Remember the daft old days when businesses purchased computer hardware?
They had to invest time, money and mental bandwidth in investigating and purchasing computer programmes and hardware.
But then along came Software as a Service (SaaS) which upended the entire industry. Suddenly there was a new smarter option available to businesses.
Instead of spending hundreds of thousands (or millions) on hardware which was obsolete almost as soon as it was installed, companies could instead pay a monthly fee to access the technology and the benefits it brought.
As well as eliminating the need for capital, it ensured the company had up-to-date technology, ongoing maintenance, and predictable fees and charges.
Light as a Service is built on a similar model and was created in response to business demand – why would a smart business buy lights when really all they need is the light generated from the LED fitting?
Light as a Service (LaaS) ensures client companies have new and efficient LED lighting technology and all the benefits that go with it.
What does it include?
It includes every aspect of a lighting upgrade from start to finish.
Data analysis
Capital investment
Project management
Product and Installation
Measurement + Verification
Guaranteed savings
Maintenance for 5 years
So is Light as a Service for everyone?
In short, no. It depends on your business and lighting and whether the LaaS provided can meet those needs.
Pros
Zero capital investment
Zero risk
No time investment as the provider carries out the data analysis and installation
No maintenance headaches
Guaranteed performance – if the savings don’t materialise, you have recourse with with provider
Cons
Five year term – not suitable for those with a short lease on their premises
Not suitable for companies who seek mood lighting (eg, hotels or specialist retail stores)
Not a good choice for a small site. If you have less than 50 lights, it is advisable to replace your lights as they fail rather than opt for Light as a Service. The only exception is if you have Atex lighting, which can be prohibitively expensive for some companies.
Still not convinced about the ‘as a service’ model?
Chances are you’re already paying for the output of a product rather than the product itself.
Think of Spotify or Apple Music. Instead of purchasing hundreds of CDs from a limited number of artists, the music of tens of thousands of musicians is available on a subscription basis. By signing up to the service you pay a monthly fee for access to the database and enjoy all its benefits.
And ‘as a service’ has also come to the TV industry via Netflix.
If you want to find out more about the differences between Light as a Service and those offering financed or leased lighting, click here.