Home Builders Increase Net Margins on the Bottom Line with Interactive Options Program
Luminosity Consistently Triples Sales of Lighting, Electrical, and Home Technologies
Phoenix, AZ – According to an NAHB report, the average home builder spends 81.1% of home sales revenue on construction costs and 12.5% on operating expenses, leaving just 6.4% net profit margin.
“Luminosity, a lighting design tool that puts control for options selection in the hands of the customers, can meaningfully add to that profit margin,” said Paul Salmonson, founder of Aterra Designs’ Luminosity. “Having a sales person flip through a binder to show lighting, electrical, and home technology options is not an effective way to inspire a buyer, nor give them control of their design. However, if those options are presented in Luminosity’s interactive 2D and 3D floorplans, we have data that shows that home buyers embrace the advanced options. This consistently triples sales of lighting, electrical, and home technology, with a meaningful boost to home builders’ net margins.”
Featured in a Builder Magazine’s Build Forward profile, Luminosity provides interactive floorplans, per community, branded within the home builder’s website and options-selection system. After being adopted by some of the largest national builders in the US, Luminosity now has a track record of successfully providing home builders and their customers with a virtual design tool that instantly brings the latest trends in lighting and electrical design to life. The design tool is fully integrated into the supply-chain, which reduces construction cycle times and field errors.
About Luminosity
Luminosity’s mission is to offer every homeowner unique lighting design, electrical, and home technology packages once found only in custom homes. Luminosity offers home buyers a web-based options/package selection and configuration tool for selecting lighting, electrical, and home technologies. Luminosity can be used in a builder’s show room or at home by the buyer, and its options selection tool can be framed in the builder’s branded web presence. As options are selected, Luminosity generates orders and trade-specific information for installation, purchase orders, and bills of materials. Through the Luminosity design tool, a builder can triple their sales of lighting, electrical, and home technologies options.
Since 1999, Aterra Designs has brought home builders, contractors, and home buyers together to achieve a common goal: Creating homes that are as unique as their owners. The essence of great design lies at the heart of our interactions. Our experienced residential designers are experts in lighting, electrical, and home automation design. They’re able to provide a range of coordinated options and create customized lighting solutions. Our focus on maximizing efficiency both simplifies the building process and saves time, all while mitigating field errors. And, because we partner directly with top manufacturers, our design consultants can offer innovative new products to home buyers, allowing them to create the home that meets their specific needs.