A benchmarking study was conducted on behalf of the Department of Energy to determine the critical factors in successful utility geothermal heat pump programs. A Successful program is one that has achieved significant market penetration. Successfully marketing geothermal heat pumps has presented some major challenges to the utility industry. However, select utilities have developed programs that generate significant GHP sales. This benchmarking study concludes that there are three factors critical to the success of utility GHP marking programs: (1) Top management marketing commitment; (2) An understanding of the fundamentals of marketing and business development; and (3) An aggressive competitive posture. To generate significant GHP sales, competitive market forces must by used. However, because utilities have functioned only in a regulated arena, these companies and their leaders are unschooled in competitive business practices. Therefore, a lack of experience coupled with an intrinsically non-competitive culture yields an industry environment that impedes the generation of significant GHP sales in many, but not all, utilities.
