PERC Webinar-

Kohler Generators and Dealer

Opportunities for LPG

Providers

March 21, 2013

Propane Generators and Kohler

Table of Contents• What is a standby generator?

• How it works

• Kohler’s history in the market

• Category awareness, outages, need for back

up power solutions, and basic installation

• Products offering

• Marketing the category

• Additional revenue opportunities

• How to get started as a dealer

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What is a standby generator?

• Appliance that automatically supplies electricity when utility power fails

• Provides peace of mind-protects whether home or away

• Hassel free – no extension cords, no messy gasoline

• Operates on LPG or natural gas and wires into home or building’s main distribution panel via an automatic transfer switch (ATS)

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How it Works

• System monitors incoming utility voltage

• When utility power is interrupted, the generator is signaled to start

• The automatic transfer switch then safely closes off the utility line and simultaneously opens the line from the generator

• Within 10 seconds the home standby system begins supplying electricity to the home or building’s electrical panel. The system continues to monitor utility line conditions.

• When utility voltage returns at a steady state the systems re-transfers the electrical load back to the utility line and sends a signal to the generator to shut down. The generator is then returned to standby mode, ready for the next power outage.

• Generator performs a weekly diagnostic test for 20 minutes under no load.

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• Invented the Automatic Standby Generator market in 1920 with the Kohler Automatic Power and Light system

– Replaced previous battery charging systems found in rural areas with a direct current generator that came on automatically when needed

• Utility quality power for the home or business

• KOHLER generators are used in:

– Airports

– Hospitals

– Manufacturing Plants,

– National Weather Services

– Major Retailers

• KOHLER generators are manufactured in the USA

• Nationwide service support available

• The reputation you’ve come to expect from KOHLER Company.

Kohler’s History in the Market

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Category awareness continues to grow

• Weather-related

outages send home

owners seeking

generators - 3.5M lose

power a week

• Back to back storm

seasons in the Mid

Atlantic and Northeast

• Word-of-mouth

• Advertising and

publicity

• Living off grid and

sustainable housing

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Convenience

• 45% of standby owners own or owned a

portable generator.

• Homeowners can remain safe in their

home while the generator starts and

stops by itself with minimal maintenance

needed.

• #1 reason sited for upgrade:

“hassle factor” associated with

- running extension cords

- continuous refueling

- inability to get gasoline, no electricity at

the pumps means no gas

(Business opportunity!)

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Outages are found throughout the country

• NW: snow fall and high

winds

• West: high heat and

winds

• Midwest: Ice storms,

high heat and winds,

tornados

• NE: Ice and snow storms,

dense energy use with

aged grid

• East Coast: Ice storms,

hurricanes and high

winds

• Southeast: Hurricanes,

tornados

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Residential & Commercial Applications

– 78 Million single-family homes - <2% own a standby generator

– Increasing use of electricity with consumer electronics and smart home trend

– Dependence on uninterrupted power and communications is the new normal

– Aging of baby-boomer generation - Living in place, longer which accents reliability and safety issues with in-home medical equipment- Increase in disposable income

– Desire for comfort, safety and security for peace of mind at home and while traveling

• There are more than 6 million small businesses in the U.S., 85% experienced an outages over the past three years

• Over 700,000 lost at least $5,000 in revenue ($10K on average) during a power outage

• Think beyond Residential opportunities

• Think beyond LPG applications

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Installation Basics

• Generator is placed (air-cooled on

gravel, liquid-cooled and all Florida

generators on concrete slab).

• The transfer switch is typically placed

near the home’s panel (essential load

switch) or right after the meter (whole

house or service entry rated switch).

• Low voltage and high voltage wiring,

run through separate condui,t is then

run between the generator and the

automatic transfer switch.

• LPG is piped into the generator by way

of code approved piping and a flexible

fuel line (included in 8.5-48kW models)

• Number of permits will vary depending

on the market.

• Installation will typically day one or two

days.

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Available

Products

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14/20RESA & RESAL – Product Features and Benefits

Features• New and improved controller launched in 2012

• Lower sound levels than competing models (67-69 dBA)

• Battery charger built into controller

• OnCue with activation code, RXT/RDT/RSB Transfer Switches, Load Control Module (LCM), and Programmable Interface Module (PIM) capability

• Equipped with Kohler’s patented PowerBoost™ Technology

• Powered by a Kohler Commercial Engine and Kohler alternator

Benefits• Increase value

• Quieter

• Easier to install

• Same controller to be used on any new residential / light commercial product – easy training, support

• More options for dealer to up-sell

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Features• 38/38 or 48 / 48 kW (NG/LP) versus Generac’s 46 / 48

(advertised)

• Equipped with the new, improved RDC2 controller

• GM4.3L or 5.0L PSI Engine

• Industrial grade brushless PMG alternator

• Size has been reduced 47% by volume from 40/50ERES product

• Aluminum enclosure with textured paint (Cashmere)

• Innovative, automotive style three fan cooling system

• Sound reduced from 68dBA to 61dBA at full speed/no load

• Sound at 58 dBA during weekly exercise

• OnCue with activation code, RXT/RDT/RSB Transfer Switches, Load Control Module (LCM), and Programmable Interface Module (PIM) capability

• 3 Phase voltages available:

– 120/208V

– 120/240V

– 277/480V

Benefits• Smaller and quieter

• Easier to install and maintain

• Corrosion resistant for any climate

• Same controller to be used on any new residential / light commercial product – easy training, support

New 38RCL & 48RCL

38 & 48RCL – Product Features and Benefits

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Features• Available in 60, 80, and 100kW (125kW available through

special order)

• Powered by GM PowerTrain Engines

• Industrial grade Kohler Alternators with the PowerBoost™ Technology

• Galvanized steel enclosure with Kohler’s new textured paint system

• Sound ratings at or less than 71dB at full load

• Equipped with the Kohler DEC 3000 digital controllers

• Units in aluminum housing and 3 Phase voltages available through special order

Benefits• Smaller and quieter

• Easier to install and maintain

• Corrosion resistant for any climate

• Same controller to be used on any new residential / light commercial product – easy training, support

60ERES

80/100/125ERES

60-125kW ERES Light Commercial Units – Product Features and Benefits

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Transfer Switch Sizing Tips

• The number one question from

salespeople regarding transfer

switches is how to properly size

and order correct switch to go with

the generator they are purchasing.

• Break decision making process

into three questions can help

eliminate anxiety for salespeople

when they are choosing the

proper transfer switch.

• Kohler also has tools to help with

this decision making process.

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Transfer Switch Sizing Tips

• Three questions to determine what type of switch is needed.

– Does the customer need to isolate certain circuits during an outage (Essential Load switch), power up the whole electrical panel (Whole House switch or Service Entry Rated switch), or is this new construction where they can use the RSB switch which incorporates a transfer switch and a Square D 200 amp QO panel?

– What size transfer switch (100, 200, or 400 amp) is needed to meet code, accommodate the size of the generator being installed, or meet the amount of sub panel breakers required if an Essential Load switch was chosen?

– Is the switch being mounted outside (NEMA 3 enclosure) or inside (NEMA 1 enclosure) the house?

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RXT Transfer Switches

Features• Full Line, configurable product, available as Quickship in single

and 3 Phase.

• UL listed (CSA on whole house versions)

• Available in whole house, essential load, and service entry

rated versions.

• All enclosures are aluminum, NEMA 3R

• The RXT transfer switches do not come with a built in digital

circuit board.

– Instead they are designed to work specifically with RDC/DC 2

generator control boards (i.e. the switches only currently work with

the 14/20RESA and 38/48RCL generators)

• Optional external RXT status indicator loose kit – plugs right

into RXT

• ATS Position and Source Availability

• NO test & exercise push buttons (set in the generator now)

Whole

House

Essential

Loads

Service

Entry

Rated

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RDT Transfer Switches

Features• RDT Transfer switches can be used with any single

phase generator from 8.5-150kW

• Available in whole house, essential load, and service

entry rated versions.

• UL and CSA listed (Service Entry Rated switches are not

CSA listed)

• The RDT transfer switches come with the MPAC 500

digital control board inside the switch.

• NEMA 3R enclosure is now aluminum as standard

• NEMA 1 enclosure remains steel enclosure

• Display is now vertical rather than horizontal

• 100 Amp RDT with load center now has16 positions / 24

circuit MAX rather than 12 positions / 12 circuit MAX

• 100 Amp with load center enclosure now same size as a

200 Amp with load center RDT

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Marketing Kohler Generators

• What are some of the best methods of advertising the product?

Here are some of the basics.

– Targeted mass mailers to existing customers.

– Handing out product information (small brochure) when

visiting accounts and door hangers in neighborhoods where

a generator was just installed.

– Signage outside of the dealer’s office branch.

– Web site marketing including working with search engine

providers like Google and Yahoo so the business comes up

on regional key word search when the consumer types in

Kohler Generator or “back up generators”.

– Lithos on sales and service trucks advertising Kohler

Generators.

– Join local trade or service groups where there are

opportunities to attend local tradeshows or speak at local

events.

– Create a Facebook page or take advantage of another

social media outlet.

– Hold open house events where the dealer or wholesaler

could market Kohler Generators to new and existing

customers. Having a local sports talk station broadcast on

location for a few hours also helps with marketing the event.

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• Kohler Generators offers a

variety of marketing materials

for free. These include:

• Direct mail templates

• Print ads

• TV and radio spots

• Videos

• Banner ads

• Brochures

• Sell sheets

• Door hangers

• Product displays

• Online sizing tools

Marketing Materials Offered by Kohler Generators

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• Complementary products and services (offer piece of mind through another LPG product)

• Existing relationships with home owners, home builders and commercial customers

– Long term, loyal customers

– Regular communication

– Easy to create a mass mailer and send out to existing customer base to let them know you are in the generator business

• Both preventative maintenance and refueling contracts bring additional off-season sales and service revenue.

• Promote additional burner tips and gas load opportunity (the “hook”)

– Access to non LPG users and electric appliance based homes

Your Opportunity

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How to get started

• Become a dealer by signing up with a local Kohler Generator

distributor in your area.

– Type your local zip code in the dealer finder portion of the Kohler

Power Systems Web site or e-mail Dan Kolar-National Accts.

Manager at daniel.kolar@kohler.com for more information.

• Attend regional or national training classes to get certified to

perform service work.

• Work together with a local electrical contractor so you can offer

turnkey installations to the customer.

• Speak with local inspectors to find out generator code

requirements (pre-authorization requirements, zoning, dB rating

requirements, number of permits, etc.)

– This will also help with sizing and pricing the job

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Thank you!

Questions?

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