Those who enter the PV power industry and those who use it must know PV inverters play an essential role in the whole process of generating electricity from sunlight. Thus, PV inverter prices turn into a focal point for us. Although I cannot tell you the specific price of each inverter product, I think it is necessary to analyze the key factors that affect their prices.
Costs
Every useful product has cost, so do these electricity-converting devices. What elements affect their costs? Indeed those that affect them are labor, tech, ads and other company running costs including rent, tax, daily consumption and so on. In this industry labor, tech and ads are supposed to be the three key factors affecting the costs. If you have cheap labor, you will be able to lower your selling price and even transfer more money to technology and research, which can guarantee the high qualities of them. If you can invest less in technology and research, you will further lower the price although this is not suggested for good reason. Making common ads also costs a lot. So small businesses had better choose other ways to market their inverters to lower their prices, such as SEO and Google ads.
Efficiency
Once a commercial product is concerned, its efficiency must be noticed. A PV solar inverter’s efficiency lies in how much direct current it can convert into alternating current. The common conversion efficiency is about 92% to 96%. As technology improves, this rate can be raised even higher up to 98.2%. The typical example is Omnik in China, whose inverter technique was introduced from Germany four years ago. Indeed as efficiency improves, their prices might be even higher. But to buy a high quality product, higher payment is fair. Certainly, you should also be careful in making this decision.
Scale
The obvious fact is that the larger the inverter manufacturing scale is, the cheaper the prices will become. This rule has been proved by solar cells whose prices have slumped in recent years, and this is also true for solar inverters. As more products are sold although each one bears little profit, the large scale of products should have so much profit. Small businesses cannot usually do that, while they can work hard to expand their business and do it through smart ways.
Brand
What’s the meaning of a famous brand? Usually a big name guarantees good quality but there is no sure thing about it. Nowadays a big brand name like SMA must have a strikingly beautiful website which is supported by a team of high-paid designers and sustaining members. It pays more for their ads, and also it has more pressure in running the whole business. For example, it needs labor, which costs a lot in many countries except those who are poor or less developed. With all these factors added, their PV inverter prices will rise for sure.
Region
What I mean here is continent difference. Today’s solar industry hot spots are mainly scattered in Europe, America, Oceania and Asia. The three regions have different labor prices, geographic differences, building style differences, and policy differences. In Germany, the UK or the US, the labor prices are different but relatively high. In China and India, their prices must be much lower. At the same time geographic differences and building style differences will make different degrees of difficulties for installing the whole PV system where solar inverters are included. Therefore, the prices will vary too. Besides all these factors, policies can possible decide whether their prices are low or high. Most of these solar developing countries’ governments give incentives to solar firms, while their policies are quite different, with a result that some are more and others less. However, this is not that important compared with lobar cost prices.
Competition
As solar energy become hot, more and more manufacturers swarm into building related products including solar inverters. To win customers, these manufacturers lower their prices. This has put pressure on all of them. If your prices are too high, customers turn to other cheaper ones. High qualities are always loved by customers, while lower prices may drive customers to sacrifice qualities too. Thus, the balance of keeping fair prices and high qualities is a smart strategy.
With all these factors, PV inverter prices can be controlled, while there are other factors that also affect their prices. For this reason, you need to learn more of this industry as well as these amazing products. But I still think focusing only on prices might not be a good move for potential solar inverter buyers and users.
- See more at: http://www.omnik-solar.com/news/Essential-Factors-that-influence-PV-inverter-prices
Costs
Every useful product has cost, so do these electricity-converting devices. What elements affect their costs? Indeed those that affect them are labor, tech, ads and other company running costs including rent, tax, daily consumption and so on. In this industry labor, tech and ads are supposed to be the three key factors affecting the costs. If you have cheap labor, you will be able to lower your selling price and even transfer more money to technology and research, which can guarantee the high qualities of them. If you can invest less in technology and research, you will further lower the price although this is not suggested for good reason. Making common ads also costs a lot. So small businesses had better choose other ways to market their inverters to lower their prices, such as SEO and Google ads.
Efficiency
Once a commercial product is concerned, its efficiency must be noticed. A PV solar inverter’s efficiency lies in how much direct current it can convert into alternating current. The common conversion efficiency is about 92% to 96%. As technology improves, this rate can be raised even higher up to 98.2%. The typical example is Omnik in China, whose inverter technique was introduced from Germany four years ago. Indeed as efficiency improves, their prices might be even higher. But to buy a high quality product, higher payment is fair. Certainly, you should also be careful in making this decision.
Scale
The obvious fact is that the larger the inverter manufacturing scale is, the cheaper the prices will become. This rule has been proved by solar cells whose prices have slumped in recent years, and this is also true for solar inverters. As more products are sold although each one bears little profit, the large scale of products should have so much profit. Small businesses cannot usually do that, while they can work hard to expand their business and do it through smart ways.
Brand
What’s the meaning of a famous brand? Usually a big name guarantees good quality but there is no sure thing about it. Nowadays a big brand name like SMA must have a strikingly beautiful website which is supported by a team of high-paid designers and sustaining members. It pays more for their ads, and also it has more pressure in running the whole business. For example, it needs labor, which costs a lot in many countries except those who are poor or less developed. With all these factors added, their PV inverter prices will rise for sure.
Region
What I mean here is continent difference. Today’s solar industry hot spots are mainly scattered in Europe, America, Oceania and Asia. The three regions have different labor prices, geographic differences, building style differences, and policy differences. In Germany, the UK or the US, the labor prices are different but relatively high. In China and India, their prices must be much lower. At the same time geographic differences and building style differences will make different degrees of difficulties for installing the whole PV system where solar inverters are included. Therefore, the prices will vary too. Besides all these factors, policies can possible decide whether their prices are low or high. Most of these solar developing countries’ governments give incentives to solar firms, while their policies are quite different, with a result that some are more and others less. However, this is not that important compared with lobar cost prices.
Competition
As solar energy become hot, more and more manufacturers swarm into building related products including solar inverters. To win customers, these manufacturers lower their prices. This has put pressure on all of them. If your prices are too high, customers turn to other cheaper ones. High qualities are always loved by customers, while lower prices may drive customers to sacrifice qualities too. Thus, the balance of keeping fair prices and high qualities is a smart strategy.
With all these factors, PV inverter prices can be controlled, while there are other factors that also affect their prices. For this reason, you need to learn more of this industry as well as these amazing products. But I still think focusing only on prices might not be a good move for potential solar inverter buyers and users.
- See more at: http://www.omnik-solar.com/news/Essential-Factors-that-influence-PV-inverter-prices