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16•
BrandBuilding Groundbreaking technology
American Hometec realizes success in niche market
By Mary Jo Martin Editorial director
Feed a disposer. Starve a landfill.
Putting food scraps down a disposer helps reduce
landfi ll waste. It also can help reduce transportation
costs and diesel emissions, not to mention greenhouse gases at the landfi ll. To learn more, visit
insinkerator.com/green. A
relative newcomer in a rather mature in- dustry, American Hometec is defining its niche in the targeted on-demand
water heating market. Its fascinating backstory only adds to the allure generated by the ground- breaking products. Backed by a capital investment company based
in Delaware, American Hometec was incorporated in 2006 by Shimin Luo, a Chinese American, who was a Ph D candidate in chemistry and holds an MBA from George Washington University. She was concerned with issues including lime-scale and the efficiency losses that all water heaters were experiencing, along with wanting to develop a company that not only offer envi- ronmentally responsible products, but also put an emphasis on green practices as well. A pioneer in coilless technol-
ogy, Luo’s goal was to invigorate the water heating category by de- signing units without the typical coils. Her breakthrough Coilless Technology®
has multiple patents
and patents pending. After years of seeing proven
*
cuit boards. We have a paperless environment. Shimin’s philosophy of walk the walk on green practices in our daily operation really guides our practices. It costs more to produce responsibly, but we don’t reflect that in our pricing. We be- lieve it’s just the right thing to do for the envi- ronment and we look into our own efficiency to keep the cost down to our customers.” Larry Linkens, director of product technology,
added, “The Department of Energy is really clamping down on wasteful energy and is taking a look at tankless water heating units. The future is really bright for point of use installation, which
•THE WHOLESALER® — FEBRUARY 2011
Andy Crimmins (second from left) of Engineered Concepts, a manufacturers’ rep for American Hometec, visits with Hydrologic Distribution’s Chris Lynch, Paul Curry and Jeff Fogel.
results in Europe and China, American Hometec Inc. was founded to bring to North America the Coilless Technology that will meet U.S. market needs, and make water heating nearly mainte- nance free. Its sophisticated digital controls are designed to give users the enjoyment of a luxu- rious experience. Between 2006-2009, much of Luo’s time was
spent in research and development, ensuring that American Hometec’s products went through the proper certification procedures to meet and ex- ceed U.S. standards. The company’s first product was officially launched to the public through U.S. distribution in 2009. Since that time, Amer- ican Hometec has strategically staged launches of their whole line of Coilless Technology elec-
tric and H2O Saver Technology gas tankless water heaters.
Seizing opportunities See contact information on page 70
Dave Millilo, vp- sales/marketing.
“Our factory partners are some of the largest in the world for tankless water heating,” said Dave Millilo, vice president-sales and marketing. “We have zero capacity issues when it comes to our manufacturing, which are certified to ISO 14001 and 9001.We’re also very environmentally respon- sible, using recycled materi- als
in packaging and RoHS-compliant electric cir-
means that the units are to be installed in every hot water zone in the house. That’s a very effi- cient way of heating water because it doesn’t rely on pipes running throughout the home.” The company’s sales efforts are managed by
regional sales managers and handled in the field through a large and seasoned manufacturers’ rep network. “We have reps come to us asking to take on our line all the time,” Millilo noted. “We use all means of marketing and sales strategies to get our product where it needs to be. We are face-to-face every day with customers, and we ask them for their honest feedback so we can take that back and use it in our product development efforts. Often, I personally ask our customers what they like and what they do not like…that’s the best form of market insights.” The public is becoming better-versed in tank-
less water heating, and American Hometec’s sales and marketing department are investing in educating the trade and the public while building their brand. “It’s all about communicating the benefits and cost savings,” explained Millilo. “We’ve also put a lot of effort into the exterior design of the units. American Hometec has hit the sweet spot with our fantastic technology and brushed chrome and piano black finish. Our units look like a piece of household electronics that blends in with the home.”
The newest generation
One of American Hometec’s latest product (Turn to New kid... page 18.)
• Be sure to visit
www.thewholesaler.com for web exclusive articles and videos! •
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