Articles and whitepapers

Setting Up as a Residential Custom Installer (2/2/2005)

By Colin Edwards, Virtual Lifestyles

Over the next few years we will find ourselves increasingly embracing the digital revolution. The days of analogue broadcasting and recording are well and truly numbered, and the proliferation of technology into our homes is gaining momentum on a daily basis.

Consumer electronic manufacturers are currently scrambling to deliver the next generation of IT and digitally-integrated products. With this frenzied activity and the multiple technical standards that invariably emerge with new technology, the result is confusion for the uninitiated. Out of this, a new breed of specialist skill sets are required to filter all the industry jargon and effectively explain to the client, architect, interior designer or builder, what customised solutions can be implemented today, that are fully future-protected.

The rapid convergence of consumer electronics and information technology means that custom installers need to specialise in an increasing range of technical areas, from straightforward multi-room audio distribution to the fully-integrated digital home. Indeed many UK industry sources are predicting that the intelligent home will be commonplace within the next 8-10 years and UK property developers are already starting to believe that technology in new builds actually improves the bottom line.

Market opportunities

Custom installers provide a high-level customer service, and are classified as professional specialists that can tailor and integrate technology within the home. The specialist should be adequately skilled to ascertain a client's lifestyle, discuss all possible options, design a workable solution and manage the project to successful completion.

The specialist should be adequately skilled to ascertain a client's lifestyle

This sector has become an exciting new growth industry. The custom install market in the UK is still in its relative infancy, and there appear to be opportunities to gain market share for multi-faceted custom installers. Whether you are an AV retailer, an IT company, a commercial AV installer or an electrical contractor who wants to expand your company's portfolio, there are many issues regarding taking the plunge and setting up as a custom installer. The key concerns are industry exposure and acceptance. These will undoubtedly take time, and require the necessary funding for adequate training and effective marketing.

Keeping up with technology

With the convergence of IT and consumer electronics, companies with an IT background will easily adapt to implement fully-integrated homes of the future. Most manufacturers are IP-enabling their products to allow easy integration into the smart home.

For example, as well as providing fully-digital high definition TV (HDTV) capability in the near future, set top boxes (STB) will allow support for interactive multimedia, video-on-demand (VOD) and live content over IP networks. Streaming quality video over the Internet is obviously dependent on the available bandwidth, and once murmurings of 8MB downstream options by BT become reality, residential solutions are bound to take advantage of these new offerings.

Manufacturers are also producing entertainment equipment that is both 802.11b/g WiFi and wired-Ethernet ready, enabling MP3 music and MPEG-4 video to be streamed from PC to TV. Therefore, a thorough knowledge of all the relevant broadcasting and AV technical standards, AV connectivity formats and TCP/IP interconnectivity options are pre-requisites to being successful.

Understanding standards and connectivity is essential

This level of expertise is essential for most whole-home solutions, especially if you are implementing a high-end audio/visual distributed solution. Additionally, if wall- or counter-mounted touch panels are included, an associated control processor system, such as those by AMX and Crestron, will also be required. Control systems will require programming and touch panel design expertise, but provide the 'wow' factor that many luxury homeowners increasingly regard as essential.

Responsibilities

During the on-site consultation, custom installers must operate with the mind-set of an electrician, builder and interior designer to extract the 'big picture' from the client. If this orientation is successfully achieved, then it could easily be transformed into the perfect technological solution, usually beyond the client's initial expectations.

Custom installers do not generally get involved in the provision of electrical power or heating systems, however these areas should never be dismissed as there will always be partnering opportunities with companies that can.

Cabling and installing a distributed audio and/or video system is one thing, but ensuring high quality and performance of the sound and image is another. Factors such as acoustics and picture quality are specialist areas that only come from experience and knowledge.

Music and movie producers are providing consumer media that replicate the quality of the original production. As a result, consumers are becoming increasingly aware of the availability of excellent picture/sound quality and sound privacy. For example, a dedicated home cinema space is a major component of the audio/visual experience. The consumer must be able to enjoy this experience whenever they want, and should not have to worry about external influences.

A dedicated home cinema space is a major component of the audio/visual experience (image courtesy of Flamingbox Limited)

The science of acoustics is a very underestimated but necessary component of any AV installation. Similarly, calibrating and setting up source and display equipment is also an important exercise - whatever the size of the installation - and industry-available test and calibration tools should be used during onsite commissioning.

With this approach, your company will soon be able to guarantee a professional service, and with a carefully chosen supplier chain, you can also offer a best-of-breed solution.

Marketing

Once you have identified the target market and have sufficient knowledge and confidence to succeed, you are ready to accept custom install commissions. Without the luxury of referrals, you will need to engage in an effective marketing campaign. A realistic marketing budget should be made available to launch your new endeavours, to gain industry awareness, and to appeal to prospective customers. The usual avenues of web site, business cards, business literature, supplier networking, online marketing, trade publications, trade shows and trade newsletters should be explored. However, an absolute minimum is to qualify, at the earliest opportunity, for membership of CEDIA*, the trade's not-for-profit association that is responsible for promoting your company as a bona fide professional and qualified custom installer/designer.

Other marketing options include direct-to-the-consumer via luxury lifestyle magazines and post code mail shots, and business-to-business such as architects, interior designers and property developers.

Depending on your company's size and geographical coverage, it would be advisable to localise your business until you are comfortable with your service offerings, rather than spread your resources too thinly.

Starting up

As in any business sector, to be successful you need knowledge, exposure and credibility. Keeping up-to-date with the latest technological improvements and building up your business contacts is key to obtaining new and repeat business.

Whether you are setting up a company from scratch or expanding your current portfolio, the approach should be the same as any other start up. A detailed business plan should be developed that sets out precisely where you want to initially pitch your business and what your three-year objectives are.

Wherever you intend to specialise, your products and supplier choice should compliment this, ensuring you do not step too far outside your comfort zone or technical know-how. Taking advantage of free product training offered by most suppliers, to registered dealers, can fill any knowledge deficiency.

Contemporary custom installation

There will be occasions when potential clients will want to see for themselves what you can achieve. It is useful therefore, to be able to simulate your offered services in the form of an in-house practical demonstration, and/or to request assistance from your suppliers during the consultation and specifying process. Most suppliers will offer very attractive demo discounts to enable you to instil confidence in your client, without over-stretching the startup budget. Involving the suppliers' technical support whilst on site can also provide 'get out of jail' advice when something is not going exactly to plan.

Other areas to gain industry and technical knowledge are by subscribing to trade publications and visiting as many trade shows as possible. As a minimum, CEDIA and CES trade shows** should be attended wherever possible, not only to pick up product knowledge but also to attend technical sessions that are available at a reduced rate for CEDIA members. Attending the technical sessions will provide a knowledge base that can facilitate the passing of CEDIA installer and designer certification exams by your technical personnel - further enhancing your company's appeal within the industry and to prospective clients.

If you are passionate about the custom install industry and can translate that into a structured business plan, and if you have the commitment, confidence and ability to nurture that plan to fruition, then there is only one thing to say, GO FOR IT!

*look up CEDIA membership requirements
**see the HiddenWires events calendar

Colin Edwards is the Technical Director for Virtual Lifestyles, a team of creative and professional individuals who specialise in designing, installing and programming custom installations.

www.virtual-lifestyles.com