The advantages of residential solar PV are low entry barriers, high cost-effectiveness, and direct consumption of locally generated electricity; the disadvantages are the large number of users and the difficulty of operation and management. Currently, there are four types of business models in my country's residential solar PV industry: distributors, system integrators, nationwide platforms, and leasing.
1. Distributor Model
Distributors can generally be divided into two categories based on the type of company. The former consists of first-tier photovoltaic companies with strong competitiveness. They typically have their own residential photovoltaic business units and aim for independent listing. They also have several regional centers and branches in various provinces. The distributors have a relatively independent cooperative relationship with the parent company. The latter consists of second- or third-tier photovoltaic brands that primarily target the region where their company headquarters is located and then expand outwards.
2. System Integrator Model
Most of these models evolved from the distributor model, but this model boasts a stronger sense of independent branding, market sales drive, and organizational expansion ambition, resulting in higher market share and market vitality, and a clear advantage in regional markets. Some distributors have acquired installation and construction skills, mastered procurement channels, and can assess the quality of residential photovoltaic systems. Further development has led to the formation of a system integration model.
3. Nationwide platform model
As the name suggests, it involves building a nationwide platform to supply competitively priced photovoltaic power generation systems, and even providing users with financial services such as loans and insurance, handling everything except market development and installation. Distributors in this nationwide platform model target the entire national market. Because stockpiling carries risks, this model avoids these risks by directly sourcing products from the platform and supplying them to users.
4. Leasing Model
The leasing model has the longest development history. When photovoltaic companies operate and develop their businesses in different regions, they find teams with good local resources and interpersonal networks, cooperate with them, and carry out market development, installation and construction, etc.
