SECTION I: The product
|1a||The innovation potential of this product is related to:
|The specific technology isn’t something new at the market of alternative energy in heating cooling systems. It’s purpose is to optimize the existing systems based on market demand. The International Geothermal Association (IGA) has reported that 10,715 (MW) of geothermal power in 24 countries is online, which is expected to generate 67,246 GWh of electricity in 2010. This represents a 20% increase in geothermal power online capacity since 2005. IGA projects this will grow to 18,500 MW by 2015, due to the large number of projects presently under consideration, often in areas previously assumed to have little exploitable resource. So, the existing market demand for alternative energy sources is the basis of the innovation potential of ground heating for greenhouses technology and other agricultural applications since the most geothermal fields are usually located in areas with particular agricultural interest.|
|1b||What added value for end-users does the product hold?
• higher quality
• Better technical characteristics
• Other …
|The benefits are environmental sustainable energy sources at relative low cost. It is simple and cost-effective technology that improves energy efficiency and provides a number of economic and environmental benefits. The technology take advantage of solar heat accumulated underground in order to heat water or air. Simply put, ground source heat pumps draw a fluid mixture, which is usually a combination of water and antifreeze, into underground pipes where residual solar heat accumulates even during winter months in order to reduce the heating or cooling needs of surface structures.|
|1c||What is the Unique Sales Proposition of the potential product?|
|This product combines the construction of the greenhouse or similar agricultural structures with the optimization of the grounds thermal behavior so a better COP can be achieved and as a result a more efficient and economic operation of the system. While a ground source heat pump uses some electricity to run the surface components and to keep the fluid cycling, the system can reduce overall energy use dramatically, particularly when combined with other systems, such as proper installation and floor or soil heating. A ground source heat pump offsets costly and environmentally damaging fossil-fuel use by reducing the carbon footprint of a home and making use of a renewable and reliable geothermal energy source.|
SECTION 2: The Market
|2a||What is the target market for the product?
Please describe the characteristics of your target market.
|The target market is local. Places within the country with extremely hot summers may be more suitable because of the operation of the system during the winter and summer period as well. (It can be used for cooling greenhouses too). However, east European and developing countries around the world (Asia and North Africa) seek for low cost alternative heating systems.
-Agriculture constructions industry
|2b||How the product is characterized from the following options? Number of companies producing similar products in the field.
• Base – applied by all companies in the industry
• Leading – applied by a single or limited number of competitive companies
• Key –at a development stage, but has already proven its potential
|The product is fully developed and is being constructed by various companies (heat pump, pipeline systems). The product is leading, a limited number of competitive companies produce similar technologies. In Greece a small number of competitors promote and represent similar technological companies from abroad, mainly for urban or industrial use. The agricultural application of geothermal heating systems, although is at a development stage, has already proven its potencial.|
|2c||What type of market demand will be satisfied?
• Existing demand – the market is already developed
• hidden (latent) demand – the market has yet to be developed
|The ground heating for greenhouse and other similar agricultural structure technologies satisfies an existing demand for alternative energy sources and cost reduction methods. As it is mentioned before about 10,715megawatts (MW) of geothermal power in 24 countries is online, which is expected to generate 67,246 GWh of electricity in 2010. This represents a 20% increase in geothermal power online capacity since 2005. IGA projects this will grow to 18,500 MW by 2015, due to the large number of projects presently under consideration.|
|2d||What is the current stage of the product’s market life cycle?
• Implementation, implementation in production (leading to a radically new product offers)
• Growth (rapid spread within the industry or outside it)
• maturity (parameters of the technical characteristics of manufactured products reached their maximum, higher-grade products can be manufactured on the basis of technological substitution)
|The recent stage of development is implementation and it is the beginning of market development with only six installations so far across the country. The development of the market is influenced in Greece by the availability of structural funds for the creation of new low carbon consumption greenhouses or transformation of existing greenhouses from fossil energy to alternative low carbon energy sources. The same is applicable also in animal housing and in drying agricultural products.|
|2e||Strategic partnerships (existing or potential).|
|Strategic partnerships are under planning with material and ground research labs within the university to examine product improvements. On the market side partnership is sought with the organizations of greenhouse constructors and greenhouse-type animal structures industry.|
SECTION 3: The Competition
|3a||What is the competition within your target market?|
|The competition consists of local companies dealing with ground thermal systems for general buildings (urban and industrial), while the development team is specializing in agricultural and rural structures:
Infloor systems http://www.infloorsystem.gr/
|3b||What competitive advantages will the introduction of the new product ensure?
• lower prices based on lower production costs
• product differentiation (uniqueness of the product proposal)
|The competitive advantage over the competitors is the combination of high level knowledge of ground heating systems and greenhouse operations. The system must be designed taking as parameters the type of the structure, the production types (flowers, vegetables), the atmospheric and weather conditions, the type of soil and the ground temperature characteristics. Similar factors must also be taken into consideration for other agricultural structures demanding heat or cooling with the use of geothermal energy|
|3c||Potential products relate to the following price range:
• High price range
• Average price range
• Low price range
|The potential price policy is average price. The pricing policy stresses the cost cutting parameters when the technologies of the development are applied. The parameterized solutions provide the conditions for lower installation and operation cost of the ground thermal unit. These cost cutting parameters add beneficially to the final price.|
|3d||Potential products will be marketed:
• To regulated markets (e.g. heat supply, water supply, universal telecommunication services, agricultural products, fishing industry, architectural services)
• To markets operating on the principle of free negotiation between agents on the market
|The market operates on free negotiations based on the size and the complexity of the installation of the ground heating unit in the greenhouses and other agricultural structures.|
SECTION 4: Indicators
|Estimated cost of the new products||50.000|
|Expected market volume (potential / maximum number of users)||1000|
|Expected sales volume||2.500.000|
|Expected market share of the company (proportion between sales and total company sales in the relevant market)||5%|
KEYWORDS QUANTITATIVE ASSESSMENT (0-5).
|Please put X as appropriate.||1||2||3||4||5|
|Size of future market demand||x|
|Competitive positioning of the product||x|