I must admit, I found this to be quite odd.
I just learned this morning that SolarCity (NASDAQ: SCTY) is about to offer an online solar discount with Groupon (NASDAQ: GRPN).
I’ve used Groupon a few times, mostly for deals on restaurants or concerts. But solar? That’s an entirely different kettle of fish.
The deal essentially offers potential customers a $400 discount for $1. It’s actually a pretty smart lead generation idea if it all works out. There are certainly plenty of folks out there interested in going solar, and this could prove to be an excellent way for the company to diffuse its offers. As well, this could be the catalyst for potential customers to finally pull the trigger.
I suppose we’ll find out soon enough, but one of the advantages of SolarCity right now is the ability of management to think outside the box. The solar game is a competitive one, and those who stick to antiquated business models and marketing efforts will ultimately fail.
In any event, with this deal, I see SolarCity as the winner as the press on this alone will garner continued attention for a company that’s making solar a purchase that’s fast becoming just as common for homeowners as swimming pools and granite counter tops.
As an investment, I remain bullish on SolarCity. The stock is oversold at this point, and I see current levels as buying opportunities for those looking for a long-term play on solar.
*Full Disclosure: I currently own shares of SolarCity