The majority of home systems integrators still in business have suffered average revenue declines of about 17 percent since 2007, but things would have been a lot worse had it not been for their pursuit of the retrofit market, a Parks Associates/CEDIA survey found. The second-quarter survey found integrators' average share of revenues from existing-home installations climbed from less than 50 percent in 2006 to 55 percent in 2008 and to 62 percent in the first half of 2009. The surveyed installers expected that percentage to hold through the remainder of 2009.

"Integrators are feeling the effects of the recession, and they don't expect their new-home business to improve in the near future," said Bill Ablondi, Parks Associates home systems research director. "They are adjusting their businesses to account for the down economy by concentrating more on preexisting homes, retrofit and lower-cost solutions."

Another adjustment would be to tap the energy-management business, which Ablondi called a "potential area of significant growth." Integrators, he explained, "could serve an important role linking consumers to utilities" if the energy industry reaches out to integrators to increase their knowledge of Smart Grid technologies.

From the article, "Parks/CEDIA Survey: Installers Sharpen Retrofit, Green Focus" by Joseph Palenchar

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