Heaters and Heatpumps

First thing, scratch out the price on the list for heatpumps and replace it with $5950.

The price on the price list is less than our cost, and that's not accounting for installation or upgrading the conduit to accomodate the extra juice needed to run the heatpump. All heatpump installations require bigger conduit that costs $15/foot. So for the 100' that is included, you'd have multiply whatever the run by $5/foot, anything over 100' would be charged at $15/foot.

Very rarely, but it does come-up, we'll get the question from folks without gas whether there is a electric heater available. A couple years ago when I was first starting out, I did about a week's worth of research for a customer.

What I found out is that the effective answer is no. The only electric heater made for spa/pool installations is what is used in acrylic spas. It is designed for a spa that is covered and double insulated. When used in a inground spa installation, running the heater for 12 hours will result in heating the 1000 gallons a total of about 8-10 degrees fahrenheit. I can't imagine the electric bill.

Now a heatpump does work on electricity, but under the most ideal situations it will heat or a cool a spa at most about 8 degrees fahrenheit. It is effective at bookending the season to squeeze out a few more weeks of swim time, but it won't function as a heater for a spa for example. Operating a heatpump is very cost effective as far as utilities. Typical monthly operation may only run about $80-100.

As far as heaters go for installations where there is no gas on the property, we must do a propane adaptation. A 400,000 BTU heater requires a 250lb tank, the smaller tanks will not provide enough pressure. Tanks must be placed visible to the street, so that the propane service attendant can see his truck while filling the tanks. The tanks also need to placed at least 15' walking distance away from the heater. This can be accomplished with a t-shaped wall. If the linear distance walking around the wall is 15' that'll meet the fire department's requirements.

I typically leave it up the customer, whether to lease the tanks or purchase them. I explain that with a 250lb tank, they'll need somebody to come and fill the tanks anyways. I suggest that it's best to probably lease the tank. It is possible to bury a tank as well. This is more expensive, and I think in this case the tank would have to be purchased, but I'm not certain on this. I've never had a customer take this route. In fact, I've never done a propane adaptation personally.

One quick note, if everybody can contribute to what they are confident about setback requirements on the previous blog about that subject we'd all be appreciative.

Ellen Jameson New Warranty Lead

Ellen Jameson is working out of the Tech Center and just started late this past week. She'll be the primary contact for any warranty calls.

This is an opinion I have, and by no means am I saying this is policy, but my personal preference is to take a message and have Ellen call the folks rather than asking the customers to call to the Tech Center. Let me know what you think. I've got to figure out how to transfer phone calls on our phone systems. Best thing would be to transfer calls between stores and to the Tech Center.

Also, going forward there are plans in place to improve startups and orientations. I'll have the details on Monday.

Pool Steps, Plumbing, Electric Runs, Brass

Everybody, starting immediately we're going to put four steps into every pool instead of the industry standard three. Instead of 12" rises between the steps, we'll be around 8". Ron will probably explain the specifics during the meeting on Thursday, at 11AM in the Tech Center.

Also, from now on we'll include 30' of plumbing and 100' of electric run, and everybody already knows about 40' of brass.

The important thing is to let the customers know what a big deal it is. Again, we're pacing the industry and not waiting for them to catch-up. Make a big deal of this with your customers, "we include 30' of plumbing in every pool, if you speak to any other pool builder like Presidential, California, Shasta or Paddock, they'll include 15' and that's usually not enough. They'll charge you for the extra, that we would include in the base price."

Ron's determined that we're going to build half the pools in the Valley, I know all of you are doing a great job on the presentation -- keep up the great work. Let the customers know what makes us different!

Barrier Requirements, Setbacks, Etc.

Hey, just reiterating, if everybody could pitch in on the setbacks and barrier requirements for the different towns, it'd really help.

Even information like the fact that most Tolleson and Laveen permits are Phoenix permits, everything you can think of, please contribute to the blog. Thanks a lot everybody.

Sales Meeting September 18, Tuesday, 11AM, Deer Valley

Lunch will be provided. See everybody there.

Absolute Drop Dead Date on Rebate

Is this Sunday, the 16th of September. Thereafter, the prices for the Balboa and Avalon will remain 18,999 and 15,999 respectively.

The last ad for the rebate will run tonight the 11th of September, and there won't be any support thereafter on the advertising end.

Any stragglers, sign them up. I'd call any customers that had been priced out on the rebate and tell them that I wanted to just touch base and let them know that I hadn't forgotten about them. And that I wanted to make sure they did know that the rebate ends, just so they don't miss out if that's what they're interested in.

Don't apply pressure on the customer, let the customer make his/her own decision about the deadline.

Quality

Understand that our competitors are frustrated. They can't compete with us on price, so they'll knock us by saying things like Riviera only builds two pools, or they don't have quality, and even that Riviera makes money by charging for warranty.

Do me a favor and invite your customers to make a decision to buy from on us on quality.

What I mean by this is that I've been telling customers I've talked to, not to worry about price. I tell my customers, there's no way anybody comes close to us on price, so don't worry about that. I follow this up with, if you buy from Riviera Pools, buy on the quality. Remember nobody comes close to us on quality.

I tell customers to see for themselves. Every Saturday, 10AM, we have tours at our Tech Center. In the tour a customer can see all the things we do that improves our quality over our competitors and saves us money, savings we pass along to our customers.

Nobody else does it the way we do it.

Invite your customers to compare us on quality, not just price.

Nobody Beats Us on Price

Just to reiterate for everybody, nobody beats us on price. We all have tallied what it costs our competition to build a pool, no competitor can possibly afford to sell a pool for less money than we do.

This past Saturday, Miguel, one of our newest salespeople, had a customer in Deer Valley. His customer had a quote from Presidential for what appeared an Avalon with a pool vac for 16K.

I spoke to the customer as well, at first the customer insisted that was the total price. But after some probing, turned out the she didn't know the final price. The customer said that the salesperson had visited the house and started adding charges and hadn't given her a complete price yet.

Miguel asserted per training that Presidential couldn't possibly beat us on price, and if she buys a pool from us don't buy just on price but the buy on quality.

Miguel measured the yard on Sunday, and she'll probably be buying a pool either Monday or Tuesday.

Never lose confidence in Riviera Pool's price, I don't care what the customer shows you for a quote or bid, no competitor can beat us on price.

Promotion Extended for Week of 9/10

The rebate is extended for this week. Remember, to present it to customers in a low-pressure manner.

I mean, if a new customer comes in on Saturday, and the promotion is ending Sunday, tell them it's up to them if they want to take advantage of the rebate offer. I told my customers I've helped this past week, it's still a great price without the rebate, don't make a decision based on the rebate. If the rebate is important to the customer, I offer they can take advantage of the offer by signing an agreement subject to the customer approving a final drawing and accepting any financing terms. If for example the interest rate was too high, the customer could decline the financing and not build a pool.

Just make it easy for the customer, without pressuring them.

Also, if anybody is confused about this, the rebate may be applied to the price of the pool. For example, if a customer isn't financing and already has funds, they don't have to wait for the second payment for a rebate. Even if a customer is financing, instead of a rebate, if they want the promotion amount applied to the bottom-line price, that's fine.

Pebble Colors and Mini-Pebble

Hey everybody, here's the news. From now one, we're offering 8 colors for base Pebble colors.

Tahoe Blue, Caribbean Blue, Mauve, French Grey, Aqua Cool/Laguna, Salt & Pepper, White and Sand.

Also, Mini-Pebble will be provided for no extra charge on the Catalina if they're doing a Pebble upgrade.

There is still a charge if they want the Mini-Pebble buffed-out, it's an extra step and costly.

Any questions, post them here, and I'll answer them for everybody.

Advertising and Promotions for Week of Sept. 4

Alright, Ron shot a new commercial extending the rebate offer to the end of this week. Traffic is trending up after a dip. I think the dip in the middle of August was due to the negative headlines in the news.

There's no reason to think that September shouldn't be a terrific month if the uptrend in traffic continues.

One comment on deadlines for the promotions. I get calls asking if we can extend it, or if it's going to be renewed. The deadlines are there to help you make sales, it creates urgency and gets people to commit in a timely manner. If you make it seem like the deadlines are less than real, you're just making your job harder. If a customer wants to take advantage of an offer, the deadline is the deadline. If the offer is important to a customer, they can sign an agreement subject to approving a final drawing and accepting financing terms.

Also, Ron shot another commercial offering tours to prospective customers of the Tech Center. Don't call it the warehouse any longer, refer to the Mohawk location as the Tech Center. The content of the ad speaks to the great price, but also asserts that we have the best quality. If you're speaking to a customer, I'd tell them don't worry about the price, we've got the best price, buy on the quality. Remember nobody comes close to us on quality, but it's something we can show! If anybody wants to see the quality for himself, we've got tours of the Tech Center on Saturdays at 10AM.