

Read-full-report-Leapfrog-Lighting

“Upfront costs” was the only significant objection to implementation. Only 5.5 per cent doubted the claims of long life, and another 6.1 per cent doubted the energy savings. Another 19.6 per cent doubted the overall value proposition; 18 per cent were fully convinced.

Poll-upfront-costs-Leapfrog-Lighting

This shouldn’t surprise anyone in the industry. As an industry, we have to convince users of the overall value proposition. On our website, we use an energy calculator to let users quickly calculate the overall value. They simply enter the number of bulbs, price and a few factors, and the calculator estimates the long-term savings for them.

Clearly, the 81.9 per cent of businesses who have implemented LED, or plan to do so, indicates we’ve collectively made progress as an industry. The main focus for ongoing education for us is really to help business owners and managers get past the upfront costs. While admittedly high, the overall savings are also high.

Details of Results

Just over half (50.9 per cent) of business owners and managers delayed implementation of LED bulbs due to upfront costs. 19.6 per cent indicated they were “not convinced of value.” It appears that the majority of business owners are convinced of the claims of long bulb life and energy savings, a combined total of 11.6 per cent.

Older cohorts were more likely to be convinced of the benefits of LED lighting; 38.9 per cent of respondents 65 years or older stated they were “convinced”, none (0 per cent) didn’t believe in the “energy savings claims” or “claims of long life” and only 27.4 per cent found upfront costs too high. Those aged 55–64 years also trended higher than average for “convinced,” and lower than average on “upfront costs” as an obstacle, at 45 per cent.

The age groups 35–44 and 18–24 were most likely to pick “upfront costs too high” at 62.9 per cent. Both age groups were also less likely to choose “convinced.”

However, higher income cohorts in the study were more likely to choose “upfront costs too high” while lower income cohorts were the least likely. Among $150,000-and-up income earners, 73.3 per cent found “upfront costs too high,” while only 44.5 per cent of $25,000–$49,999 income earners expressed that opinion.

There was some deviation by lifestyle as well, with rural businesses less concerned with upfront costs, urban businesses just under average, but suburban coming it at 58.1 per cent.

The US Northeast and Midwest were more likely to emphasize “upfront costs too high” while the US South and West were below average on that point. The US South was more likely to choose “not convinced of value” than other regional cohorts.

Males were significantly more likely to be concerned with upfront costs at 54.5 per cent versus female at 41 per cent. Females were more likely to be totally convinced of value at 33.3 per cent, versus only 14.3 per cent for males.

Read-full-report-Leapfrog-Lighting

About the Poll

The blind, randomized poll canvassed the opinions of 200 business owners and managers, a segmented cohort of a larger poll drawing 2,372 responses. Data collected by a research company on behalf of Leapfrog Lighting. The poll is considered statistically accurate, subject to an error rate of 3.92 per cent. The poll has an average absolute error rate of 3.92 and a confidence level exceeding 95 per cent.

* 81.9 per cent statistic is from the same pool of surveyed business owners. This information was released previously in the research report “Leapfrog Lighting Manufacturer’s Claims Versus Real Life Experience” previously released.

Download the full report here>>

 

Leapfrog-Lighting-Subscribe-Blog-Newsletter-LED-lightbulbs-lighting

Leave a reply

Are you human? * Time limit is exhausted. Please reload CAPTCHA.


COPYRIGHT © 2016 LEAPFROGLIGHTING