Insulating Concrete Form

 Marketing

ICF homes are typically marketed based on their energy efficiency, comfort, noise abatement and weather resistance. Builders feel that ICFs set them apart from the competition, but that selling ICFs is "a constant educational process." Most customers are unfamiliar with the product. Builders set up booths at home shows, give site tours, and have ICF displays to introduce the concept. ICFs may appeal to those interested in new technologies and energy efficiency more than the average public.

One builder from Iowa has mentioned that product differentiation is not an issue as far as buyers are concerned -- "customers don’t really care, [and] are more concerned with amenities."

When selling ICF houses, a Florida builder focuses on weather resistance and insulation. Mainly, he sells by word of mouth but does get a booth at local home building show. His customers see cost as the bottom line. He also discusses Energy Efficiency Mortgages (EEMs) with customers, but most don't take advantage of them because most are buying a second home and don't need
the "stretch" provided by these special mortgages.

A builder in Kentucky started using ICFs in 1994 as a way to build a niche market. He was interested in energy efficiency and wanted another way to set himself apart from the competition. He builds about three to five high-end custom homes per year. He says that his customers like ICFs but they are a hard sell. He states that the people in his area are fairly conservative and that

marketing ICFs is difficult. "It's a constant educational process," he stated. He sells the benefits of energy efficiency, soundproofing, and safety (he’s in a tornado-prone area). His buyers have to be willing to take his word that the houses are more energy efficient because they can't see anything different once the walls are in place. The Portland Cement Association is helping with marketing of his houses.

A builder from Virginia Beach, VA mentioned that his houses are seen by his customers as being "quite different" because of ICFs, and that is the biggest reason for his success. He reports his customers purchase his homes because of their increased energy efficiency, strength, and durability. The builder feels that ICF construction combines strength and energy efficiency in a new home system that his customers can appreciate. The Virginia Beach demonstration house was marketed and sold based on its exemplary design features, its waterfront location, and its
ICF wall system. Participation in the builder’s local home show provided a large amount of
publicity and exposure for the builder and the home.

Homeowner Perspective

Homeowners were interviewed as part of the NAHB Research Center's Demonstration Homes Project and were very positive about their satisfaction with their new homes. Among the specific reasons for homeowner satisfaction were:

Reduced noise from the exterior

Wide attractive interior window sills

Reduced drafts and improved energy efficiency

The attractiveness of new technology

In addition, homeowners may be interested in ICFs because they may offer improved strength, durability, and other benefits over conventional walls.

One homeowner felt that quietness and appearance of the wide window sills should have a positive impact on the re-sale value of the home.

One Austin, Texas builder who resides in an ICF home says that residents appreciate the solid construction of an ICF home. Customers are confident that an ICF home will withstand extreme winds experienced in their area. Other features of the home that customers appreciate include lack of sound transmission and lower utility bills. One homeowner remarked that they cannot hear the engines of the boats on the lake. They also find interior sounds are lessened in between rooms. Their ICF home is more energy efficient than their previous homes -- a winter heating bill is approximately $175 per month compared with $350 to $400 per month previously. The ICF structure complements the southwest architectural style. The owner feels that this type of construction is ideal for a stucco finish. They feel that these benefits will increase the re-sale value of the home.

Homeowners of the Virginia Beach Demonstration Home are a retired couple who viewed the home while under construction and were impressed by its appearance. After visiting with the builder and learning about ICFs, they decided to purchase the home. Features of the ICF

construction they liked included energy efficiency (a strong selling point) and the new technology.

The homeowners continue to like their home and appreciate it more the longer they live in it. They consider their home to be energy efficient, soundly constructed and to have a look of "solidness" to it. The wide window sills contribute to this feeling and provide a nice area for decorating. They also appreciate how quiet it is and believe this feature will provide a marketable benefit during re-sale as the house is in close proximity to a naval air station. Low utility bills
and high levels of comfort attest to the energy efficiency of the home. The homeowners report no
drafts in their home. The homeowners are pleased with their home and indicated they would buy another ICF home.

Future Work

With growing use of ICFs, economies of scale may be achieved as more contractors force competition, labor becomes more efficient as familiarity increases, and more specialty products and techniques are developed.

A reduction in the number of different ICF systems and standardization of construction details between competing ICF systems could result in a reduced premium for ICF homes compared to conventional wood frame construction. The particular construction details of any ICF project are dependent on the selection of a specific manufacturer’s product. Once a particular builder has chosen an ICF system and has gone through the costly learning curve process, there is a disincentive to switch to any other ICF product. This reduces competition between ICF manufacturers.