Manufacturing Pyramid  by Pike Research

Manufacturing Pyramid by Pike Research

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Australians are renowned for maintaining and utilizing a high standard of workmanship and products.  The solar panel industry is no different.  When considering investing into a solar system, it is important to look past the price and consider the quality of product being installed.

Clarifying the term “Tier 1, 2 & 3”

We have included the manufacturer pyramid introduced by Pike Research to offer a visual representation of how we differentiate each category.  These Tier rankings provide us with information on the manufacturer, even more so than the panel itself.

What defines a Tier 1 manufacturer?

- Considered to be the top 2% of manufacturers in the world.
- A manufacturer with this rating will have a vertically integrated production line that has control over each process. 
- They invest heavily into their own research and development which helps to push and evolve the solar cell industry. 
- Manage the use of highly efficient production lines that include advanced automation to maximise quality control. 
- This process also has the effect of reducing panel costs due to higher output capabilities. 
- Every manufacturer must have a track record stemming back a minimum of 5 years that helps to solidify their position in the growing market.

Tier 2 manufacturers

- Made up of roughly 8% of the market that have been operating in the industry longer than a Tier 3 manufacturer.
- These groups currently invest less money into research and development. 
- Manufacturing process’ may involve less automation and more human interaction as they aim to reach Tier 1 status.

Tier 3 manufacturers

- These manufacturers cover the majority of the PV market but are widely considered an entry level
- They offer little in the way of research and development and we would normally find, they source their materials from other manufacturers for their own production.
- As the market grows, these lesser known names may possibly gobbled up by the high end manufacturers.

Selecting the best panel for you can be difficult.  If you would like any further information, feel free to send in your questions.